Fin24

Alli withdraws resignation at Sanral

2012-05-31 11:54

Cape Town - Sanral CEO Nazir Alli, who resigned last month, is to "stay put", Deputy President Kgalema Motlanthe said on Thursday.

"There is no search for a new CEO," Motlanthe said in Cape Town.

Speaking in Cape Town at a media briefing on the controversial e-tolling system that the government is seeking to impose on Gauteng highways, he confirmed the resignation had been withdrawn.

Asked if this meant Alli had withdrawn his resignation, he said the SA National Roads Agency Ltd's board had received the resignation, but Alli had proffered it in the belief that he was not contributing towards solving Sanral's problems.

"We received a letter of resignation... [but] indeed the problem did not revolve around him... So there was an understanding he stays put."

The board had still to formally deal with the matter.

Earlier, Transport Minister Sibusiso Ndebele told journalists what Alli had been trying to do with his resignation was say: "If I'm the problem, I want to remove myself."

However, the government felt Alli was not the problem.

"So that [his resignation] is not on... So we need to continue, particularly in this [coming] period, because we need all the experience that we have... we want all hands on deck," Ndebele said.

The government is considering introducing an appropriations bill to give Sanral a cash injection to allow it to service its R20bn debt, Deputy President Kgalema Motlanthe said on Thursday.

Failure to meet the SA National Roads Agency Ltd's debt repayments while the legal battle over e-tolling in Gauteng continued would have dire consequences for the roads agency and the country, he said.

"Government has to look at other ways of servicing that debt, which means taking away money from other allocation... hence the consideration of introducing this special bill to enable government to continue keeping Sanral in a healthy state of servicing the debt."

Motlanthe, who chairs an inter-ministerial committee handling the Sanral crisis, sidestepped a question on how much money would be allocated to the agency.

On April 28, the High Court in Pretoria handed down an order preventing the Sanral from levying or collecting e-tolls pending the outcome of a judicial review.

Moody's Investors Service subsequently cut Sanral's credit rating status to Baa2 with a negative outlook.

Last week, Finance Minister Pravin Gordhan approached the Constitutional Court in a bid to set aside the court order halting e-tolling.

Gordhan regarded his request as so urgent that he asked Chief Justice Mogoeng Mogoeng to convene the Constitutional Court during its annual July recess to hear the application.

Motlanthe argued, as Gordhan did in his application to the court, that High Court Judge Bill Prinsloo had ignored the principle of separation of powers.

"We take the view that the court judge Prinsloo over-stepped the line in terms of essentially imposing a moratorium on the collection of fees which has huge implications because Sanral has contractual obligations," he said.

"If there is delay in payment, the period is reduced and so it creates very serious financial challenges to government as a whole."

Cabinet appointed the special committee a month ago to co-ordinate the government's response to the court judgment and ensure Sanral's financial stability was not compromised.

In early May, the director general of finance, Lungisa Fuzile, said Sanral would be able to meet its financial obligations for some six more months, but only by making huge sacrifices.

 

Comments
  • ilan.arbel - 2012-05-31 10:28

    He makes it sound that its somehow the citizens fault that SANRAL is not making its debt obligations.

      Leon - 2012-05-31 12:29

      INEPTOCRACY - a system of government where the least capable to lead are elected by the least capable of producing, and where the members of society least likely to sustain themselves or succeed, are rewarded with goods and services paid for by the confiscated wealth of a diminishing number of producers.

      Leon - 2012-05-31 12:29

      INEPTOCRACY - a system of government where the least capable to lead are elected by the least capable of producing, and where the members of society least likely to sustain themselves or succeed, are rewarded with goods and services paid for by the confiscated wealth of a diminishing number of producers.

      Martin - 2012-05-31 13:21

      i take full responsibility for my share in debt, i refuse point blank, jail me, il be worse when i get out

  • ilan.arbel - 2012-05-31 10:29

    He makes it sound like it's somehow the citizens fault that SANRAL is not making its debt obligations.

  • sargon.lunderstedt - 2012-05-31 10:29

    Ag please , there is no way those freeways cost 20bn. America and Europe could have done the same with quarter that.

  • sargon.lunderstedt - 2012-05-31 10:29

    Ag please , there is no way those freeways cost 20bn. America and Europe could have done the same with quarter that.

      littlegiantn - 2012-05-31 12:08

      Are forgetting that a bigger portion of that bill went into private corrupt officialspockets..... aah...called deal makers.

      littlegiantn - 2012-05-31 12:08

      Are forgetting that a bigger portion of that bill went into private corrupt officials pockets..... aah...called deal makers.

  • ilan.arbel - 2012-05-31 10:30

    He makes it sound like it's somehow the citizens fault that SANRAL is not making its debt obligations.

