Business

Govt to establish roads authority

 

'We are moving towards establishing a roads authority so that they can go into the markets and borrow funds to finance roads infrastructure and maintenance,' said Minister of Transport and Communications Nonofo Molefhi at the recently ended HATAB conference held Maun.

Molefhi said the roads authority would be created from the restructuring of the Roads Department. 

'The strategy to create a roads authority is good for road maintenance and providing adequate roads infrastructure,' he stated.

Financing roads infrastructure in Botswana has been giving government a headache. Just recently, government was considering increasing the fuel levy from 20 thebe to P1.00 towards the construction of quality roads across the country.

Nonofo Molefhi was quoted at the last Tourism Pitso saying the country's roads are dilapidated because citizens are addicted to freebies and reluctant to pay for services.

He further said that the 20 thebe per litre fuel levy annually accumulates to P110 million, which is a far cry from the P1 billion needed annually to maintain roads.

Molefhi also said his ministry operates on a low budget of P450 million, which is unable to meet the demands they face.

'As you can see, the money does not even come close to the required amount,' he said, adding that there is need to 'increase the roads levy to P1.00 to enable us to come up with quality roads.'

He said that if the levy is increased, the ministry would be able to ensure that major roads are developed and that inner rural roads are built and street power lines are erected all over the country.

Molefhi stated that the ministry has no money to build bridges, resurrect rail transport and develop water transport.

'We are still considering how it can be changed. After that we will make proposals for the levy to be increased to Cabinet.'

The minister said it is better to increase the levy now than wait for later when more damage would have been done. He said the country's main roads don't even meet the Southern African Development Community (SADC) standards of carrying a 9 tonnes load as they can only carry 6 tonnes.

'Unfortunately Botswana is a transit route hence there is need to raise funds that will help reconstruct the roads and enable activity in the economy'.

The ministry intends to set up an agency responsible for engaging companies to construct main roads across the country.

'The country needs effective, reliable and affordable transport and telecommunications to meet the current demand,' he said. He further stated that revenue collected from the 11 weigh bridges in the country in 2012/13 financial years was P7.3 billion, all of which went o government's consolidated fund.