The R43-billion debt that Sanral has amassed on the e-toll system will be paid off using taxpayer money from across the country, at least in part.
While the e-toll system in Gauteng will officially be shut down from 12 April 2024, taxpayers will ultimately be covering at least a portion of the outstanding debt on the project.
Treasury’s income is derived directly from taxes paid in the country, over a third of which is contributed by personal income tax on salaries and other earnings.Effectively, the R30.1 billion being paid to Sanral is a bailout funded with taxpayer money. During his budget speech in February 2024, Gauteng Treasury MEC Jacob Mamabolo said that the province’s contribution would be funded by a loan or loans from financial institutions, which the government said it was confident it would have secured by the end of March 2024.
Mamabolo said this would be possible due to the government expanding its footprint of motor vehicle licence renewal locations.The Democratic Alliance expressed concern over the GPG committing to taking over the e-toll debt without finances being in place. Gauteng typically receives the most. With last year’s budget, it was allocated R143 billion of the R660 billion earmarked for provinces.
E-Toll Etolls Gauteng Provincial Government (GPG) Headline Jacob Mamabolo National Treasury Panyaza Lesufi Motoring
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