  • farmfreund - 2012-05-31 10:33

    The problem i have with the whole Sanral concept is, the state wanted to divide the cost of using the road between mil of people by taxing the use of the raod via a toll system, everybody complained and the system was stoped in court, now who is going to pay for that system, only a had full of tax payers, instead of mil of drivers,

      Konstabel - 2012-05-31 11:22

      @farmfreund, what you are saying has some merit but the point is that the money that needs to be collected is far less as you don't have to pay for the huge operational cost of running the e-toll system. SANRAL's own figures showed that even with a full years income in 2013 they will hardly cover the cost of operating e-tolling. So basically none of the income generated will go towards paying off the debt so the tax payer will in any case have to cover that. In 2014 they estimate that they will miraculously more than double their e-toll income, how is this possible, you won't have twice the amount of vehicles on the road? the only way to achive this grwoth was by doubling toll fees. Whichever way you look at this e-tolling is such a flawed concept that anyone who recommended and approved it should be fired for gross incompitance. Nazir already jumped ship so he does not have to face the music.

      Konstabel - 2012-05-31 11:22

      @farmfreund, what you are saying has some merit but the point is that the money that needs to be collected is far less as you don't have to pay for the huge operational cost of running the e-toll system. SANRAL's own figures showed that even with a full years income in 2013 they will hardly cover the cost of operating e-tolling. So basically none of the income generated will go towards paying off the debt so the tax payer will in any case have to cover that. In 2014 they estimate that they will miraculously more than double their e-toll income, how is this possible, you won't have twice the amount of vehicles on the road? the only way to achive this grwoth was by doubling toll fees. Whichever way you look at this e-tolling is such a flawed concept that anyone who recommended and approved it should be fired for gross incompitance. Nazir already jumped ship so he does not have to face the music.

      Charles-Bronson - 2012-05-31 12:39

      Petrol tax - all motorists pay

      Andrea - 2012-06-01 10:35

      What they are going to do is get e-toll going, then within 6 months or less you will be advised that due to high running costs and debt payments they have to increase the toll by 3 times and then there is nothing u can do! They have your bank details so wham they will just debit you.

      Andrea - 2012-06-01 10:35

      What they are going to do is get e-toll going, then within 6 months or less you will be advised that due to high running costs and debt payments they have to increase the toll by 3 times and then there is nothing u can do! They have your bank details so wham they will just debit you.

  • ilan.arbel - 2012-05-31 10:42

    He makes it sound like it's somehow the citizens fault that SANRAL is not making its debt obligations.

  • wikus.schalkwyk - 2012-05-31 10:45

    wtf!?

  • Loo - 2012-05-31 10:46

    There goes the school textbook money I'm afraid. All because the Govt made yet another bad bad business decision and indebted themselves before properly investigating other options. TEXTBOOK economics lecture of how NOT to make business decisions and its consequences. Come to think of it the literature lecturers can use this as a typical "catch 22" explanation.

  • Loo - 2012-05-31 10:47

    There goes the school textbook money I'm afraid. All because the Govt made yet another bad bad business decision and indebted themselves before properly investigating other options. TEXTBOOK economics lecture of how NOT to make business decisions and its consequences. Come to think of it the literature lecturers can use this as a typical "catch 22" explanation.

  • Loo - 2012-05-31 10:47

    There goes the school textbook money I'm afraid. All because the Govt made yet another bad bad business decision and indebted themselves before properly investigating other options. TEXTBOOK economics lecture of how NOT to make business decisions and its consequences. Come to think of it the literature lecturers can use this as a typical "catch 22" explanation.

  • Melusi - 2012-05-31 10:47

    I really don't care!

  • christian.denyschen - 2012-05-31 10:48

    Start with the zulu king, there's a nice R59 mil you can take annually.

  • gregory.jurgens - 2012-05-31 10:50

    Deputy President Kgalema Motlanthe , what's obvious to me is you are becoming to popular, that's why you have been given this rotten potatoe to deal with. It's going to be difficult to deal with without upsetting someone. Good luck Comrade gentleman.

  • ntshembolloyd.shibambu - 2012-05-31 10:51

    firstly most pple dnt knw that it is not the first tym thi gvnment take money frm its pple the same why as e-tolls.pple u already bying cars with extra cash to this gvnment n i'm talking about a large amount hear.go n make some reseach if u dnt blv me.

      Mokete - 2012-05-31 11:00

      Two things.... If you comment, make sense in what you are saying and FFS, please use proper English or rather shut up.

      Alan - 2012-05-31 11:05

      WTF is that all about?

