KZN call to halt road upgrade projects slammed

The South African Road Federation (SARF) has condemned a statement by the KwaZulu-Natal Transport Department on February 3 in which it called for an immediate halt to major road infrastructure projects in the province due to a perceived cash-flow crisis. Professional adviser and SARF spokesperson, Malcolm Mitchell, says the announcement brings to the fore the whole issue of road financing in South Africa. “Despite the recent increased funds allocated by the Treasury to road authorities, it appears from the KZN statement and other sources that road authorities are not able or willing to meet their roadinfrastructure obligations to the public. “As a country we neglect our road network at our peril. “It should be stressed that it is not the function of road authorities to source the necessary funds for road building and maintenance, but that of the Treasury and politicians. However, road authorities need to justify the funds they require and, more importantly, ensure their effective and efficient use. Recent research has revealed only Sanral and some metropolitan road authorities displayed sound financial management of their road funds.” SARF believes that a comprehensive road-needsstudy should be carried out for the South African intercity road network. The last such study was conducted in 1983. “Now is the time to examine the whole rationale for road funding in South Africa. With the rapid development of technology to reduce fuel usage in motor vehicles combined with diminishing crude oil supplies, it seems likely that the funds raised via the fuel tax, which up till now has been the prime source of road funding, will be severely eroded. “Moreover, international research on transport financing shows the fuel-tax approach only satisfies the feasibility aspect and falls short on efficiency, equity, environmental sustainability, revenue adequacy and sustainability. Because of this, international research is focusing on a mileagebased- user-funding approach and many techniques have already been identified,” said Mitchell.