News South Africa

Gordhan: User pays principle, sacrosanct on tolls

The "user pays" principle is sacrosanct and lobbies against toll roads are misguided, according to Finance Minister Pravin Gordhan.
(Image: GCIS)
(Image: GCIS)

"This is not a free society. What we want is a balance between the state's contribution and the user's contribution," he said on Friday.

In answer to a question from I-Net Bridge/Business Live, he said the over R5 billion being given to reduce the toll road debt and the charge to 30c/km had not been taken from the youth jobs fund, which was meant to be implemented this year at R5 billion, but received short shrift in the Budget.

"We have gone out of our way to find that. That money could have gone to schools and hospitals."

Instead, he said the jobs fund had not been sidelined. He explained the money going towards the tolls had become available due to the R10 billion in additional government tax revenue that "we didn't anticipate". "The down payment comes from those sources".

Commissioner Oupa Magashula, who was praised for ensuring more money had come in, said Treasury was and has been thinking of ways to implement the jobs fund.

Gordhan said jobs fund administrators would be announcing a second invitation for this fund's contribution.

"It's pretty much alive and well."

Source: I-Net Bridge

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