By Josef Kefas Sheehama
The timing of the plan, when people are already dealing with severe hardships including a high cost of living, raises doubts. Namibians perceive themselves as being in a precarious position because of this. Tollgates were put in place as another penalty for Namibia.
The Road Fund Administration (RFA) stated that they anticipated a significant increase in income. By only tolling 23 sections of our road network, this will amount to roughly N$500 million to N$750 million annually. When moving from one place to another, why should one pay for a road? When we pay taxes, the money goes toward the services that the government provides for all of us. Whether we use them all or not, taxes are used to pay for these services. Due to the additional cost of transportation for the already hard-hit Namibians, this would considerably inconvenience both workers and the general driving public. It is cruel. Lower-income households will perceive it as a tragedy if nothing changes. The verdict, if upheld, will not only destabilize the nation but also further hinder economic recovery given the current threat to the economy of the country. We will thus contest this new proposed policy. Humans are affected by inequality in all of its manifestations, and inequality not only threatens economic and social rights but also the advancement of all rights.
Additionally, most drivers of Dankie-Botswana vehicles are low-wage earners, making this a difficult voyage for them because they will be required to part with their meagre earnings. After our economy has steadied, I think it will be a wise decision to take this action. Therefore, even though most citizens will never utilize national roads, their taxes are used to pay for them. The RFA wants to make us further destitute rather than helping us at all. Imagine if we had to pay tolls on top of the monthly taxes we already pay. It’s so aggravating to realize that the government does not put into consideration how these escalating fees will affect us and make us miserable, people have cars to pay, mortgages to pay and school fees to pay. They are robbing us with tax money and now it’s tollgates.
The wealthy can afford to pay these fees with ease. The same holds for government employees who drive government vehicles and other equipment that is funded by tax dollars. The impoverished, what about them? What about the citizens already scraping by and barely making ends meet? You’ll have to pay more for diesel, food, and other things.
It is indeed difficult to fathom how Namibia, with a shrivelling economy which saw many people retrenched in 2021, a country where the few who have employed earn salaries below the poverty datum line and where the majority survive on informal sectors can propose tollgates when the same is being resisted in the much more developed economy of South Africa. In Namibia, motorists cannot afford the additional cost of tollgates. Additionally, travel times will be reduced. These reductions in travel times, converted into money equivalents, are regarded as highway benefits to be set off against highway costs. I think RFA should think deeply before making any laws and decisions. It will be in the interest of the RFA to look for other alternative methods to strengthen the economic policies of the government and return Namibia to the good old days instead of introducing tollgates. There is no denying the fact that it is a means of generating funds that can be used to maintain those roads and equally raise the government’s revenue. However, we should know that these times are extremely hard and there is a limit to which people can be pushed to spend non-existent money. Therefore, the plan to build tollgates is ill-timed and anti-masses. Let the rich stop pushing the poor because the poor are near the wall.
The Economic Point of View
The Road Fund Administration (RFA) official has indicated that they are expected to be collecting N$ 500 000 000 to N$ 700 000 000 through tollgates. The introduction of tollgate fees will have a great impact on businesses, especially Small and Medium Enterprises (SMEs). The 7-seaters and minibus owners perceived exorbitant charges that, threatened their business operations. This could eventually push up the cost of transport and, consequently, the prices of services and products. This burden could then be passed on to the consumer. The public needs assurance from the government that the money collected will be used for intended purposes and not diverted through fraud and corruption. From the economic point of view, tolling is an instrument that can be uniquely suited to collecting efficient road use prices.
Hence, tollgates are generally imposed to raise additional net revenue, and they appear to be a suitable instrument if the object is revenue earmarking or private financing and management of roads. However, investment lumpiness and increasing returns make roads a commercially viable enterprise only occasionally. It is important to ensure that affects the economy at large. Taxing people to death can never be the right way to shore up our depleting earnings as a nation. Going forward, the idea of having tollgates is an awesome idea but the idea may not go down well with the masses due to a perceived lack of transparency. Our lawmakers should always realize that Namibians will not just fall for any law that will not benefit them at all. Moreover, ideas like these should not just be announced from nowhere but there should be clear sensitization on the part of the public so that they understand and appreciate why they are being asked to pay for using the roads to avoid a backlash.
At this end, you can’t give what you don’t have. This is not the time for the collection of tolls; the economy is not doing well and there is a limit to which people can be pushed to spend non-existent money.
Therefore, The RFA should target foreign trucks and let the status quo for Namibian vehicles continue. I do not support the proposal.
