Fin24

AA welcomes fuel levy tolling proposal

2012-06-27 10:29

Johannesburg - The Automobile Association (AA) has welcomed the ANC's decision to consider using the fuel levy as an interim measure to pay for infrastructure upgrades.

“With the imminent reduction in the fuel price‚ it is an opportune time to take a portion of the decrease and add this to the levy‚ specifically to get rid of the tolls permanently and provide a funding platform for national road projects‚” the AA said on Wednesday.

“The issue of tolling has become highly politicised‚ and government should be encouraged to take this opportunity‚ which may be seen in a more positive light by consumers‚” said Gary Ronald‚ the AA’s head of public affairs.

‘With an anticipated 55 cents to 70 cents drop in the diesel and petrol prices next week‚ there would still be a significant saving passed on to the motorist‚ and the political ramifications of tolling will cease to exist. 

"However‚ the AA believes this must be seen as a permanent measure‚” he said.

Turning to what will be done with the erected gantries‚ the AA recommends a simple and effective solution.

“Current back-end systems exist that can monitor traffic and be used for crime prevention and traffic safety.

"The existing gantries would be perfectly poised to handle information such as vehicle identification‚ checking for stolen vehicles‚ fake number plates or hijacked vehicles and general traffic management‚” Ronald said.

 

Comments
  • NrGx - 2012-06-27 10:51

    before we celebrate, lets see how much they are going to add as an additional cost on the fuel levy!

      alan.gernet - 2012-06-27 11:10

      whatever the levy - at least it will be fair, as roads are National Assets and afect everybody. We also would then avoid the double cost because of the ludicrous collection costs.

      james.m.wood.773 - 2012-06-27 12:09

      never mind just that, but are we as a whle country now giong to have to foot the bill for GP roads, they say increase the levies and do away with the "tolls", now is that all tolls or only the one in Joburg, a bit unfair don't you think, unless of course they do get rid of all the tolls then I just might go for an addisional levy but what guarantee do we have that this money will go where it should, afterall this is the ANC we are talking about

      Dinonofopico - 2012-06-27 12:28

      why shuld everybody now pay for tolls in gauteng, even a person like me who use gravel roads?? how stupid r we? i dont buy that nonsense

      NrGx - 2012-06-27 13:06

      what I also dont find fair, what has been "implemented" in Gauteng, is now the entire countries problem. Can for-see huge uproar about this too as I dont think the Cape Townians will be happy to pay for something that would "benefit" Gauteng!

      Nick - 2012-06-27 13:26

      This is a brilliant idea! Should've been implemented from the beginning - years ago! Ring-fence "X" amount of the fuel price - say, 15 cents per litre (over and above existing budget allocations) - which would then go into the coffers on SANRAL - for National Route road construction and maintenance - country-wide - not just the Gauteng freeways.. Then - allow provinces to add, say 10 cents per litre - for Provincial Route road construction and maintenance - which would then allow for the provinces to upgrade and maintain the provincial routes.. These 'additional' amounts - combined with the amounts originally budgetted for in the national and provincial budgets - would allow our country to catch-up on the R150 billion road maintenance backlog we currently face.. Win-win-win. Only 25 to 30 cents more per litre (as an example - which is 'nothing' in today's terms anyways) - our roads get constructed and maintained - which in turn benefits the national, provincial, and regional economies - especially tourism and economic development, access to markets etc.. Also - we, as road users, have better, safer roads to travel on - less potholes etc - and fewer road accidents as a consequence of a road in poor condition.. :) Win-win-win. :)

  • leon.j.steyn - 2012-06-27 10:59

    Another day, another levy. Living costs increase by the day, and we only get a salary increase once a year, if we are lucky. No wonder there is so much strikes around the country. Look, if things were planned properly (instead of levy add-ons) each other day, the people of this country might be a happier folk.

  • peter.jefferies.90 - 2012-06-27 11:02

    What a load a crap!! Now we have opened the door for government to steal even more money that is harder to track well done to the person who suggested this. It is also probably going to be a higher cost then what was proposed for the tolls we just won't be able to see the cost!!!

      angela.salloway - 2012-08-03 10:11

      lmost last thing Trevor did was add 20cents to petrol as a levy suposedly for road maintenance, here did that go??

