The Gauteng Provincial Government (GPG) is today expected to pay some R3.3 billion to service the outstanding e-tolls debt.
This was announced by Gauteng MEC for Finance and Economic Development, Lebogang Maile, during a media briefing on Sunday.
E-tolls were scrapped last year following years of discontent from road users in an agreement between the provincial government and National Treasury.
The GPG committed to paying some 30% of the historic debt.
“... The Gauteng Provincial Government will honour the province’s obligation by paying the second instalment towards the e-tolls debt, as disclosed in the 2025 Medium Term Expenditure Framework.
“The amount due… based on the Memorandum of Agreement, is R3.3 billion in terms of the historic debt. This is the amount that we will be paying to National Treasury as part of our 30% contribution,” Maile said.
This will be the provincial government’s second instalment.
“On the 30th of September 2024, the Gauteng government made the first instalment amounting to R3.8 billion. This instalment consisted of R3.2 billion historic debt and the maintenance portion of R546 million,” Maile said.
According to the MEC, the 30% allocated to the provincial government for payment amounts to at least R12 billion, “with interest of R3.3 billion, bringing the total amount payable to R15.9 billion”.
“This contribution will be made over five equal annual [payments] at government five-year interest rate.
“In addition… the Gauteng Provincial Government also made a commitment to contribute towards the rehabilitation of nine projects that the [South African National Roads Agency] is undertaking. These projects, which are part of the Gauteng Freeway Improvement Project 1, are aimed at the amelioration of the Gauteng freeway network and will cost the provincial government a total of R4.1 billion.
“Congruent to this… the Gauteng Provincial Government announced that as part of the province’s arrangement to service the debt, a provision for honouring this commitment will be pencilled into the 2024 fiscal framework.
"Since making this announcement… we have maintained the necessary fiscal discipline to ensure adherence to this commitment,” Maile said.