AA Reaction to the Budget Speech

Taxes on fuel rise by 28 cents a litre from 1 April 2012. This includes 8 cents a litre contribution to the Road Accident Fund.

An additional R5.75 billion has been made available to SANRAL to cover its debt position regarding the Gauteng toll roads and further concessions have been granted in regard to tolling.  The most significant being the capped toll fee for individuals of R550 per month.

The AA is still of the view that the toll issue should be funded from the fuel levy, regardless of these latest concessions from government. 

“We are convinced that despite the latest offering from government the cost to the consumer, as far as the GP tolls are concerned, is going to hit home hard when commodity prices increase as well as transport costs”, said the AASA.

“It is the Automobile Association’s belief that a dedicated road fund be established or, at the very least, money collected through the fuel levy be ring-fenced for transport, road safety and transport infrastructure projects”, the AASA added.

The Automobile Association calls on government to ensure that the additional burden placed on the road user is spent in such a manner that the benefits of this tax be obvious to those that contributed within a very short period of time. 

Automobile Association of South Africa (AA)
011 799 1126

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