      Christian J Denyschen - 2012-05-31 11:06

      mokete its not school there's no teacher that's going to mark your comment for points.

      gregory.jurgens - 2012-05-31 11:08

      Stand up your voice is muffled .

  • capetownphotographer - 2012-05-31 11:07

    Govt pensioners have R15.7bn invested in SANRAL bonds. The ANC Government's dying over here.

  • capetownphotographer - 2012-05-31 11:07

    Govt pensioners have R15.7bn invested in SANRAL bonds. The ANC Government's dying over here.

  • Renard De Souza - 2012-05-31 11:08

    Stealing from Peter to pay Paul, bunch of clowns. Don't worry we'll foot the bill as usual!!!!

  • henry.murray.5 - 2012-05-31 11:13

    Great, they can start with 6 billion allocated to ministerial housing in CT and then maybe 59 mil for King goodwill. That should cover them for a while.

  • henry.murray.5 - 2012-05-31 11:13

    Great, they can start with 6 billion allocated to ministerial housing in CT and then maybe 59 mil for King goodwill. That should cover them for a while.

  • henry.murray.5 - 2012-05-31 11:14

    Great, they can start with 6 billion allocated to ministerial housing in CT and then maybe 59 mil for King goodwill. That should cover them for a while.

  • ianon.ym - 2012-05-31 11:17

    Carry on like this and soon you will have a revolution on your hands. People are no longer prepared to have their hard earned money squandered by blatant incompetent leadership.

  • rbphiri - 2012-05-31 11:17

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • rbphiri - 2012-05-31 11:18

    Ladies and gentlemen "special bill" is merely government's euphemism for further Tax.

  • ianon.ym - 2012-05-31 11:24

    Carry on like this and soon you will have a revolution on your hands. People are no longer prepared to have their hard earned money squandered by blatant incompetent leadership.

  • Koos - 2012-05-31 11:28

    This government is as screwed as this comments engine. It keeps on repeating itself.

  • isabel.ashe.7 - 2012-05-31 11:31

    there we go again. pay pay pay.. when are these people going to learn..They f..k up and we have to pay.. WHAT A JOKE....

  • isabel.ashe.7 - 2012-05-31 11:32

    there we go again. pay pay pay.. when are these people going to learn..They f..k up and we have to pay.. WHAT A JOKE....

  • isabel.ashe.7 - 2012-05-31 11:32

    there we go again. pay pay pay.. when are these people going to learn..They f..k up and we have to pay.. WHAT A JOKE....

  • dannymothilall.danny - 2012-05-31 11:33

    How stupid of the government to jump from the frying pan into the fire-their actions were taken before engaging their brains.They did not use participation from the public,instead went ahead with the stupid e-tolling-and now MOTHLANTHE tries to repair the damage by using tax payers money.Shame on the anc and the anc led government.

  • dannymothilall.danny - 2012-05-31 11:33

    How stupid of the government to jump from the frying pan into the fire-their actions were taken before engaging their brains.They did not use participation from the public,instead went ahead with the stupid e-tolling-and now MOTHLANTHE tries to repair the damage by using tax payers money.Shame on the anc and the anc led government.

  • brionyl.french - 2012-05-31 11:49

    SCAMRAL can suck my you know what!!!!! I will never ride on the PAYWAY!

  • Grump - 2012-05-31 11:51

    Stop any tax receipts collected in Gauteng from flowing to any other parts of the country until all its financial obligations have been fully met. Most of the rest of the country is free-loading on what is collected in Gauteng (and by free-loading, I imply wasted by government on their theft and corruption)

  • Dexter - 2012-05-31 11:52

    There is not one single member of the public who gives a @#$% about SANRAL's credit rating or the ANC's dilemma. You are on your own, collect all the tax money stolen by public servants over the last 18 years and you would be able to build new roads for the entire country. F@ck OFF ANC and SANRAL !!!!!!

  • danny.levin.351 - 2012-05-31 11:53

    Any such bill will never pass the constitutional court. Seeing that teh govt employees pension fund money has been invested in the E-Toll project then each one of them is a shalre holder who will benefit in his personal capacity. It is illegal to legislate in any manner to force citizens to pay towards anything form which the legislators will benefit personally. This is not taking into account the back-hand deals, it is based on known facts. The continuous attempts of the Govt to force the public to pay for this massive scam is proof that the ANC sees the public as a cash-cow to be milked at whim. I wonder if there will ever come the time when the masses that put this thieves in power wake up?

  • Nick - 2012-05-31 12:01

    there is no need for joe soap or the anc to bail the anc out sanral is in charge of all the tolls nationwide and they're coining it on the jhb dbn route and the bakwena all the way to zim making 100's of millions on a monthly basis they can cut some of that fat pie

  • Alan - 2012-05-31 12:09

    Eish - and now a sequel to "AliBaba and the 40.."

