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E-tolls 'privatising' social infrastructure

Bonnie Tubbs
By Bonnie Tubbs, ITWeb telecoms editor.
Johannesburg, 12 Jun 2013
Outa says the true issue behind e-tolls has been revealed - and it is evil and sinister.
Outa says the true issue behind e-tolls has been revealed - and it is evil and sinister.

Government's main opposition to e-tolling says recent developments reveal sinister motives behind the system, which it believes has now shown itself to be "truly evil".

The SA National Roads Agency (Sanral) remains adamant government's e-toll system will officially commence next month, and says the magnitude of public opposition has been distorted by the Opposition to Urban Tolling Alliance (Outa).

This comes amid an ongoing legal battle and a war of words between the state-owned roads agency, Outa and SA's opposition party, the Democratic Alliance (DA).

The animosity escalated yesterday, following a press conference by Kapsch Traf?cCom - the Vienna-based company commissioned for the development, integration and maintenance of government's e-toll system.

According to a Bloomberg report, the Austrian toll-road systems company announced it would receive an annual revenue injection of EUR50 million (about R675 million) from SA's e-tolls.

The Vienna Stock Exchange-listed company's shares closed 3.23% higher yesterday, in the wake of repeated quarterly losses - attributed to delays in the implementation of e-tolls in Gauteng.

Outa chairperson Wayne Duvenage says this reveals "the real issue" behind government's e-toll system - "the privatisation of SA's social infrastructure to offshore companies".

He questions government's rationale: "What was our government thinking? What is the real issue of an offshore company wringing its hands in anticipation of revenues and fat profits expected from SA motorists? [This is] not in the best interests of South African citizens."

ITWeb is awaiting a response from Sanral and Kapsch, respectively, on the controversy.

Misrepresented masses

This morning, after stating categorically that government still plans to implement open road tolling on Gauteng's highways in July, Sanral spokesperson Vusi Mona said "Outa does not represent society" and the anti-toll alliance has been both selective and dishonest in its depiction of the support it has for its cause.

Mona says half of Outa's "list [of supporters]" is made up of politically-motivated entities that are misusing the Outa campaign for political ends.

Pending

Transport minister Ben Martins will table the 2013/14 Department of Transport (DOT) Budget Vote Policy Statement in the National Council of Provinces in Cape Town tomorrow. The DOT did not disclose whether Martins would cover e-tolls in his address, but says "budget allocations to various programmes of the department and its entities" is on the agenda.

Outa recently boasted a surge in financial support following a public appeal for assistance with funds needed to legally challenge e-tolls in Bloemfontein's Supreme Court of Appeal in September.

Duvenage says the alliance revelled in the support, which came primarily from the DA (R1 million) - as well as businesses and individual supporters making small to significant contributions. "Following this surge of support, Outa is convinced more than ever before of society's opposition to e-tolling."

Driving a wedge

Duvenage yesterday warned that government would face "unintended consequences" should it go ahead with e-tolling, in light of public opposition. He says, with SA's fragile state and current southbound credit ratings, government can "ill afford to drive another wedge between itself and society".

However, Mona rebuts the notion that e-tolls will turn SA's regime against the society it governs. "Does having to pay taxes drive a wedge between government and society? No. It is unpleasant to part with your money regardless of the reason why."

Outa has consistently criticised Sanral - and ultimately government - for lacking transparency and failing to carry out meaningful and authentic public engagements on the issue of open road tolling.

Duvenage yesterday reiterated Outa's concerns that the authorities are "simply ignoring the increasing level of rejection of e-tolls". He says the public hearings held last year and the over 11 000 written submissions to e-toll regulations are evidence enough that SA does not want e-tolls, but have not been heeded by Sanral.

"Sanral promised to summarise the submissions and provide feedback. They have not done this. They also said they would provide feedback on the public hearings. This has not been done either."

Mona says, while Sanral has not published the written submissions for public consumption, "all of the submissions are being taken into account".

Rude awakening

Duvenage says he is dumbfounded by Sanral's way of thinking. "It was shocking listening to [Sanral CEO Nazir Alli] speak the other day. Sanral seems to think that, because they 'only have 11 000 submissions', the rest of the 3.5 million motorists are OK with e-tolls."

According to Mona, "slightly above 600 000" e-tags have been sold to date.

Following the recent launch of Sanral's marketing campaign, says Mona, e-tag sales have risen considerably. "At the end of April, we had sales of 250 000 e-tags and this has increased by more than 100% in the last six weeks to 600 000."

Duvenage says, however, that the number of e-tag sales Sanral cites is tied up in fleets and government departments. "These numbers aren't coming from motorists. People are not flocking to buy e-tags. [Sanral] believes that, as soon as they switch on and launch, people are going to flock to buy e-tags - but they are in for a rude awakening."

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