Sanral set to get more cash from govt
The transport minister will announce how much more funding will be allocated to Sanral.
CAPE TOWN - The government agency in charge of the national road network is to be allocated more money.
Transport Minister Dipuo Peters is expected to announce how much more funding will be allocated to the South African National Roads Agency (Sanral) when she delivers her budget vote speech in Parliament later today.
Peters says Sanral's network is growing, which means it needs more money.
"There is an additional 1,700 and more kilometres that provinces are giving to Sanral."
Meanwhile Sanral's CEO Nazir Alli has dismissed claims that the agency, which is a limited public company, is in financial trouble.
"We are not running into bankruptcy."
But he admits there hasn't been an appetite for Sanral bonds because of an uncertainty around the e-toll system in Gauteng.
Sanral began losing bidders in June last year after the Gauteng provincial government set up a panel to review the effects of the tolling system.
Peters says a team led by Deputy President Cyril Ramaphosa is concluding talks on the future of Gauteng's e-toll system.
Ramaphosa has been leading the process which includes Treasury, Sanral and the Gauteng provincial government after the e-toll review panel released a report on the socioeconomic impact of the e-toll system in the province.
The panel has recommended a hybrid funding model for highway upgrades.
Peters says an announcement will be made.
"I'm happy to indicate that the process is almost nearing conclusion. And when done, the deputy president as the key driver of this process would be making the pronouncement on where we are with regard to the consultation after the panel has presented its report to the premier."
Sanral has not been able to raise enough money at its bond auctions because of uncertainty around the Gauteng Freeway Improvement Project.