SANRAL suffers a startling R29 billion financial loss as a result of unpaid e-tolls
ANNUAL REPORT
In its latest report, SANRAL reveals a projected R29 billion loss in toll payments, with ongoing investigations into R13 million in spending.
Image: Picture: Ihsaan Haffejee/African News Agency (ANA)
A worrying R29 billion loss in toll payments is anticipated for the 2024–2025 fiscal year, according to the South African National Roads Agency (SANRAL), which also highlighted expected credit losses on unpaid amounts owed to the agency.
This is according to SANRAL’s annual report covering April 2024 to March 2025.
Nearly R13 million in spending is presently being investigated, despite the agency not disclosing any unnecessary or wasteful spending during this time.
The Board had previously approved writing off R33.7 million of fruitless or irregular spending in 2023/24.
In 2024/25, an additional R186 million of irregular expenditure was confirmed, with R1 billion still “under assessment” at the end of March.
The report noted there was no confirmed irregular expenditure linked to criminal conduct. Employees responsible for R96 million in condoned irregular expenditure in 2024 received written warnings, following recommendations by the loss control committee and board approval.
“Human resources has instituted disciplinary action against perpetrators of irregular cases concluded by the loss control committee and independent reviews,” the report said.
SANRAL also recorded R33.7 million in fruitless and wasteful expenditure deemed unrecoverable during 2024.
However, the Auditor-General of South Africa (AG-SA) flagged weaknesses in reporting systems.
“The underlying systems and controls developed by management were inadequate to provide reliable evidence to support the reporting on predetermined objectives for the programme selected for auditing.”
The AG-SA also said management had failed to perform adequate reviews to ensure accuracy and consistency of reported performance information.
In the foreword, Themba Mhambi wrote: “We note the AGSA's findings… with a view to reinforcing that which works, and correcting that which requires attention, including through consequence management.”
CEO Reginald Demana said SANRAL’s budget for 2025/26 is R63.6 million, with 41% allocated to road maintenance and rehabilitation, 50% to capex projects, and the remaining 9% for operational costs, aimed at preserving and improving the country’s road network.
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