This is how the MK Party said it would have avoided the R5 billion e-toll bailout blunder

uMkhonto weSizwe (MK) Party said it would have done better than the current ruling government on etolls.

uMkhonto weSizwe (MK) Party said it would have done better than the current ruling government on etolls.

Published Dec 9, 2024

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The uMkonto weSizwe (MK) Party has condemned the allocation of R5 billion through the Special Appropriations Bill to settle the e-toll debt, stating it is a glaring example of poor governance and the lack of innovative thinking. 

It said this bailout places an unnecessary burden on South Africa’s overstretched fiscus, highlighting the failures of leadership within the DA-led coalition with the ANC and other partners.

“If the MK Party were at the helm, this situation would have been handled differently, with bold, sustainable solutions that prioritise fiscal discipline and the public good. The MK Party has always championed innovative, people-centered approaches to public policy. Unlike the DA-led coalition’s short-sighted reliance on taxpayer funds, the MK Party would have addressed the e-toll crisis through solutions that ensure infrastructure projects are self-sustaining while protecting the public purse,” the party’s national spokesperson, Nhlamulo Ndhlela said. 

The party laid out a five-point plan on what it would have done:

Public-Private Partnerships (PPPs)

It said it understood the value of engaging the private sector to manage public infrastructure. 

“Instead of bailing out the e-toll system, the Party would have sought strategic partnerships with private investors. These partners could have taken over the debt in exchange for long-term infrastructure management contracts, ensuring efficient road maintenance while relieving the government of financial obligations,” Ndhlela said.

Infrastructure Bonds 

The party said the e-toll debt would have been resolved by issuing infrastructure bonds, targeting institutional investors like pension funds. 

“These bonds would have offered competitive returns while enabling the public to contribute to the country’s infrastructure development. This approach aligns with the MK Party’s ethos of shared responsibility and sustainable development,” Ndhlela said.

Revenue-Generating Initiatives

It further stated it would have turned the e-tolls into revenue-generating assets by monetizing adjacent infrastructure such as advertising billboards, service stations, or fiber optic installations. 

“The party would have created long-term income streams to offset the debt. This would have ensured that Gauteng’s roads paid for themselves, without dipping into the fiscus,” Ndhlela said.

Dynamic Tolling and Congestion Charging 

“Recognising the public’s resistance to flat-rate e-tolling, the MK Party would have implemented a dynamic tolling system based on distance traveled or introduced congestion charges in high-traffic areas. These measures, successfully used in cities like London and Singapore, would have balanced revenue generation with fairness and public buy-in,” Ndhlela said.

Fuel Levy Ring-Fencing

“As a last resort, the MK Party would have considered a temporary increase in the fuel levy, ring-fenced specifically for the e-toll debt. Unlike the DA/ANC coalition, the MK Party would ensure transparency, with a clear timeline for the levy’s removal once the debt was repaid,” Ndhlela said.

The party said the DA/ANC coalition reliance on the fiscus to resolve the e-toll debacle revealed an absence of accountability and bold leadership. 

“By resorting to a R5 billion bailout, the government has set a dangerous precedent: failed projects can always be rescued with public funds, no matter the cost to taxpayers. The MK Party, in contrast, believes in holding decision-makers accountable. Under its leadership, those responsible for the e-toll fiasco would have faced scrutiny, and the public would have been actively consulted on alternative solutions,” Ndhlela said.

The party believes the money used for the bailout would have been better used to address national priorities such as increasing civil servants’ salaries, investing in healthcare, or upgrading infrastructure in underserved areas. 

It said, instead, the funds are being wasted on cleaning up the mess of a poorly executed tolling system. 

“Had the MK Party been in charge, South Africa would not find itself in this position. The party’s focus on innovation, accountability, and fiscal discipline would have ensured that the e-toll system was either restructured to work efficiently or replaced with a sustainable, fair alternative,” Ndhlela said.

The MK Party has called for a change and said South Africa deserves better than reactive governance and fiscus-dependent bailouts. 

“The MK Party remains committed to offering real solutions that prioritize the needs of the people and protect the country’s financial future. The R5 billion bailout is a stark reminder of what happens when bold leadership and great ideas are absent. It’s time for South Africa to embrace a new era of governance - one where innovation, accountability, and the public good take precedence over political expediency,” Ndhlela said.

robin.francke@iol.co.za

IOL

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etolls