E-tolls: government to appeal ruling
Government will appeal the High Court in Pretoria’s interim order halting the implementation of e-tolling, spokesman Jimmy Manyi said on Thursday (17 May 2012).
“Cabinet has taken a decision to appeal the interim order to stop the e-tolling,” Manyi told a fortnightly post-Cabinet briefing.
He said the government only received a written copy of Judge Bill Prinsloo’s April 28 judgment late on Wednesday.
“As we are sitting here, our lawyers are studying the judgment and will advise the executive in due course.”
E-tolls put on hold
The e-tolling of Gauteng’s highway network, originally set to start on 30 April 2012, was postponed after a Pretoria High Court ruled in favour of Opposition to Urban Tolling Alliance (Outa) on 28 April 2012.
Outa led a successful campaign against The SA National Roads Agency Ltd (Sanral), having convinced Judge Bill Prinsloo that the e-toll system would prove to be detrimental to thousands of Gauteng residents, companies and commuters.
“I am alive to the fact that Sanral may suffer financial losses. This could result in its business rating being downgraded,” Prinsloo said in the High Court in Pretoria.
But tens of thousands of people will also suffer financial hardships if interim relief was not granted, added Prinsloo.
“People are held captive by the toll roads,” said Prinsloo.
As a result of the ruling, Sanral did indeed suffer a ratings downgrade from Moody’s rating agency on 4 May 2012. Sanral’s CEO, Nazir Alli, resigned shortly thereafter (8 May 2012).
Ruling will affect SA’s future
Addressing media regarding the e-toll ruling on 4 May 2012, Minister of Performance Monitoring and Evaluation, Collins Chabane said that decisions taken on the Gauteng Freeway Improvement Project (GFIP) would have implications for how future infrastructure projects are financed in South Africa.
It was necessary to guard against decisions and actions that might impact negatively “on our track record in the prudent management of government finances”, he told reporters, after Cabinet’s regular fortnightly meeting.
He said the government had to act responsibly, and ensure it and state-owned enterprises (SOEs) honoured their financial obligations timeously, he said.
“Government must also ensure that nothing compromises the huge infrastructure programme which is crucial for raising the level of South Africa’s economic growth, and for raising the standard of living of citizens, especially the poor and unemployed.”
Cabinet had appointed a special committee to be chaired by Deputy President Kgalema Motlanthe to co-ordinate all work around the GFIP. Committee members included the ministers of transport, finance, public enterprises, Chabane himself, and the director general in the presidency.
The committee would, among other things, move rapidly to ensure Sanral’s financial stability was not affected in any way.
With Sapa
Related articles
E-toll ruling will affect SA’s future says Cabinet
E-toll debt options being processed by Cabinet
E-tolls interdicted – OUTA wins
Loading ...