Ford Ranger

The Gauteng provincial federal government has yet to show how it will fund its previously agreed 30% contribution of R12.9-billion of the total arrearage of R47-billion for stage 1 of the Gauteng Freeway Improvement Project (GFIP). This follows the announcement made by Finance Minister Enoch Godongwana during his 2022 medium term spending plan policy speech that national government would take control of the responsibilities of the South African National Roads Agency Limited for phase 1 of the GFIP.

A legal dispute over the granting of an environmental authorisation for a 5-km new road, the K148, in southern Gauteng has the potential to highlight serious legal impediments to the development of any new road in the increasingly traffic-congested province. This, owing to an alleged misalignment between provisions in the Gauteng Transport and Infrastructure Act (GTIA) with prevailing environmental legislation, as well as the reality of progressive encroachment of illegal settlements on to land “frozen” by the Act for future roads.

Gauteng Premier Panyaza Lesufi, in his State of the Province Address (SoPA) on February 19, stated the provincial government had met with the Finance and Transport Ministers on January 26, and that he remains positive Gauteng needs to be able to end e-tolls by March. According to Lesufi, the province and the Ministers discovered commonalities on Gauteng Freeway Improvement Project (GFIP) Phase 1 financial obligation, sunk capital investment (capex), the capex responsibilities of the province, the yearly upkeep costs for the GFIP Phase 1, the repurposing of e-toll gantries, the payment of the South African National Roads Agency’s GFIP financial obligation and the future funding of Phases 2 and 3 of the GFIP.

Industry body Engineering Council of South Africa (ECSA) has actually emphasised the significance of upkeep as a proactive measure against more decay of South Africa’s facilities. The council acknowledges the existing challenges dealing with the country however is positive about addressing them to ensure the strength and longevity of infrastructure. ECSA identifies various factors adding to facilities difficulties, such as adverse weather condition events linked to climate change, corruption and difficulties in allocation of maintenance funds. Despite these issues, the council stays favorable, highlighting the government’s concentrate on prioritising social services throughout and after the Covid-19 pandemic. This approach aims to enhance infrastructure and promote sustainable development.

Amid a progressing political landscape and the imminent obstacles of an upcoming national election, Consulting Engineers South Africa (Cesa) underscores the crucial requirement to speed up infrastructure development and for continuity in South Africa, emphasizing the significance of proactive planning and policy cohesion. “Following the numerous pronouncements made by public-sector entities relating to infrastructure, planning and spend, there is an urgent need to fast-track efforts to develop infrastructure in the nation ahead of the nationwide elections,” says CESA CEO Chris Campbell..

For the second consecutive year, international financial services provider Allianz’s Risk Barometer indicates that critical infrastructure blackouts attributed to power outages and the failure of ports, railways and road businesses pose the greatest risk for businesses operating in South Africa. The Allianz Risk Barometer compiles a yearly list of the top global business risks, based on the insights of more than 3 000 risk management professionals.

Between 10% and 12% of road users in Gauteng are still spending for e-tolls, despite the October 2022 announcement by Finance Minister Enoch Godongwana that e-tolls would be scrapped, Organisation Undoing Tax Abuse (Outa) CEO Wayne Duvenhage has said. Speaking at the South African Real Estate Investment Trust 2024 conference, in Johannesburg, on February 15, he stated that, in spite of Godongwana’s statement, federal government had still not officially ended e-tolls, allowing billing to continue for more than a year past its stated end date.