Times Of Swaziland: UPROAR AS ROADS LEVY KICKS IN TODAY

UPROAR AS ROADS LEVY KICKS IN TODAY
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Sibusiso Zwane on 04/04/2025 09:44:00


MANZINI - Government’s decision to implement the E0.40 per litre Roads
Authority Levy today has ignited widespread discontent among emaSwati, prompting
the National Road Transport Council (NRTC) to convene an urgent meeting.
Yesterday, Lindiwe Mbingo, the Principal Secretary (PS) in the Ministry of
Natural Resources, issued a statement announcing the levy implementation, as
previously outlined by the Ministry of Finance during the budget speech.
Effective today (midnight yesterday), the levy, as stipulated by the Roads
Authority Act, 2023, is now in effect.
Maintenance
The PS emphasised that the levy aims to ensure the sustainable maintenance and
improvement of the nation’s road infrastructure, enhancing transportation
efficiency and safety for all road users. She added that the collected funds
will be dedicated to the upkeep, rehabilitation and development of road networks
nationwide. However, the PS reassured fuel consumers that the levy’s
introduction would not result in an immediate fuel price increase this month,
due to slight over-recoveries in fuel product pricing.
Public concerns have surfaced regarding the escalating cost of living. Citizens
pointed out that on April 1, 2025, electricity and water tariffs increased by
eight and 12 per cent, respectively. They expressed apprehension that these
utility hikes would trigger price increases for other essential commodities,
placing further strain on consumers.
Meanwhile, public transport operators expressed shock at government’s
decision, despite their council’s objections. They acknowledged that while the
levy won’t immediately inflate fuel prices, they anticipate future
repercussions that will ultimately burden consumers through adjusted bus fares.
The NRTC chairman confirmed that, as mandated by the operators, they had
formally communicated their concerns to government, noting the Ministry of
Finance’s endorsement of the E0.40 per litre fuel levy.
They had hoped for consultations regarding alternative funding mechanisms,
suggesting the existing E3.80 per litre contribution from transport operators be
allocated to the Roads Authority account. “We were hoping that the existing
E3.80 per litre, which is drawn from transport operators, would be deposited
into the Road Authority account, instead, government opted to add the E0.40 per
litre,” Dlamini stated.
In response, operators have requested an urgent meeting on Tuesday at Matsapha
Weighbridge to discuss strategies to counter the levy’s implementation and
address the cumulative fuel price increases of the past three to four years,
which have occurred since the last bus fare hike.
Operators are also considering alternative approaches to bus fare adjustments,
proposing direct negotiations with consumers outside of the parliamentary
process.
hey argue that the current system, which involves government approval, often
results in lengthy delays, rendering approved fares outdated by the time they
are implemented. “By the time the bus fare hike passes, fuel prices will have
increased three or four times, which means that the approved fares will be long
overdue and overtaken by events, which affects their businesses,” they
asserted. They believe that direct negotiations with consumers would allow for
more timely adjustments in response to fuel price fluctuations and levy
increases, ensuring the industry’s sustainability.
In a previous interview, Duma Msibi, Chairman of the Swaziland Buses
Association, also criticised the lack of consultation from government. He
highlighted the industry’s current financial challenges and expressed concern
about the levy’s impact. He confirmed that government had previously raised
the issue but that the association had opposed it. He expressed shock at
government’s unilateral decision to proceed without reaching an agreement with
the industry.
Despite their grievances, Msibi advised members and operators against
implementing unilateral fare hikes, urging them to engage with government.
The levy’s implementation was initially announced by Minister for Finance,
Neal Rijkenberg, during the 2025/26 Budget Speech in Parliament. He stated that
the Roads Authority Act of 2023 paves the way for the establishment of the Roads
Authority, aimed at improving road infrastructure maintenance.
“As of March 1, 2025, the Act has approved E0.40 to be added to fuel price in
order to be able to fund the operations of the Road Agency Fund so that
maintenance of the national, regional and local road infrastructure can be
better executed,” the minister said. He outlined government’s allocation of
E1.21 billion for the roads programme, including funds for maintenance,
rehabilitation, construction and rural road surfacing.