Posted on

SANRAL must innovate not prosecute

 

The South African Roads Agency Limited (SANRAL) has finally admitted that due to non-compliance, the system of e-Tolling that it implemented in Gauteng has not successfully generated the revenue it needs to upgrade road networks, and in future, will have to look to alternative models of funding.

 

Since the inception of e-Tolls on Gauteng’s roads, the DA has strongly condemned the double taxation of motorists and the knock-on effect that this has had on the province’s economy.

 

A nominal, ring-fenced fuel levy should have been introduced to collect monies owed to pay back the bonds SANRAL raised to complete the first phase of the Gauteng Freeway Improvement Project. However, likely suspicious practises saw the introduction of a convoluted e-Toll collection system, which gave rise to astronomical collection fees to collect monies owed by motorists, all of which make their way offshore.

 

Instead of innovating and thinking out the box, SANRAL will waste more money – which could be pumped back into this project as well as future road projects, to seek legal action against motorists who refuse to pay for a system which they simply cannot afford.

 

SANRAL has based its legal argument on a default judgement where the defendant failed to appear in court to defend themselves. However, once legal proceedings get underway, it is highly likely that those who have been summoned by SANRAL will defend themselves in court and that these cases will be thrown out.

 

SANRAL should look to more long-term, sustainable solutions to fund roads that it intends to build as it is clearly evident that e-Tolls are not only unjust but unsustainable.

 

The DA will continue to fight against e-Tolls and support organisations like OUTA who have pledged to defend motorists in court.

Media Enquiries

Fred Nel MPL
DA Gauteng Shadow MEC for Roads and Transport
083 263 2427

Warren Gwilt
Media Manager
073 601 6144

Posted on

MEC’s Budget Fails To Tackle Gauteng’s Problems

Well-connected political elite continue to prosper at detriment of ordinary citizens

Gauteng Finance MEC, Barbara Creecy’s 2017/18 budget is out of tune with the tough economic climate faced by millions of Gauteng’s residents – and will continue to perpetuate a system where the well-connected political elite will continue to prosper at the detriment of ordinary citizens.

MEC Creecy indicated that Gauteng’s share tax income has diminished due to constraints placed on National Treasury – but instead of working smart with less, no tangible cost containment measures have been put in place to curb exorbitant expenditure on travel, catering, advertising and events, despite the statements in her speech.

The much publicised open tender system has not been rolled out effectively enough to combat tender fraud. Only R9.3billion spread across 38 tenders have undergone the open tender system – the majority remain behind closed doors, and this is nearly three years after the launch!

Administration needs to do more with less

While the ring-fencing of R12.5 billion for infrastructure projects is welcome, it must be noted that there has been a drastic cut to the infrastructure budget for roads. This at a time when the first phase of the Gauteng Freeway Improvement Project has reached the end of its lifespan, and no inclusive transport plans have been made available other than the announcement to expand the Gautrain. The MEC’s silence on e-Tolls is telling after the Premier washed his hands of the issue in his State of the Province Address.

In the previous financial year, the ANC-led administration put aside R100 million rand to bolster its election support through what it labelled “voter education”. Given the recent Life Esidimeni debacle, it is disheartening that the same emphasis could not be placed on ring-fencing funds to assist mentally ill patients.

While the increased funding to Health and Education is most welcome, it arises from the need to pay last year’s bills with this year’s money however this money could have been used to address current challenges. Service providers must be paid on-time, in line with legislation and new schools must be completed to spec, within budget and on time.

MEC Creecy spoke about the increased need for cooperation between the private and public sector, yet she down plays the fact that the ANC, under President Jacob Zuma is slowly eroding private property rights – a point that will deter investment.

This administration needs to do more with less for the people of Gauteng, but until those who operate behind the scenes – who manipulate tenders, inflate costs and collude are brought under control, residents of the province will not benefit from this budget.

 

 

Media Enquiries:

Adriana Randall MPL

DA Gauteng Shadow MEC on Finance

060 556 4342

 

Ashor Sarupen

DA Gauteng Spokesperson on Finance

060 558 8303

[Image source]

Posted on

SANRAL Finally Acts On Collusion

SANRAL

The DA congratulates the South African Roads Agency Limited (SANRAL) on eventually deciding to sue the construction companies who conned them of up to R760 million or perhaps even more.

We wish SANRAL well in their recovery efforts and look forward to e- toll rates being reduced by a similar percentage

We note Vusi Mona’s unlikely story of ‘getting their ducks in a row’ before initiating action. The DA informed the Gauteng Department of Roads and Transport and SANRAL several years ago that the charges being imposed on the Gauteng Freeway Improvement Project were far in excess of world norms and standards, only to be ridiculed by Nazir Alli et al and nothing was done.

If the SANRAL officials spent more time corroborating the value of contracts and listening to public opinion their tasks would be far easier.

 

Media enquiries:

Dr Neil Campbell MPL

DA Gauteng Shadow MEC for Roads and Transport

082 387 2540

[Image source]