DA roasted for ditching petrol levy report

The Western Cape government has ditched its plans to impose a fuel levy in addition to the existing national fuel levy, claiming that it's unsustainable and will further chew into the income of consumers. Photo: Doctor Ngcobo/African News Agency (ANA)

The Western Cape government has ditched its plans to impose a fuel levy in addition to the existing national fuel levy, claiming that it's unsustainable and will further chew into the income of consumers. Photo: Doctor Ngcobo/African News Agency (ANA)

Published Dec 1, 2018

Share

The Western Cape government has ditched its plans to impose a fuel levy in addition to the existing national fuel levy, claiming that it's unsustainable and will further chew into the income of consumers.

Despite commissioning and paying for a report on a petrol levy, provincial Treasury jettisoned the proposal without receiving a report from the Stellenbosch University, which conducted the research.

Finance MEC Ivan Meyer announced last week during his Mid-Term Budget Policy Statement that the provincial government had ditched the proposed fuel levy. The decision has left opposition parties fuming.

Meyer’s spokesperson Daniel Johnson confirmed they had not received the report from the researchers.

He said once the report was finalised it would inform future decisions by the provincial government.

The DA government announced a proposed hike on the fuel levy in late March and commissioned the research work to the university.

This week the university referred queries on the research work back to provincial Treasury.

ACDP MPL Ferlon Christians said: “They could have waited for the report. They should not have jumped the gun.

“Commissioning a report would not come cheap. Some reports cost hundreds of thousands, while others even cost millions.”

He said his party was against the proposed levy hike. He said Meyer wasted taxpayers’ money.

Christians questioned why the research was done on the matter even though provincial Treasury knew it would not run with it.

Transport and public works committee member and ANC MPL Cameron Dugmore said: “As the ANC we did not support the need for further research into the desirability of a provincial fuel levy.”

Johnson did not respond to questions including how much the government paid for the research; how many researchers were on board; what the recommendations were; and whether the department received a draft report which informed Meyer’s decision.

Instead, in a follow-up email, Johnson said no fuel levy hike would be implemented this term.

He said, “no other decision other than updating existing research has been taken, nor has any other process as outlined in the legislation been initiated”.

Weekend Argus

Related Topics: