Logistics & Transport News South Africa

Two sources of funding not enough: Sanral

The South African National Roads Agency Ltd (Sanral) has few revenue streams and the fuel levy is not one of them, it said in court yesterday.
Coolcaesar via
Coolcaesar via Wikimedia Commons

The agency, whose e-tolls have been met with rejection by many Gauteng motorists, is defending its plan in the Western Cape High Court to toll segments of the N1 and N2 in the Western Cape.

The City of Cape Town has dragged the agency to court in an effort to thwart the tolls plan. Sanral's plan could result in 180km of highway being tolled. The proposed concession route along the N1 stretches from west of the R300 interchange to Sandhills, while the N2 portion extends from west of the R300 to Bot River.

"Sanral's funding is ... limited to only two sources of income: appropriations by Parliament and tolls... The appropriations, which Sanral receives from Parliament, are (and were) insufficient to fund the upgrading of highways, given Sanral's other commitments" it said in court papers.

Sanral's legal counsel, Bruce Leech, also questioned the city waiting nearly four years before launching its challenge.

The city mounted its legal fight in 2011, while the N1 and N2 were declared toll roads in September 2008. Leech said the delay was unreasonable and more than the 180-day period prescribed in the Promotion of Administrative Justice Act. The act states review proceedings must be brought without unreasonable delay and not later than 180 days, Leech said.

The case continues.

Source: Business Day

Source: I-Net Bridge

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