/ 10 March 1999

ROAD PRIVATISATION OPTIONS

MPUMALANGA’S roads department is considering privatising some of the province’s roads, said provincial roads MEC Jackson Mthembu on Tuesday. In his budget speech, Mthembu said discussions have been held with national and international companies interested in private public partnerships. He said one PPP option is for a private company to construct and maintain roads, at its own expense, while government pays reimbursements over 20 to 30 years. Another option could be “shadow tolling”, where the government paid for the number of cars that used the road on a monthly basis. The last option is actual toll roads. The province’s 16033km of roads were due for rehabilitation more than 20 years ago. Mthembu’s department does not have the R322 million a year required for maintenance.