Sep 25, 2012
Govt to seek ways of reducing e-toll costs to consumerBack
Eskom|Lighting|PROJECT|Road|Roads|South African National Roads Agency Limited|System|E-toll|E-tolling|Maintenance|Services|Social And Economic Services|Wayne Duvenage
© Reuse this
This followed the Constitutional Court’s decision last week to set aside the interim interdict preventing the South African National Roads Agency Limited (Sanral) from tolling the highways built under the first phase of the Gauteng Freeway Improvement Project (GFIP).
After widespread public opposition to the e-tolling system, government said in a statement that it had listened to the concerns about the costs and impact of e-tolling on consumers and promised a response next week.
The Opposition to Urban Tolling Alliance (Outa) chairperson Wayne Duvenage said that, while the government may be attempting to compromise, the key issue was the current collection method used to bring in the fees paid.
He said that a drop in the per-kilometre rate, for example, from 30c/km to 20c/km would be a start, but he felt that the elimination of about R1.2-billion a year in collection costs – by the agency shifting to a fuel-levy-based revenue collection method, for instance – could further ease financial pressure on the consumer.
Calculating the tolling fees at an average of 35c/km, to balance the payments of tolls from cars and trucks, Duvenage said it was expected that over the next 20 years, Sanral could generate revenue of about R108-billion.
Sanral previously outlined that, over a 24-year period, the GFIP would cost R71.4-billion, comprising R20.6-billion for the repayment of initial capital costs, R10.6-billion for road maintenance, R6.2-billion for violation-processing-centre capital and operating expenditure, R12.2-billion for toll-related capital and operating expenses, R1.7-billion for other operational expenses such as freeway lighting and R20-billion for interest.
Further, Duvenage questioned what might occur in a few years from now, where government might seek to increase the funds brought in by the e-tolling of Gauteng's highways by increasing the toll fees 100%, citing State-owned Eskom’s electricity pricing over the past few years as an example.
He stated that there was currently a feeling of distrust towards Sanral, as it was believed that the agency had not undertaken sufficient public consultation and had failed to be transparent in activities leading to the project.
The government was expected to undertake the second and final round of consultations on the e-tolling project with the different stakeholders, starting with Outa on Tuesday.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Other Roads News
Article contains comments
Article contains comments
International consulting engineering company Royal HaskoningDHV (RHDHV) has appointed Salani Sithole as South African MD, effective March 1. Sithole has been with the company for six years and, prior to joining RHDHV, held various positions in engineering consulting,...
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
This Week's Magazine
National flag carrier South African Airways (SAA) is in an advanced stage of renegotiating its deal with European airliner manufacturer Airbus to acquire A320 single-aisle (or narrow body) aircraft. The aim is to replace ten of the aircraft still on order with five...
Worldwide, the main thrust in the ports industry over the past decade or more has been to increase efficiency. Traditionally, ports have been run by engineers and mariners and, in the past, increasing a port’s capacity was achieved by expanding the harbour. “That has...
What do you do when an elephant has a toothache? You call Dr Gerhard Steenkamp from the University of Pretoria’s (UP’s) faculty of veterinary science, Onderstepoort, one of only two elephant ‘dentists’ in the world.
The 2015 Sanlam/Business Partners Entrepreneur of the Year (EOY) competition was launched earlier this month in Johannesburg, with the main focus on creating and inspiring entrepreneurs to create jobs and boost the economy.
In a recent letter to the editor that I sent to Engineering News (Concerns regarding South African portion of Square Kilometre Array) and in a follow-up article elaborating further (We must start preparations to build our own synchrotron light source), I stated my...