I've calculated the after-tax impact that E-tolls will have for average Gauteng citizens. The following data was used:
Formal Sector Average Income = R14504 per month (source:
http://www.moneyweb.co.za/moneyweb-south-africa/etolls-to-consume-disposable-income--schssler)
Median Income = R11000 per month (source:
http://www.moneyweb.co.za/moneyweb-south-africa/etolls-to-consume-disposable-income--schssler)
Low Income = R8000 per month (source: basic in corporate environment - most likely to drive)
CPI: 6% looking forward
Taxation @ 2013 rates
E-Toll price increases calculated based on minimum increases required to repay their debt (source:
http://www.youtube.com/watch?v=8mp4SQzrXJA)
Phase 1 costs calculated at current long-term debt based on bond issuances (source:
http://www.nra.co.za/live/click.php...Annual_Report_13_LRES.pdf&o=Item+205&v=d9d629)
Phase 2 costs estimated based on 2008 pricing of work completed + financing costs + additional length of road (source:
http://youtu.be/duM11XvTt7w)
Payment split of 83% paying less than R100, 10,10% paying between R100 and R200, and 1,82% paying between R200 and R300 per month (source:
http://www.fin24.com/Savings/News/E-tolls-will-cost-only-R100-Sanral-20130807)
With this information, we can calculate the impact that E-Tolling will have on average to various classes of citizens in Gauteng based on income. The results are not a pretty sight to see. These percentages are pretty much equivalent to income tax increases...
Phase 1
Phase 1 + Phase 2
As is evident, E-Tolls, contrary to what Sanral have stated, are going to have a far greater impact on Gauteng residents than we are being led to believe. They are going to have a devastating impact, to be honest.
More than just that, the income gap between the rich and poor will widen, and this proves it once and for all. The poor will be hit the hardest by E-Tolls, as will low income earners. The gap will continue to get bigger and bigger, as can be seen very clearly.
Remember that if you pay for E-Tolls, Phase 2 of the project kicks in, all around JHB. As does Phase 3, which is estimated to cost far, far more than both of these 2 phases. The costs at this stage remain unknown. Once again, Sanral refuse to disclose them.
This is further reason why you should refuse, point blank, to pay your e-tolls. Unless you're happy for the above scenarios to play out...
I know that I'm not prepared to pay nearly 9% of my after tax income simply to drive to work and back. I know that low income earners won't be prepared to pay up to 15% of their after tax income just to drive to work and back. Paying for etolls now means that you give the go-ahead for this to take place...