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Union wants RAF levy rebate

Johannesburg - Trade union Solidarity on Wednesday called on government to come up with a comprehensive plan to curb increasing fuel prices.

A report published by the trade union suggested a number of ways in which fuel taxes, among other things, could be kept under control.

One of Solidarity's recommendations is a renewed investigation of the efficacy of the road accident fund.

"Consumers currently pay 46.5c/l to this fund, which has already been characterised as inefficient and corrupt. Solidarity feels that consumers who already enjoy similar benefits through alternative insurance or funds should be able to claim a rebate on this levy," said Jaco Kleynhans, Solidarity spokesperson.

Solidarity added that the road accident fund in its present form is inefficient due to high levels of corruption.

About R1.27 from every litre of fuel sold in South Africa goes to the treasury, adding R23bn to government coffers last year, the union's report claimed.

Solidarity wants an investigative team to weigh up the viability of a number of options and to arrive at a solution that will serve the interests of the consumer.

"Sharply rising oil prices mean that South African consumers are faced with a crisis, but this crisis can be alleviated by effective government intervention. Rebates and other measures should be reviewed in times of crisis, such as we are experiencing at the moment," Kleynhans said.

- I-Net Bridge

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