Pro-poor approach to e-tolls emphasised in submission to review panel

The extent to which toll fees on Gauteng freeways have been reduced to benefit road users - especially the poor - were described in great detail to the e-toll review panel, meeting in Pretoria today.

In a comprehensive submission to the panel appointed by Gauteng premier, David Makhura, the acting Director-General of Transport, Mawethu Vilana, provided details about the decisions taken by the Department and the SA National Roads Agency (Sanral) to mitigate the impact on motorists through major concessions offered to registered e-tag holders.

Mr Vilana noted the fact that "Sanral does not make a profit from tolling and that there was no option to reduce toll tariffs by reducing any profit margin".

One of the most significant interventions was to exempt all public transport vehicles - including buses and minibus taxis - from e-tolls provided they register for and acquire the Sanral e-tags. This was a major move to assist the 65% of Gauteng residents who use taxis as their primary means of transport and means that the costs associated with e-tolls need not be passed on to the majority of the province's residents.

This also demonstrated the commitment by government to promote and support public transport options, he said.

Mr Vilana emphasised the benefits to road users who register for e-tags and, thus, qualify for reduces tariffs and special concessions.

The original tariff applicable to light motor vehicles announced in February 2011 was 66 cents per kilometres with a 30% discount (40c/km) for e-tag holders. Following a decision by the Minister of Finance to lower tariffs ? through a R5.7-billion allocation ? the tariff for e-tag holders was lowered to 30 cents per kilometre - representing a 48.3% discount on the standard tariff for unregistered vehicles.

In addition, the monthly tariff for e-tag users was eventually capped at R450 for light vehicles, R1 750 for medium heavy and R3 500 for large heavy vehicles.

Following consultations with stakeholders a number of "time-of-day" discounts were introduced to encourage private vehicle use during non-peak hours while tariffs for heavy vehicles were also reduced. Even non-registered road users benefited from the new stipulations through a reduction to 58c/km from the original 66c/km.

Mr Vilana also refuted claims by e-toll critics that inadequate public consultation took place prior to the introduction of e-tolls. He referred to media reports on the system dating back to 2002, adverts placed by Sanral in early 2007 and the opportunities given to the public and stakeholders to comment on the system between October 2007 and April 2008.

A steering committee, consisting of representatives from the Department, the National Treasury, the Gauteng Province and Sanral consulted received submissions from the public and stakeholders, investigated fuel levy considerations and considered options to reduce GFIP toll tariffs. A comprehensive report was compiled with recommendations to the minister. Cabinet announced the revised toll tariff and discount regime as was recommended by the committee.

In 2012, cabinet appointed the inter-ministerial committee under chairmanship of the then deputy president to further engage with stakeholders and seek solutions.

The adequacy of the consultation process was also upheld in a landmark judgement by Judge AJ Vorster in the Pretoria High Court when he dismissed, with costs, an application by anti-e-toll lobby groups to declare the system unlawful.

Issued on behalf of the Department of Transport.