Plans to increase vehicle licence fees by 6%

2016-11-21 12:00

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The provincial transport department has proposed a 6% hike in motor vehicle licence fees.

According to a statement released on Monday, the Provincial Government Gazette has published the draft regulation pertaining to motor vehicle licence (MVL) fee increases in the province.

Department spokesperson, Siphesihle Dube, says the draft regulation is now open for public comment for a period of 30 days.

“While not required by law, we have continued to publish these draft regulations for comment so as to allow the over 1.7 million vehicle owners in the Western Cape the opportunity to submit their comments. This year, the proposed fee increases amount to an average 6% increase for the Western Cape.”

The provincial government relies on MVL fees to:
•    Build, upgrade and maintain the provincially-owned road network.
•    Assist municipalities to fund the maintenance of their more strategic roads.
•    Continue to reduce the maintenance backlog, which has been decreased by 16.2% over the last 6 years.

Dube says these fees, along with budgetary allocations, help keep the province’s roads in a condition significantly above that of other provinces, with many visitors to this province attesting to this.

“Our roads are an asset with an approximate value of R68 billion and they are consumed, over time, by over 1.7 million vehicle owners in the Western Cape and other users. National Treasury regulation 7.3.1 requires that all fees that are not or cannot be fixed by any law and that relate to revenue accruing to the revenue fund, must be reviewed annually and submitted to the Cabinet via the provincial Treasury.”
 
The closing date for comment is Thursday 15 December.

The draft regulation proposing the new motor vehicle registration and licence fees, as well as other information, is available here.

You can submit your comments to Randal.Barreiro@westerncape.gov.za or send a fax to 021 483 7112.

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