Gauteng to contribute R12.9bn towards the decommissioning of e-tolls

Provincial government to pay 30% of the R43bn bill

e-tolls were introduced by Sanral to pay for money borrowed in the GFIP.
e-tolls were introduced by Sanral to pay for money borrowed in the GFIP.
Image: Daniel Born

Gauteng premier Panyaza Lesufi says the provincial government will contribute R12.9bn towards the decommissioning of e-tolls.

Lesufi met with finance minister Enoch Godongwana and the SA National Roads Agency (Sanral) – accompanied by finance MEC Jacob Mamabolo and transport MEC Kedibone Diale-Tlabela – on Tuesday.

The meeting sought to conclude outstanding matters pertaining to the decommissioning of e-tolls, which includes determining the 30% contribution by the provincial government towards settling the e-toll debt, as well as the funding model of the Gauteng Freeway Improvement Project (GFIP).

Lesufis spokesperson Vuyo Mhaga told Sowetan that the meeting resolved that the total amount to be paid by the provincial government was R12.9bn (30% of R43bn) using different revenue streams in the form of a hybrid model.

He said a technical team had been set up to provide details as to what these revenue streams would be to raise the R12.9bn and pay the debt.

“A long-term repayment period will ensure that we relieve the pressure on the provincial government fiscus, whilst maintaining the delivery of social services and other imperatives such as fighting crime,” said Lesufi.

The technical team has also been tasked to come up with the process of decommissioning the e-tolls. “More work still needs to be done jointly by the Gauteng government, national department of transport, Sanral and National Treasury to clarify maintenance and decommissioning of e-tolls,” Lesufi said.

In October, Godongwana announced in his medium-term expenditure framework that the national government would take a portion (70%) of the e-toll debt following a civil boycott by most citizens in the province.

E-tolls were introduced by Sanral to pay for money borrowed in the GFIP. The introduction of the system in 2013 turned ANC alliance partners – Cosatu and SACP – against government as they believed the system would place more financial pressure on workers.

Civil society also led from the front, calling on people not to pay their e-toll bills, arguing that the system was unsustainable.

dlaminip@sowetan.co.za

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