Transnet results eclipsed by irregular expenditure, qualified audit and State capture

A surge in irregular expenditure to over R8-billion triggered a qualification of Transnet’s 2018 financial results, all but eclipsing an otherwise strong financial and operational performance by the State-owned group. The irregular expenditure related primarily to procurement undertaken by Transnet outside of the parameters of the Public Finance Management Act and covered a five-year horizon. In 2017, Transnet reported irregular expenditure of just short of R700-million.