Business Day

Outa seeks clarity on Sanral litigation plans

- Karl Gernetzky Transport Writer gernetzkyk@businessli­ve.co.za

The Organisati­on for Undoing Tax Abuse (Outa) said on Monday it was seeking clarity from the South African National Roads Agency (Sanral) on whether or not the agency intended to press ahead with civil and criminal judgments against Gauteng motorists in the first half of 2017.

The South African National Roads Agency (Sanral) was dealt a blow on Friday, when the Constituti­onal Court scuppered its plans to use tolls in the Western Cape highlands.

The court’s decision means Sanral will need to embark on what may be several years of consultati­ons if it still wants to introduce tolling in the province. The agency is struggling to win over Gauteng motorists who already owe billions in unpaid etoll bills.

The City of Cape Town said it would oppose any introducti­on of e-tolls despite already beginning to discuss with the agency the best way to tackle infrastruc­ture needs in the province.

On Friday, the Constituti­onal Court dismissed Sanral’s leave to appeal against two decisions by lower courts on the validity of the process to introduce tolling.

Cape Town mayoral committee member for the Transport and Urban Developmen­t Authority Brett Herron said on Monday that the introducti­on of tolling as proposed by Sanral was “inequitabl­e”.

Sanral noted the judgment, saying on Sunday it had already begun a pivot towards a more consultati­ve approach regarding road infrastruc­ture.

The roads agency is not only pursuing engagement­s in the Western Cape but with other municipali­ties and provinces such as eThekwini, Gauteng, KwaZulu-Natal and Free State to unlock economic growth potential and contribute to regional developmen­t, spokesman Vusi Mona said.

Cape Chamber of Commerce and Industry president Janine Myburgh said the judgment followed concerns from provincial residents that had been “simply ignored”.

She said: “When a new public-participat­ion process begins, Sanral will find that it has to deal with a well-informed public, thanks to the work done by the city council and organisati­ons [such as the Organisati­on for Undoing Tax Abuse].”

“A new public participat­ion process would also expose Sanral to questions on their business model and why they continued to charge everincrea­sing toll fees on projects that have already been paid for, such as the Huguenot Tunnel.

“We now have benchmark figures for road-constructi­on costs and we have seen how tolling facilities simply add to the cost of road building. There is no longer a way for Sanral to ride roughshod over public opinion.”

Transport economist Andrew Marsay said while Sanral’s disappoint­ing toll revenue would certainly affect its ability to raise capital on the bond markets, the agency would simply put off road projects in order to remain viable.

“Sanral is a well-run entity, they can’t raise as much money as if they were receiving the expected toll revenue, they will just have to shuffle priorities.”

Cape Town’s opposition to e-tolls could conflict with its own priorities in creating a viable public transport system.

 ??  ?? Brett Herron
Brett Herron

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