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Achieving
excellence in Zimbabwe-s tolling system
Emmanuel
Ndlovu
March 09, 2012
Despite the
idea of tolling in Zimbabwe being hailed as a bold effort in combating
fiscal distress and towards the rehabilitation of rudimentary road
infrastructure and maintenance thereof, perennial problems arising
from lack of accountability and transparency have presented a new
set of problems. Mal-administration, misappropriation, corruption,
poor control mechanisms and revenue leaks have become the embodiment
of the tolling system in Zimbabwe. There is urgent need to address
diminishing confidence of both road users and citizens in general
over the entire toll gate revenue collection process through inculcating
a culture of accountability and transparency.
Tolling is a
relatively new phenomenon in Zimbabwe-s history. Zimbabwe
currently has more than 24 tollgates dotted around the country-s
major roads. The Zimbabwe National Road Administration (ZINARA)
is mandated to manage the road maintenance fund including the setting
of road-user tariff levels, collection of the funds, disbursement
of the funds to road agencies and the monitoring of the usage of
such funds. Since the inception of the idea of tolling, tollgates
in Zimbabwe have generated revenues of more than US$15 Million.
The revenue has been poised to enable the Ministry of Transport
to transition out of the fiscal quandary and to ease the burden
of the state in financing road infrastructure. Ever since their
introduction in year 2009, tollgates in Zimbabwe have been generating
an average of US$ 1, 5 million on a monthly basis, collected from
across the country-s toll gates. According to a report by
the Ministry of transport, of the total money collected, 90 percent
has been remitted to ZINARA with the remaining 10 percent being
retained as administration fees. Last year in the distribution of
the toll revenue, the Minister of Transport allocated the money
on an uncouth basis, raising concerns that when distributing the
money, the ministry paid little attention to the money-s intended
use.
Conversely,
problems of revenue misappropriation, mal-administration, corruption,
politicization and outright greed continue to dog the entire process.
As Zimbabwe comes of age in its tussle with diminishing public funds
to meet the demands for a new and improved transportation infrastructure,
it is increasingly becoming important to invest more and more in
public-private partnerships (PPP). Tolling is highly regarded as
a solution to shortfalls in financing, but a new set of problems
that have presented themselves have greatly imperiled government-s
ability to manage the process alone. Public-sector initiatives are
thus needed and should be viewed as having the potential to improve
quality of life at a reasonable cost, through implementing transportation
solutions that can improve quality of life for the public by providing
relief and creating economic development opportunities. In the majority
of instances, PPPs provide the opportunity to build projects more
quickly and at a lower cost, such as the completion of the needed
tolling infrastructure. However, such partnerships require risk
sharing, which must begin with an evaluation of each party-s
objectives and respective ability to bear risks. In this regard,
enduring tolling infrastructure must be constructed through a public-private
partnership on a build, manage-and transfer basis.
There has been
a growing public outcry that the distribution of the proceeds from
the tollgates has been undemocratic and inequitable to the extent
that the distribution of the money was done with little regard to
its intended use. Toll gates dotted around Zimbabwe remain marred
by rudimentary tolling infrastructure which doubles up as shelter,
poor or non-existent verification methods of the amounts being collected
at different tollgates across the country. According to a report
given by the Ministry of Finance to Parliament,
the Zimbabwe Revenue Authority (ZIMRA) is incurring tremendous losses
from running tollgates on behalf of ZINARA. One Member of Parliament
boasted in the House of Assembly that his constituency has immensely
benefited from the benevolence of the Ministry of Transport which
awarded his constituency a hefty share which far exceeded what was
actually needed by the constituency. He stated that instead of getting
the US$400, 000 which they had requested for, the Ministry actually
gave his constituency US$1, 8 million. This raises concerns that
the distribution of the money was influenced by other ulterior motives
leading to the whole process being regarded as partial, inequitable
and not need based, raising concerns that the money is being used
for patronage and vote buying. This is against the backdrop that
the money generated from toll gates should be used for the resurfacing
of roads, patching up potholes and financing the construction of
permanent shelters at the designated tollgate points. Roads today
are in a horrific state of disrepair and ZINARA and ZIMRA continue
with their endless disputes which have led to negative repercussions
for ordinary citizens. ZIMRA corruption at the toll gates, crooked
allocation of tickets, failure to adequately monitor and control
revenue inflows, non-existent tracking mechanisms can at best be
used to capture the state of the tolling system in Zimbabwe. ZINARA
also admits that it does not even have control or influence over
the printing of tickets, allocation and monitoring thereof.
Against this
backdrop, and in order to curb these challenges, there is need for
the tolling franchise to be awarded to cities/ municipalities to
take over the responsibility of collecting tollgate revenues in
order to ensure that the money is used equitable for its intended
purpose and minimize chances of accountability and transparency
becoming a perpetual mirage. This shall also aid stakeholder monitoring
and tracking, which is highly critical. In this regard, consultation
between councils and various other stakeholders shall be envisaged.
The responsibility to maintain should also be assumed by local authorities.
The Ministry of Transport in this case can offer maximum rate of
return. In instances where revenue exceeds specified levels, a portion
of the excess must go to the state so that this does not create
a drag on the state-s ability to support other projects. As
a best practice, government should not only offer minimum revenue
guarantees but also prescribe the maximum annual rate of return.
This will ensure that the money is used towards its intended benefit.
This has the potential of boosting public and corporate confidence
and trust and eliminating revenue leaks and mal-appropriation and
mal-administration.
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