E-toll system was doomed from the start, says Outa

The Gauteng e-tolling system was a failure before it even started, an objector to the project has claimed.

The Organisation Undoing Tax Abuse (Outa) CEO Wayne Duvenage told the fourth and final transport forum working group on road funding in Pretoria last week that the system was already failing before his organisation launched its e-toll defence umbrella in October 2015, reports Pretoria East Rekord.

“E-tolling works in environments such as Singapore, Hong Kong, and Mexico but fails in many parts of the world as it has here,” Duvenage said.

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“The e-toll scheme is dead and barely covers the toll collection costs. To try and revive a defunct scheme is senseless, and to keep suggesting that e-tolls is the only user-pays scheme is incorrect.

“In the worst case scenario, the R47 billion debt must be funded with a hybrid of national taxes and a 15c increase in the fuel levy.”

However, CEO of Electronic Toll Collection Coenie Vermaak said it was clear that a fuel levy alone would not be enough to support and build new roads.

“The reason phase two and three of the freeway improvement project are on hold and that we have a R16 billion interest bill is because we have people promoting lawlessness,” said Vermaak.

“South Africa has very clear case law. The high court ruled that the project is legal and that a proper process of public consultation was followed.”

He said that the auditor-general and public protector had also given a green light to the system.

“Citizens need to take responsibility and be aware of the harm they are causing by stopping the building of road infrastructure, which would create jobs and grow the economy,” Vermaak said.

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