  • ashne.segal - 2012-06-27 11:02

    How much is is the fuel levy going to be increased by - shouldn't be more than 5c. The fuel levy is now almost the same as the petrol price if not more!

  • Johan De Beer - 2012-06-27 11:06

    No, hold on- I live in the Eastern Cape. Why must I pay for something that will not benefit me? If they fix our roads here, then it may be different.

      Bob - 2012-06-27 11:12

      Exactly Johan, I live in Cape Town, we do not have toll roads and almost certainly never would under the DA, now we must contribute towards yet another blunder by the ANC, if they would stop stealing all the money they wouldn't need to generate extra money to pay for the upkeep of the road system in this country.

      alan.gernet - 2012-06-27 11:12

      the fuel levy would apply to all roads being upgraded and maintained throughout the country. It would be unfair to tax only a certain demogaphic area, where businesses in that area are suppliers to the entire country. Roads are NATIONAL, so every road user should pay equally. The less you use the roads, the less petrol you use, and the less levy you pay. No fairer way than that!

      barker.ruing - 2012-06-27 11:14

      Gauteng taxes already benefit the poorer provinces. ANC = Robin Hood, take from the rich and give to the poor.

      daryn.varney - 2012-06-27 11:19

      Johan, the view is most likely (as it has been stated before) that the added levy (apart from servicing the sector that is worth the most in terms of revenue) will be used by SANRAL , the SOUTH AFRICAN ROADS agency, not the GAUTENG Roads Agency, this money will be used to fund all future road improvements. This is what OUTA had been fighting since it's inception, so why only NOW does govt seem to pay attention? All the underhanded dealings and bonuses and commisions etc are done I suppose. And as for uses of the gantries, they could add a Average speed prosecution option as well ( I mentioned this to my wife when the gantries were being erected). That way the Metro could also make some additional money on this by just sitting back and raking in the cash (almost like sitting on the side of the road hidden to trap motorists, but now they can be warm and cosy).

      Bongani - 2012-06-27 12:28

      Gauteng is the highest contributers when it comes to tax. if you say fuel levy must be paid by Gauteng only then we will withdraw our tax and see how your 5% eatern cape contribution will do.

      Henk - 2012-06-27 14:22

      Because we pay more tax in Gauteng than you!!

      lorna.m.eaton - 2012-08-03 09:43

      No! barker.ruing You're wrong! (ANC = Robin Hood, take from the rich and give to the poor) The ANC take from the rich and give to THEMSELVES.

  • Dawn Campbell Gibson - 2012-06-27 11:12

    tolls would affect those using highways, now all will be affected??? Does anybody believe the state of our roads will improve at all? I dont!

      alan.gernet - 2012-06-27 11:21

      Not true Dawn. All businesses using the freeways affect other areas of the country, food prices etc etc. And the plan is to roll out Toll Roads to the rest of the country too, so other areas will soon follow. Simply put - we all are affected, and somehow we still have to pay for the roads. Tolling involves ridiculous collection costs as well, which adds double to the cost of the upgrades. It is fair for all road users to pay for all upgrades throughout the country. What is stupid is to expatriate huge funds out of SA, and to have inflated costs for road maintenance and upgrades. Food and goods prices all get affected by transport costs, and nobody in SA anywhere escapes this. I take the point though that the ANC display extreme ineptitude at running anything efficiently, so the levy will pay for the existing upgrades, but that is not to say that future upgrades will happen, or happen efficiently.

      NrGx - 2012-06-27 13:09

      @Dawn - Have you driven along the toll road, it is incomplete and where it is complete, it is possibly even worse than before.

  • Hallo - 2012-06-27 11:15

    Again, Gauteng's GDP contribution to the country is close to 50%. Meaning the entire country benefits from the new roads. Everyone should pay. And thus contribute to the upgrading of the entire road system in the long term.

  • anesh.philip.3 - 2012-06-27 11:22

    The Lord Giveth, ZUMA Taketh...wtf. living in SA is become more and more miserable.

  • frank.swanepoel.3 - 2012-06-27 11:34

    If it will benefit ANY road upgrades in the Free State I will support this but since the secondary road I travel on every day has more potholes than tar on it, I don't see the need. Also fuel will increase again in the new future so food prices etc. will also increase again. You don't see any decreases when the fuel prices get lower.

