The Gauteng Provincial Government will fund its contribution towards the scrapping of e-Tolls by taking a loan or loans from financial institutions.
This was announced by Gauteng MEC for Finance, Jacob Mamabolo, during his budget speech this week.
However, DA Gauteng spokesperson for Roads and Logistics, Fred Nel said on Wednesday that Mamabolo’s indication that the Gauteng government aims to scrap e-tolls by 31 March 2024, depended on the provincial government's ability to raise a loan.
“Should a loan not be obtained, it will be back to the drawing board for the Gauteng government,” said Nel.
Mamabolo also said the provincial government needed to reach an agreement with the SA National Roads Agency (Sanral) about how it would contribute a further R4.1 billion towards freeway maintenance. However, he did not indicate whether motorists’ historic e-tolling debt would be written off.
Nel said the total minimum debt to which the Gauteng government had committed to in terms of scrapping e-tolls and for the freeway maintenance now came to R18 billion, excluding interest.
“How the debt will be serviced by the provincial government is still unclear. The issue on which the MEC was mum was whether historic e-toll debt would be written off. We need clarity on whether motorists will remain liable for their e-toll debts. The MEC needs to be clear on this.”
Nel said it was clear that the provincial government had committed to the e-toll debt without having the finances in place.
“Finance is yet to be secured. It is unacceptable that the residents of Gauteng will, in the end, pay double for the Gauteng freeway improvement plan. E-tolls have caused a massive tax burden on the people of Gauteng and will continue to do so even when the gantries are switched off,” said Nel.