  • toofaan.monsoon - 2012-05-31 12:10

    20 Billion for 185 km of road works out to 108,000 rand per METRE !! And nobody once thought that this was just a bit much ?? Would still love to see the breakdown of costs, but of-course this will never come to light.

  • burtfred.brown - 2012-05-31 12:10

    There's no way the ANC want Alli giving evidence against them when this etoll saga goes to court. He knows far too much - they have to keep him on their side. I wonder what nice little financial consideration they have offered him to stay.

  • burtfred.brown - 2012-05-31 12:11

    There's no way the ANC want Alli giving evidence against them when this etoll saga goes to court. He knows far too much - they have to keep him on their side. I wonder what nice little financial consideration they have offered him to stay.

  • Phillip - 2012-05-31 12:11

    I say again, the taxpayer has already paid for more roads the available land in this country can ever deliver. Yet, even the brain-dead know that the pathway to road infrastructure revenue is via the petrol levy, but guess what the problem with that is? Yes, THAT golden goose is already heavily guarded by a fierce brother giant, who is unwilling to part with any of it's eggs. How then, do the other brothers eat? The whole E-tolling farce is nothing but that - a golden gantry to obscene wealth for the politically connected, through selective application of the famed 'Bias-Based-Buddy-Enrichment-Exercise'. There is no justification for it, and Mr Motlanthe would do better displaying the statesmanship by which he would be president, instead of lending his weight to a bullying, oppressive system which is expressly against the will of the peoples of South Africa, and an abomination that would hold the most profoundly negative effect for very ones on who he is hedging his political future. Before making threats to the beleaguered taxpayer, he might think of 'appropriating' the R57billion that goes down the municipal corruption pipe every year, or some of the taxpayer millions that land in Numero Uno's bank account every month as a 'thank you' from the Brothers Gupta for services rendered, via dickey little Dudu's bursting paycheck.

  • Phillip - 2012-05-31 12:11

    I say again, the taxpayer has already paid for more roads the available land in this country can ever deliver. Yet, even the brain-dead know that the pathway to road infrastructure revenue is via the petrol levy, but guess what the problem with that is? Yes, THAT golden goose is already heavily guarded by a fierce brother giant, who is unwilling to part with any of it's eggs. How then, do the other brothers eat? The whole E-tolling farce is nothing but that - a golden gantry to obscene wealth for the politically connected, through selective application of the famed 'Bias-Based-Buddy-Enrichment-Exercise'. There is no justification for it, and Mr Motlanthe would do better displaying the statesmanship by which he would be president, instead of lending his weight to a bullying, oppressive system which is expressly against the will of the peoples of South Africa, and an abomination that would hold the most profoundly negative effect for very ones on who he is hedging his political future. Before making threats to the beleaguered taxpayer, he might think of 'appropriating' the R57billion that goes down the municipal corruption pipe every year, or some of the taxpayer millions that land in Numero Uno's bank account every month as a 'thank you' from the Brothers Gupta for services rendered, via dickey little Dudu's bursting paycheck.

  • Phillip - 2012-05-31 12:11

    I say again, the taxpayer has already paid for more roads the available land in this country can ever deliver. Yet, even the brain-dead know that the pathway to road infrastructure revenue is via the petrol levy, but guess what the problem with that is? Yes, THAT golden goose is already heavily guarded by a fierce brother giant, who is unwilling to part with any of it's eggs. How then, do the other brothers eat? The whole E-tolling farce is nothing but that - a golden gantry to obscene wealth for the politically connected, through selective application of the famed 'Bias-Based-Buddy-Enrichment-Exercise'. There is no justification for it, and Mr Motlanthe would do better displaying the statesmanship by which he would be president, instead of lending his weight to a bullying, oppressive system which is expressly against the will of the peoples of South Africa, and an abomination that would hold the most profoundly negative effect for very ones on who he is hedging his political future. Before making threats to the beleaguered taxpayer, he might think of 'appropriating' the R57billion that goes down the municipal corruption pipe every year, or some of the taxpayer millions that land in Numero Uno's bank account every month as a 'thank you' from the Brothers Gupta for services rendered, via dickey little Dudu's bursting paycheck.

  • okoronkwojohn - 2012-05-31 12:12

    DA calls for President Zuma to step down, www.africagist.com

  • Carl - 2012-05-31 12:12

    More the reason why people dodge the tax man.Stuff the banks and keep every penny you have in a safe at home, bet you bank charges will go up.Petrol card tax etc. Iam starting to have second thoughts on the phrase "iam an honest tax paying citizen"