The Congress of South African Trade Unions (Cosatu) is submitting a strike notice to the National Economic Development and Labour Council, in protest against the implementation of electronic tolling on Gauteng highways, its president Sdumo Dlamini said on Thursday.

The government last month announced that e-tolls would go ahead despite objections from civil society and the labour federation. Cosatu held a nationwide protest in March against the implementation of the e-tolls.

Speaking at a Gauteng shop stewards’ council in Turffontein, Johannesburg, Mr Dlamini said Cosatu disagreed with the government’s decision. “We don’t want e-tolls in this country, finished and klaar,” he said.

Cosatu’s opposition stems from the effect e-tolling could have on workers and the poor.

On Wednesday, Cosatu made a submission to the Department of Transport on the matter.

Economists have said e-tolling could have serious consequences on the economy and consumers.

Consumer economist at Liberty Life Tendani Mantshimuli said on Thursday that consumers would have to “work towards paying off their debt as soon as possible” and minimise debt amid expectations that interest rates would increase next year.

International corporate law firm Eversheds SA also weighed in on the issue, calling the implementation of the e-tolls “financially irrational”.

Eversheds South Africa director Alex Eliott said the proposed amendments to the tariffs could mean the South African National Road Agency (Sanral) might have to pay as much as R20 in collection for vehicles that were not registered for e-tolling.

“Yes, a lot of people could register to get tags and pay.

“It will be easy for Sanral to collect from those, it will be difficult for those who don’t. If you have a majority of those who don’t comply that’s when you have a problem,” Mr Eliott said.

Mr Eliott said that unless the government forced vehicle owners to register, the project risked becoming the “the province’s white elephant — costing more than it brings in tax collections”.

Department of Transport spokesman Tiyani Rikhotso said on Thursday that infrastructure of the sort necessary e-tolling was needed in South Africa to attract investment and economic growth.

“Our roads have had huge improvements and we believe that we must go through these necessary pains to see this country get to where it needs to be,” he said.

The government will hold stakeholder engagements on the recently gazetted proposals and tolling rates next week, while Cosatu’s top brass are scheduled to meet later this month to discuss a way forward.

http://www.bdlive.co.za/business/transport/2012/11/09/cosatu-threatens-strike-action-against-e-tolls