  • john.jacobs.90663894 - 2012-06-27 11:43

    All OK, as long as they remove the levy once Gauteng Toll Project has been fully paid! There still needs to be an investigation into the project as a whole, to check for kickbacks, corruption etc. during tender process!

  • mj.oosthuizen - 2012-06-27 13:04

    We already have a fuel levy! Yes, thats right; to pay for our roads!

      Sandy Pretorius - 2012-06-27 13:50

      If this levy comes in then all tolls in the country should be closed, why must other provinces pay for Gauteng roads. Any idea if this is on the table?

      Rational100 - 2012-06-27 14:53

      Correction....A fuel levy is not for roads! ..even a train or generator that uses fuel gets charged a fuel levy. As such, a fuel levy is same as the ordinary tax u and me pay. The money probably goes into the same pot ...so to say. Having said that, the fact that mines also pay a road accident fund levy for fuel consumed in a mine implies a non-equitable charge to all sectors of the economy. As such, it shouldn't matter that we have a levy for Gauteng roads if we all agree that GP is the engine of the SA economy. One way or the other, each and every one gains from the locational position of GP.

  • renierf1 - 2012-06-27 14:43

    I appreciate that citizens from other provinces feel hard done by, as "only Gauteng" would benefit, but lets consider one key fact: The GDP of Gauteng is almost 34% of that of the country, and is at least DOUBLE that of KZN which comes in second (most complaints seem to come from CT). I believe it is safe to say that many other provinces benefit from taxes paid by Gauteng businesses and residents, every year. The next time the Minister announces a budget with tax cuts for individuals, remember to thank Gauteng for a third of that. Now that there is an opportunity for Gauteng to be helped by the rest of the country, the injustice of it is unbearable?! So come on, rest of SA.... A little help would be appreciated

      Rational100 - 2012-06-27 15:12

      In fact to rub it in... The trucks that damage the highway are often in a hurry to take goods and services to the other provinces anyway...

  • mohammed.abdulazziz - 2012-06-27 15:30

    To all the non-Gautengers, the tolling systems will/was going to be eventually installed in all provinces so its not about why should I pay. Its about stopping it now before it goes nation wide. Do you really think the government's plan was to only install tolling systems in Gauteng? This system collapsed in Germany within 8 months so i wonder what the government was thinking anyway. Well done AA.

  • acanter1 - 2012-06-27 16:00

    The AA should know better: The User-pays principle applies to a range of services -- water, electricity, gas, refuse, airports, etc, etc -- and suitably should apply to roads. The users of Gauteng's roads should learn to value that road, and a price-point is the correct manner to do that. To say its become "politicised" is not a rationale: Shame on you. Andrew Canter

  • retha.vosloo.5 - 2012-06-27 16:06

    A while ago I got this from a comment: \We consume 579,000 barrels of crude oil per day in SA (dep of stats) 1 barrel makes 71.92282 litres of fuel 71.92282 x 576,000 = 41,668,000 litres per day 41,668,000 x 365 days = 15,216,120,000 litres per year 15,216,120,000 x R2.50 road levy per litre = R38,040,300,000 per year 38 billion that is R38,040,300,000 x 21 years = R798,846,300,000 that is close to 799 billion Rand so what do we have here we collected 799 and spent 20 that we borrowed) where is my road tax levy????\. WHERE IS THE LEvY????

  • Heinrich - 2012-06-27 16:08

    We are one country and one state. We all pay for repairs when it comes to infrastructure since we all benefit in some way. Ditch the tolling system. Do proper accounting on how much money will be needed for the next 10 years of road repairs and building and tax according. Don't do things like eskom and these road upgrade and make MASSIVE improvements and bump up prices insanely.

      Heinrich - 2012-06-27 16:11

      I live in cape town BTW. This system of waiting for things to get f'd before frantically spending and trying to fix problems is stupid. Do your job GOVERNMENT!!!

  • erick.mamba - 2012-06-28 14:50

    Thats a perfect solution, atleast my transport cost will not shoot-up by R500/month since all road users will foot the bill. I'm quite confident the levy will be less since taxis and buses are not exempted and will strike if the levy is too high..

  • godwin.symons - 2012-08-15 21:32

    this government makes me sick. If they spent the money raised from fuel tax on transport and roads, we would have the best transport in the world. I do not support any further tax or levies on the fuel price. just use what we are paying for the intended purpose and there will be more than enough. Our politicians must stop being parasites on the community.

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