The Gauteng government will spend R4.1bn on maintaining its freeways over the next four years as part of the process to end e-tolling in the province by the end of March.
This was revealed by Gauteng finance MEC Jacob Mamabolo when he tabled the 2024/2025 financial year provincial budget in the legislature on Tuesday.
Mamabolo said the province has accepted the 30% share of the e-toll debt which it will have to pay from its coffers to end e-tolling.
“The province has approached financial institutions to raise money required to honour its contractual obligations noting that the target for ending the tolling of the Gauteng Freeway Improvement Project (GFIP) on March 31.
“This matter has not been easy. I have been dealing with this matter from transport. It is one of the most difficult issues. The matter is not easy and it took time. What is exciting about it is that we have been making slow progress,” Mamabolo told journalists at a media briefing before delivering his budget speech.
Last month, Gauteng premier Panyaza Lesufi announced that the province would scrap e-tolls. The provincial government has to pay R12.9bn of debt for the money spent on the GFIP initiative.
This is the 30% of the total debt that the government must pay for the GFIP. In 2022, the National Treasury committed to settling the remainder of the debt to end e-tolling in Gauteng.
“With regards to the cancellation of the e-tolls, 14 days after the publishing of the deregulation gazette, road users will no longer be charged for the use of Gauteng freeways.
“Various processes will be in place leading up to the date, including turning the tag beeps off and stopping invoices to road users. Gantry lights and cameras will remain on as they will continue to be operated for other law enforcement purposes but will no longer be used for e-toll collection,” Mamabolo said.
For the 2024/2025 financial year, the total Gauteng budget increased by 2.5% to R165.8bn.
Staff costs, education and health take biggest slices
The allocation for education increased by 4% to R65.8bn, taking the biggest slice of the budget, while health increased by the same percentage to R64.83bn.
The education allocation includes R8.6bn in the current financial year and R24.7bn for the next three years to fund school nutrition, scholar transport, learning and teaching support material, independent school subsidies and the expansion of universal access to grade R.
Roads and transport received R9.43bn while human settlements received R5.7bn for the financial year.
Health and education account for 90% of the Gauteng government workforce. Spending on personnel now stands at R99.3bn.
Crime-fighting
Mamabolo increased the allocation for the fight against crime with the department of community safety receiving R2.3bn. The amount is expected to rise to R7.2bn in the medium-term expenditure framework period.
“This is to bolster law enforcement capabilities such as the crime prevention wardens, helicopters and drones to take crime fighting into the skies, the provincial integrated command centre, community policing initiatives, fighting gender-based violence ... as well as crime prevention programmes aimed at fostering safer communities,” Mamabolo said.
A total of R50m in the current financial year and R111.4m over the next three years has been allocated to the department of e-Government for the installation of CCTV cameras to monitor crime hotspots in townships, informal settlements and hostels.
The Gauteng department of infrastructure development was allocated R3.2bn to provide maintenance to all provincial assets under its care.
TimesLIVE
Gauteng to spend R4.1bn on highways as part of deal to end e-tolls
Gauteng government now going to get funding for the R12.9bn e-toll debt
Image: Penwell Dlamini
The Gauteng government will spend R4.1bn on maintaining its freeways over the next four years as part of the process to end e-tolling in the province by the end of March.
This was revealed by Gauteng finance MEC Jacob Mamabolo when he tabled the 2024/2025 financial year provincial budget in the legislature on Tuesday.
Mamabolo said the province has accepted the 30% share of the e-toll debt which it will have to pay from its coffers to end e-tolling.
“The province has approached financial institutions to raise money required to honour its contractual obligations noting that the target for ending the tolling of the Gauteng Freeway Improvement Project (GFIP) on March 31.
“This matter has not been easy. I have been dealing with this matter from transport. It is one of the most difficult issues. The matter is not easy and it took time. What is exciting about it is that we have been making slow progress,” Mamabolo told journalists at a media briefing before delivering his budget speech.
Last month, Gauteng premier Panyaza Lesufi announced that the province would scrap e-tolls. The provincial government has to pay R12.9bn of debt for the money spent on the GFIP initiative.
This is the 30% of the total debt that the government must pay for the GFIP. In 2022, the National Treasury committed to settling the remainder of the debt to end e-tolling in Gauteng.
“With regards to the cancellation of the e-tolls, 14 days after the publishing of the deregulation gazette, road users will no longer be charged for the use of Gauteng freeways.
“Various processes will be in place leading up to the date, including turning the tag beeps off and stopping invoices to road users. Gantry lights and cameras will remain on as they will continue to be operated for other law enforcement purposes but will no longer be used for e-toll collection,” Mamabolo said.
For the 2024/2025 financial year, the total Gauteng budget increased by 2.5% to R165.8bn.
Staff costs, education and health take biggest slices
The allocation for education increased by 4% to R65.8bn, taking the biggest slice of the budget, while health increased by the same percentage to R64.83bn.
The education allocation includes R8.6bn in the current financial year and R24.7bn for the next three years to fund school nutrition, scholar transport, learning and teaching support material, independent school subsidies and the expansion of universal access to grade R.
Roads and transport received R9.43bn while human settlements received R5.7bn for the financial year.
Health and education account for 90% of the Gauteng government workforce. Spending on personnel now stands at R99.3bn.
Crime-fighting
Mamabolo increased the allocation for the fight against crime with the department of community safety receiving R2.3bn. The amount is expected to rise to R7.2bn in the medium-term expenditure framework period.
“This is to bolster law enforcement capabilities such as the crime prevention wardens, helicopters and drones to take crime fighting into the skies, the provincial integrated command centre, community policing initiatives, fighting gender-based violence ... as well as crime prevention programmes aimed at fostering safer communities,” Mamabolo said.
A total of R50m in the current financial year and R111.4m over the next three years has been allocated to the department of e-Government for the installation of CCTV cameras to monitor crime hotspots in townships, informal settlements and hostels.
The Gauteng department of infrastructure development was allocated R3.2bn to provide maintenance to all provincial assets under its care.
TimesLIVE
READ MORE:
Gauteng government to borrow cash to pay R12bn e-toll debt in instalments
Teacher assistants have made an impact in schools, and families now have someone with an income
Integrated command centre operating in JHB CBD has led to at least 10 arrests a day
Joburg moves to empty and flatten unsafe buildings
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most read
Latest Videos