Sanral has said that 84% of its portfolio is non-toll and 16% is tolled. They have also said that Treasury gives them R10 billion per annum for the 84% non-tolled roads.
It was reported in The Citizen today that SARS collected over R800 billion is taxes for 2012. Of that personal income tax accounted for 34%, VAT 26.4% and the fuel levy was 5%. So the fuel levy brought in R40.65 billion. It does make one wonder if we got R40 billion from the fuel levy then why does Sanral only receive R10 billion?
One of Sanral’s mantras has been that the user pay principal will apply. Now I’m not going to go into why I think this is a stupid idea but I think it will be more productive to look at how much Gauteng has spent on roads it does not use.
As Sanral said 84% of it’s roads are not tolled and are paid from Treasury. Now given the size of Gauteng I think it would be fair to say that the majority of these roads are not in Gauteng. I haven’t found a breakdown, by province, of the fuel levy but I think it would be fair to say that Gauteng contributes more than its fair share. This is not a total thumb suck. As of Nov 2010 Gauteng accounted for 39.01% of all self-propelled vehicles in the country, the second province was WC at 16.42%. More vehicles should mean more fuel which would mean more levies collected. If you try to say that the money that Treasury gives to Sanral does not come from the fuel levy then you have to bear in mind that about 46% of the personal income tax earned was paid by Gauteng and given the population size of Gauteng a high percentage of VAT would have been paid by Gauteng.
So why is it that it is alright for Gauteng to pay for roads that it does not use but when it comes to the roads it will be using it is the only one that has to foot the bill? Another question that I haven’t heard asked is why did Sanral decide to upgrade all the highways at once, why did they not do it piecemeal as they had the funds for it?
P.S. Not sure if links worked if not go to:
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