E-toll panel’s proposals worsen the problem: Outa

panel for seeking input from all sectors of society and compiling a comprehensive report which covered a lot of ground, spokesman John Clarke said.

“This proposal of a reduced or partial funding of (Sanral’s) debt through the use of e-tolls merely exacerbates the problem, by pushing up the collection costs as a percentage of the revenue generated.”

This made the plan more irrational, Clarke added.

A damning assessment by the City of Joburg that e-tolling would diminish the R17 billion worth of impact on economic growth by the emerging black middle class – the cornerstone of future growth – was at the heart of the panel’s findings.

In its submission to the panel, the city said Sanral had not sufficiently considered how e-tolling was changing the income profile of Gauteng residents and the emergence of the aspirant new middle class, 40 percent of whom lived in Soweto and worked in the northern parts of the province.

This week Makhura concurred with the city when releasing the report: “The current system places a burden on those who live far; those who travel longer distances to come through to the (economic core), and those will likely be lowand middle-income homes, including SMMEs that are in the periphery – the township-based enterprises – which are forced to come into the core of the economy and go out,” he said.

The panel’s report in the main recommended a review of the payment system and a possible hybrid model that would still include e-tolls, but to a lesser degree.

However, Outa said the report ignored the more efficient national fuel levy system.

“The recent massive reductions in the fuel price have provided gover nment with an ideal opportunity to hold back 10 cents per litre into the fuel levy, which would raise the necessary R2.2bn per annum to service the Gauteng Freeway Improvement Project,” he said.

The panel was appointed to investigate the socio-economic effects of the e-tolls, after civil society groups and individuals launched their opposition.

The panel found that, in their current form, the e-tolls were unaffordable, inequitable and administratively too cumbersome.

Among its recommenda- tions, the panel called for a flat rate to ensure that everyone paid for the system.

“To propose other costly and more complicated options in the presence of a simple, efficient and highly effective alternative makes no sense,” Clarke said.

He said planned engagements with stakeholders, to be held in February prior to a final report and the submission of recommendations to the national government, were to test the waters by the premier, possibly with the national government.

“What the authorities need to do is ask whether they believe the report’s recommendations are recognising the will of the people.”

Outa went on to suggest continued public display of high levels of moral courage around the matter, because the Gauteng road user would determine the future of e-tolls – and not politicians or big business.

Cosatu also expressed disappointment that the panel did not recommend the scrapping of e-tolls. – Additional reporting by Thabiso Thakali