The South African National Roads Agency (Sanral) has denied claims that it is running out of money, branding the reports as "factually incorrect".
In a statement released by the agency today, Sanral's head of communications, Vusi Mona, says the agency operates two portfolios ? toll roads and non-toll roads.
"The non-toll portfolio consists of funds from the national fiscus, received from National Treasury, to the amount of approximately R10 billion per annum," says Mona. "These funds are used by Sanral to manage its non-toll network, which accounts for 84% (16 584km) of the total national road network of 19 704km."
There are no funding challenges with the agency's non-toll portfolio, he emphasises. "These funds are used for non-toll roads only and the agency continues to run its business as per usual with the funds received from the national fiscus."
The second portfolio accounts for 16% of the total road network, and constitutes agency tolls (1 832km) and those run by concessionaires (1 288km), says the statement. Sanral says its tolls are financed through the capital markets by issuing bonds and the ones operated by the concessionaires are financed through private sector capital on a build, operate and transfer basis.
"Importantly, there is no cross-subsidisation of funds between the toll portfolio and the non-toll portfolio."
With regards to its toll portfolio, Sanral confirmed earlier reports that it has almost totally depleted its available cash. Sanral states it is not able to fund itself through the capital markets under the present circumstances. It is for this reason that the agency has not been to the markets since October 2011.
"Notwithstanding our challenges on the capital markets, we are grateful for the assistance from the commercial markets," says Mona.
The agency says the future growth of road networks could not be undertaken without Sanral's ability to raise third-party funding. Parliament had to make a special appropriation of an additional R5.7 billion to meet Sanral's current interest and cost liabilities.
Mona denied claims by the Opposition to Urban Tolling Alliance (Outa) that Sanral is using its funding issue in a bid to get government moving on signing the Transport and Related Matters Amendment Bill into law.
"If Sanral is to deliver on its mandate, it is vital that e-toll must go-ahead," says Mona. "It is disingenuous of Outa to blame the agency of trying to use the toll portfolio's financial challenges to force the president's hand to sign the Transport and Related Matters Amendment Bill. Sanral implements government policy."
He says Sanral is awaiting the signing of the Bill by the president, and thereafter the minister may conclude the process to publish the final regulations and notices. "Once published, toll will commence within 14 days of the date of publishing."
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