Integrated Transport Plan.pdf - Durban

� Weighbridge Fines: could address some of the maintenance
costs arising from overloaded vehicle damage to the road system.
� Contract Bus Advertising: is approximately R1 million per
annum on current contracts but could increase with future
contracts.
� A Development Levy: on new properties could be imposed.
12.4 External Funding Sources
A number of external funding sources could contribute to specific transport
infrastructure projects. These sources which fall outside the mainstream
municipal transport budgeting sources include the following:-
� Funding Agencies, Development Banks
� Banking Institutions
� KZN Growth Fund
� KZN Municipal Infrastructure Grant
� Specific Taxes and Levies
The extent and conditions for funding from each of these sources would
depend on the nature of the specific project. In some instances it would be
grant funding and in others it would amount to a loan with specific
repayment requirements.
The most applicable surrogate component of the user pays principle is that
of a fuel levy or a surcharge on licence fee. It is simple to collect (taxed at
source), reflects on the distance travelled and use of roads is proportionate
to the type of vehicle in terms of consumption (both private and
commercial) and for a small levy can generate a large and sustainable
amount of funding (3 cents a litre on fuel would generate around R50
million per annum). However, this concept, which is probably the most
efficient and equitable surrogate means available for funding transport
infrastructure or the ‘user pays’ principle, has been investigated for a
number of years and to date has been blocked by National Government.
External funding
sources
External funding
sources
eThekwini Integrated Transport Plan
Summary Report
12.3
Funding Strategy