The Gauteng government continues to chip away at its R15.9bn debt for the scrapped e-toll system while battling budget constraints.
The gantries of the controversial Gauteng freeway improvement project (e-toll) gantries were disconnected in April 2024 after years of contestation by civil society groups.
The provincial government inherited 30% of the debt with interest, which amounts to R15.9bn.
Gauteng finance MEC Lebogang Maile, briefing the media on Sunday, said the provincial government would pay the SA National Roads Agency (Sanral) R3.4bn on Monday in servicing the chunky debt.
In September, it paid R3.8bn, which included R546m for Gauteng’s freeway network maintenance.
“In addition to the e-toll payment, tomorrow [Monday], the provincial government will also transfer an amount of R2bn as part of the contribution towards the backlog of rehabilitation to restore … freeways to an acceptable condition before Sanral resumes its obligations for all future maintenance funded by the national fiscus,” Maile said.
The provincial government’s total contributions, including the e-toll debt, to Sanral amounts to R20bn.
“The scope of these projects relates to maintenance, upgrades and capacity expansions of 185km on the N1, N3, N12, N14 and R21. These freeways are vital for facilitating efficient transportation and supporting economic activity by providing high-speed, controlled access routes for vehicles.”
The government plans to pay the e-toll debt over five years. In 2022, the provincial government entered into an agreement with the National Treasury and the transport department to pay 30% of the debt while the national government would cover 70%.
Maile said the provincial government prioritised servicing of the debt amid constrained budgets.
“The … funding envelope is stretched by existing allocations, particularly in terms of keeping critical social programmes in health and education funded. Nevertheless, we reaffirm our commitment to the residents of Gauteng that the servicing of the e-toll debt will not compromise our priorities,” he said.
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