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E-tolling unnecessary?

Farzana Rasool
By Farzana Rasool, ITWeb IT in Government Editor.
Johannesburg, 11 Feb 2011

There is enough money in the economy to pay back the loans that e-tolling was introduced to address, says the Democratic Alliance (DA).

The Gauteng Freeway Improvement Project (GFIP) was funded via bonds and the open road tolling system was created to pay those bonds.

DA spokesperson for roads and transport in Gauteng Neil Campbell says when the e-tolling project was first discussed in 2007, costs were not mentioned.

“It's a revenue-generation thing and private enterprises charge exorbitant amounts for these things. If you look at the cost of potholes to the economy and some other factors, we have enough money. The money spent on new tyres, axles, and suspensions injects a lot into the economy.”

Campbell says that now R1.16 billion was spent on a system that may be valuable, but is not necessary. He explains that the system is a good idea, but at too high a cost to drivers and taxpayers.

“Also, it hasn't been tested. You don't spend R1.16 billion and then test it.”

Costly delay

The South African National Roads Agency (Sanral) says the Gauteng Freeway Improvement Project cost R20 billion and the e-tolling system took up R1.16 billion of this.

Campbell says the cameras installed for e-tolling can be helpful in detecting traffic violations, so they are good, but the problem lies in the lack of consultation and the large amount in fees that drivers must pay.

“You can't impose tolls of this magnitude on the public without having some kind of public transport alternative. They've put the cart before the horse, that's what they've done.”

Congress of South African Trade Unions (Cosatu) national spokesperson Patrick Craven agrees, saying the basic problem is that people have no alternative to get to work and the alternative routes will cause more problems than they solve.

“It's a big increase in basic living for workers.”

Campbell adds that the freeway improvements are good, but should have been done long ago when it wouldn't have cost as much. Sources close to the process have also admitted the current expenditure would not have been necessary, had government upgraded highways as the need arose, a few years ago.

Double tax

This week, trade union Solidarity made an appeal to the Department of Transport to review the system.

It demands that finance minister Pravin Gordhan address the issue in his budget vote.

Solidarity maintains that the toll system, together with the current fuel taxes, comes down to double tax and calls for a discount on the fuel tax.

Road users already pay around R2.47 per litre petrol - which currently costs R8.84 per litre for 93 octane - for various forms of tax of which R1.67 per litre already goes to the fuel levy, says the union.

“This levy is supposed to subsidise the maintenance of road networks, but the money is clearly not used for this purpose.”

Case in point

Solidarity cites a case study, which reveals that a motorist who commutes between the Brakfontein and Buccleuch interchanges will travel about 840km per month.

Based on a fuel consumption of 12km/l, he will spend around R618.80 a month on petrol at the current petrol price. Of this amount, more than R172 is fuel tax.

“Should the toll system be implemented on the planned tariffs, the motorist's monthly transport expenses will increase by R401.39, which comes to an additional transport tax burden of 232.5%. The motorist will, therefore, pay around 64.9% more in transport costs.”

It also says the toll fees will have a cost implication in respect of every service and product provided and transported in Gauteng, which will further increase the burden on cash-strapped consumers.

Xhead = Controversial toll

Sanral revealed the much anticipated tariff and discount structure for the e-tolling system on 4 February.

E-tolling forms part of the GFIP. The 185km of new toll infrastructure will see the N1 to Pretoria, Johannesburg ring roads and the R21 to Pretoria become electronic tolling zones.

It is an open road, multi-lane toll infrastructure that allows for tolls to be charged without drivers having to stop. There are no physical booths.

“Overhead gantries will be fitted with the toll collection equipment that will recognise the electronic transponder (e-tag) in a vehicle, toll will be deducted from a user's registered e-toll account, and they will be able to travel without any disruption,” says Sanral.

Standard light vehicles will be charged 66c/km.

Motorists can expect to start trying out the e-tolling system on Gauteng's highways from the end of March, with final implementation set to begin on 23 June.

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