The National Treasury has warned that government will have to look at other sources of finance to make up for Gauteng’s e-toll revenue collection.<\/p>\n
In the National Budget document<\/a> <\/strong>published on Wednesday (26 February) treasury said that the controversial tolling system was currently a risk to South Africa’s fiscal outlook.<\/p>\n “Clarity on government\u2019s position on the user-pay principle as it relates to e-tolls (is still needed),” it said.<\/p>\n “Declining e-toll revenue will have to be offset by other measures to repay South African National Roads Agency Limited debt. It could also affect funding for other investment projects.”<\/p>\n Other ‘fiscal risks’ facing South Africa as identified by Treasury include:<\/p>\n Announcement from Ramaphosa “imminent”<\/strong><\/p>\n Gauteng Premier David Makhura also side-stepped the controversial topic of e-tolls in his state of the province address<\/a> <\/strong>on Tuesday (25 February), despite expectations that the issue would finally be addressed.<\/p>\n The premier only mentioned e-tolls once near the end of his more than two-hour-long address, noting that President Cyril Ramaphosa has made a decision on the matter, and would soon make an announcement.<\/p>\n “As the executive council, we made a strong and persuasive case to national government on the e-tolls. I have been assured by president Cyril Ramaphosa that a lasting solution has been found and an announcement by the president is imminent.”<\/p>\n At the end of 2019, finance minister Tito Mboweni said that the system cannot be\u00a0scrapped<\/a>\u00a0<\/strong>unless a replacement revenue source is found.<\/p>\n Mboweni said that financing the GFIP is done on a corporate finance basis and not a project finance basis.<\/p>\n This means that borrowing for toll roads is done on the basis that there is a revenue stream to finance the debt, he said.<\/p>\n\n
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