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Gauteng’s premier, Panyaza Lesufi, has welcomed the finance minister’s pronouncement on e-tolls.
In his medium-term budget policy speech on Wednesday, Enoch Godongwana said government would take on the e-toll debt to the tune of R47 billion.
The debt currently sits with the SA Roads Agency (Sanral).
Lesufi expressed his relief “at the finalisation of the e-toll matter”, which has been a thorn in the Gauteng government.
“We believe that this is an important victory as it brings great relief to the people of Gauteng who had to bear the brunt of paying e-tolls for roads which serve a national purpose,” he said.
READ: Gauteng to take over e-tolls as government indirectly admits its failure
The former MEC of education said they would engage with Sanral on the repurposing of the e-tolls infrastructure. Lesufi said the infrastructure could be used for fighting crime in the province.
“The provincial government will work closely with the National Treasury to ensure that revenue streams are found to settle Gauteng’s portion of the e-tolls debt amounting to R14 billion,” Lesufi said in a statement.
Sanral’s board also welcomed the decision. Themba Mhambi, the chairperson of the board, said “the announcement by government provided certainty regarding the Sanral Gauteng Freeway Improvement Project (GFIP) debt and the e-tolling scheme, in general.”
In his speech, Godongwana also announced that the Gauteng government would take responsibility for the maintenance and further expansion of the GFIP.
Mhambi said in a statement:
He continued: “Not only does government’s decision provide clarity for the road-using public at large but it also means that Sanral has significantly greater financial stability. We are particularly grateful that both the national and provincial governments have committed to taking responsibility for the debt and its interest. That is a great relief to our balance sheet.”
Organisation Undoing Tax Abuse (Outa), which has been pushing for the cancellations of e-tolls for years, also welcomed the decision.
“Well done, South Africans. E-tolls are finally dead and you did it.”
Outa’s CEO Wayne Duvenage said in a YouTube video reacting to the announcement:
Duvenage said government had no choice but to cancel “their irrational, expensive and inefficient e-toll decision.”
“This successful civil disobedience campaign was not about the freeway upgrade. It was about a finance scheme that was not introduced to serve the best interests of the people. Sanral didn’t meaningfully engage with the public and government did not heed the calls of society.
“From this resounding victory by the people, we trust that government will learn to start serving society better and make decisions that suit the best interests of the public,” Duvenage said.
