Gauteng premier Panyaza Lesufi has welcomed the announcement on e-tolls by finance minister Enoch Godongwana that Gauteng province will take over the routes of the 201km road network and fund their maintenance.
Delivering the medium-term budget policy statement in parliament on Wednesday, Godongwana said the government would absorb the R47bn e-tolls debt sitting with the SA National Roads Agency (Sanral).
Sanral has long struggled to collect e-tolls as Gauteng motorists, supported by political and civil society bodies, continue to reject a system they regard as a form of additional tax. Godongwana said there would be a 70/30 split of the debt, with the National Treasury paying 70% and the provincial government 30%.
The provincial government will be allowed to decide what happens to e-toll gantries. It will also be responsible for the maintenance of the province’s 201km Gauteng Freeway Improvement Project road network.
Lesufi said he was relieved the e-tolls matter had been finalised.
“This is an important victory as it brings great relief to the people of Gauteng, who have had to bear the brunt of paying e-tolls for roads which serve a national purpose.
'A new life without e-tolls': Panyaza Lesufi thinks gantries can help fight crime
Image: Simon Mathebula
Gauteng premier Panyaza Lesufi has welcomed the announcement on e-tolls by finance minister Enoch Godongwana that Gauteng province will take over the routes of the 201km road network and fund their maintenance.
Delivering the medium-term budget policy statement in parliament on Wednesday, Godongwana said the government would absorb the R47bn e-tolls debt sitting with the SA National Roads Agency (Sanral).
Sanral has long struggled to collect e-tolls as Gauteng motorists, supported by political and civil society bodies, continue to reject a system they regard as a form of additional tax. Godongwana said there would be a 70/30 split of the debt, with the National Treasury paying 70% and the provincial government 30%.
The provincial government will be allowed to decide what happens to e-toll gantries. It will also be responsible for the maintenance of the province’s 201km Gauteng Freeway Improvement Project road network.
Lesufi said he was relieved the e-tolls matter had been finalised.
“This is an important victory as it brings great relief to the people of Gauteng, who have had to bear the brunt of paying e-tolls for roads which serve a national purpose.
MID-TERM BUDGET | Gauteng to take over e-tolls after Sanral debt deal
“There will be further engagements with Sanral regarding the repurposing of the e-tolls infrastructure, which we believe can be of use in the crime-fighting strategy of the provincial government,” he said.
Lesufi said the provincial government would work closely with the National Treasury to find revenue streams to settle Gauteng’s portion of the e-tolls debt amounting to R14bn.
The Gauteng government will convene an urgent meeting with Godongwana to finalise some of the modalities relating to the province’s obligations.
The premier’s office said more details on this would be announced when Gauteng finance MEC Jacob Mamabolo presents the province's medium-term budget policy statement to the Gauteng legislature next month.
Lesufi further tweeted: “We heard you people of Gauteng. As per the announcement by minister Godongwana, we have agreed to the formulation of a new revenue enhancement model which excludes tolling. We are now ready to start a new life without e-tolls in Gauteng. This was not an easy decision but necessary.”
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