Logistics & Transport News South Africa

SAVRALA rejects adjustment to toll fees for GFIP

Following the Finance Minister Pravin Gordhan's reference to reduced toll fees for the Gauteng's Freeway Improvements (GFIP), the South African Vehicle Renting and Leasing Association (SAVRALA) is adamant that this funding mechanism is inefficient, impractical and unacceptable.

"We salute the Minister for apportioning R5,8bn of our taxes toward the GFIP, but ask why stop at a quarter of the amount required, especially in light of the extra 20c added to the fuel levy?" says Wayne Duvenage, vice president of SAVRALA.

Duvenhage says it is incorrect to assume that because the improved freeways will reduce congestion, save costs and improve safety, it must now be accepted that the funding thereof to be conducted through a complicated, inefficient and extremely costly process. The GFIP urban tolling plan has been ill-conceived and thrust upon the Gauteng road user with minimal consultation or consideration to its impact. Even at 10c per kilometre, it is the principal of tolling the urban daily routes to work and back that is wrong. The implementation of an efficient road infrastructure is one of the roles of Government, and they are tasked to do this in the most efficient manner possible for its citizens.

Sufficient funds are available for upgrading and maintenance

More frustrating is the additional 20c to the fuel levy which means that the current R1.77c fuel levy will increase to just under R2 per litre from April. This will secure around R27bn per annum going forward. Combine this with the existing long distance toll revenues, local licence fees and some input from the national treasury pot and there is sufficient funding for the national road infrastructure upgrading and maintenance, if the money is spent wisely.

The fuel levy is the most efficient and equitable user-pay principle, which, when applied ensures that all road users contribute to all roads in direct proportion of their usage. Every time one fills a tank with fuel, they contribute approximately R140 toward the maintaining and building an efficient road system. To toll the GFIP suggests that all road upgrades in future should be tolled - unless SANRAL plans to be inconsistent with this principle.

Toll system is immoral and wrong

Gauteng citizens more than pay their way toward the total tax basket of the country's economy and yet receive much less in return. To now burden this economic hub with a cumbersome, expensive and inefficient urban toll system is immoral and blatantly wrong. It is also wrong to assume that because the gantries are built, there is no turning back. There is a far more viable alternative and SAVRALA, along with a number of other business associations will now seriously consider a joint legal challenge against this process. Initial consultations have revealed significant transgressions of the law and the constitutional rights of the public in this regard.

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