SHOWING ARTICLE 219 OF 277

User still pays for toll roads: DG

Category Current Affairs

The principle of user pays had been upheld in relation to the SA National Roads Agency Limited (SANRAL) Treasury Director General (DG) Lungisa Fuzile said on Friday at the Economist of the Year function.

"What has happened is that we have helped Sanral to reduce its debt service cost, so that it could cushion the cost to road users, but the principle of user pays has been maintained throughout. The new roads have led to benefits for motorists such as reduced congestion, faster journey times and less wear and tear on the cars, so it is only fair that they pay for some of those benefits," he said.

The Treasury transferred R5.8 billion to Sanral to reduce its debt, which had grown from R7 billion to more than R20 billion as it implemented the Gauteng Freeway Improvement Programme. Part of the funding model for Sanral was that they would recover costs from motorists.

Motorists will have to pay to use major highways around Johannesburg and Tshwane from April 30, with payment through an automated number-plate reading system mounted on overhead gantries, so traffic flow speeds are not reduced. Called "e-tolling" the system uses e-tags to allow for easy collection and a resultant reduction in toll fees.

A March 6 march by the Congress of SA Trade Unions (Cosatu) voiced its opposition to e-tolling and many motorists have threatened, on social media such as Twitter and Facebook, not to pay.

"Around 200,000 people have so far registered for an e-tag," the DG added.

Author: Warehouse Finder

Submitted 16 Apr 12 / Views 7091