09 Feb 2023

A total of P930 million was transferred from the Road Levy Collections Fund to National Petroleum Fund (NPF) in the 2018/2019 financial year.

Minister of Transport and Public works, Mr Eric Molale revealed this when responding to a parliamentary question on Wednesday.

He explained that the decision to transfer the amount was informed by under recoveries faced by oil companies.

“A total of P435 million was transferred to COVID-19 Relief Fund in 2019/2020 and 2020/2021, the transfer was meant to form part of the seed capital for the COVID-19 pandemic Relief Fund as a priority to save lives,” he said.

He explained that the Road Levy Collections Fund was established for maintenance of roads and had been used for its intended purpose except for exceptional cases where transfers were effected to meet other national needs.

“The fund has collected P9 917 393 637.72 since its inception in 2001, the balance of the fund as at 31st December 2022 was P965  716 209.45,” he said.

He said the ministry continued to identify ways and means of addressing the implementation delays and was also reviewing the fund order to cover certain aspects of road maintenance.

“The ministry shares 20 per cent of the funds with the Ministry of Local Government and Rural Development on a yearly basis for road maintenance. From May 2016 to July 2022 the cumulative amounts transferred to the Ministry of Local Government and Rural Development is P611 662 830.76,” he added.

Member of Parliament for Serowe South, Mr Leepetswe Lesedi had wanted to know how much had been transferred to or withdrawn from the Road Levy Collections Fund since April 2019.

Mr Lesedi also wanted to know how much was withdrawn from the levy and transferred to the NPF as well as the COVID-19 Relief Fund and what informed the decision bearing in mind the deplorable state of roads.

The legislator wanted the minister to explain the original intention and function of the Road Levy Collections Fund and why it had not been utilised for its intended purpose.

Minister Molale was also asked to state how much the fund had collected since inception, its current balance and if the fund had achieved its deliverables and intended purpose.

MP Lesedi further  asked if the ministry would not consider using the fund to reconstruct and upgrade roads throughout the country. ENDS