/ 3 July 2015

eTolls — critical revenue

Sanral is in the spotlight over the controversial tolling of Gauteng roads.
Sanral is in the spotlight over the controversial tolling of Gauteng roads.

MEC Vadi stressed that eTolls are here to stay and that there is not going to be a reversal of policy as these are critical for future infrastructure development, saying that if the citizens of Gauteng want the funding to meet the requirements of roads and transport, eToll revenue is essential.

He described the new dispensation on e-tolls announced by deputy president, Cyril Ramaphosa, as “a huge step forward”.

“While the ‘user-pays’ principle has been affirmed, both national and provincial government have agreed to make financial contributions to SANRAL so as to ease the financial burden on low- and middle-income families who were being adversely affected by eTolls.

“This dispensation strikes a careful balance around three issues, namely improving road infrastructure for socio-economic development purposes, partly funding road infrastructure; and ensuring affordability for our people. It is fair, administratively simpler and more sustainable,” he explained.

Vadi said that the Minister of Transport has gazetted the reduced tariff structure and it is anticipated these new tariffs will be applicable from July 2 2015.

“The old system with two tariff structures is unjust. Now the cap is at R225 per month, which is a 50% reduction. We have also scrapped the penalty regime.

“The middle classes of our society live closer to places of work and tend to pay less for transport. The poorer classes of our society are in the outlying areas and daily they have to travel longer distances. 

“This has been taken into consideration towards the new tariffs. We do appreciate that technical people can plan without completely understanding socio-economic consequences.”

The response from opposition parties about eTolls was less than favourable and there was contentious debate, with the DA, EFF and other representatives saying while there needs to be improvement and that there is awareness that government does not have a “basketful of money”, more engagement on how to improve the use of existing funds is required.

In response, Vadi said: “The ANC is aware of and dealing with the imperfections. People are not changing methods of movement, even though eTolls are there.

“The new dispensation shows that we are a responsive, responsible government and a government that is sensitive to the concerns of its citizens. We, therefore, wish to reiterate the call made by the premier urging motorists and the people of Gauteng to support this dispensation and pay their tariffs.”

In the approximately 15 years SANRAL has been in existence, Vadi says the entity has raised R52-billion, which money has been put into invaluable highway projects and the Johannesburg Roads Agency (JRA) developments.

Tackling the issue of Gauteng being the only province with this eToll system, he said that it would be unfair to scrap eTolls in favour of alternatives such as raising the taxes of all citizens, where other citizens do not benefit from the roads here, simply to raise funding needed for infrastructure. 

He stressed again the significant migratory growth of this province, well in excess of that of other provinces.