The Department of Transport (DoT) is reportedly considering cutting the tariffs for the controversial e-tolling of Gauteng’s freeways following the recent public consultation process.
The e-tariffs have already been cut twice since the stalling of the e-tolling project due to legal implications.
Ben Martins, minister of transport, told Business Day Live, the DoT is “working very hard” to soften the blow e-tolling will have on the residents of Gauteng.
The third e-tariff cut is believed to be a final offer of compromise to make e-tolling more appealing to the public.
However, Business Day Live reports aside from the opposition, which includes the Democratic Alliance (DA), the Opposition to Urban Tolling Alliance (OUTA), the Congress of South African Trade Unions (COSATU), various religious and church organisations and other civil society groups – the African National Congress’ (ANC) Gauteng branch is also criticising the plan.
HumanIPO reported last week the DoT confirmed Martins began the consideration of the public submissions on the e-tolling project.
The consultation process followed the publishing of the Transport Laws and Related Matters Amendment Bill in the Government Gazette.
However, the DoT’s legal team is reportedly still busy collating the public’s responses for the minister’s consideration. Tiyani Rikhotso told Business Day Live this will not take long to prepare.
Once the public responses have been collated and presented to the minister, Rikhotso said “the minister will apply his mind” and will “make an announcement of what the new tariff will be”.
The South African Roads Agency Limited (SANRAL), the driving force behind e-tolling in South Africa, had borrowed ZAR20 billion (US$2.025 billion) to fund the Gauteng Freeway Improvement Project through the issuing of bonds to investors.
Furthermore, the South African treasury had to bail SANRAL out through the injection of ZAR6 billion (US$607.6 million) to pay the bondholders due to the delays in implementing e-tolling.
