Transport Minister Barbara Creecy says progress is being made to resolve payment issues at the Road Accident Fund. The fund has faced administrative and financial problems in recent years that have caused some payout delays. Plans are underway for new legislation and a hybrid contribution model.
Transport Minister Barbara Creecy stated that strides are being made towards clearing the payment deadlock at the Road Accident Fund. The fund has struggled with administrative and financial issues in recent years, leading in some cases to delayed payouts.
Plans are underway to introduce a bill aimed at easing the claiming process and addressing these delays. Creecy also noted that officials are researching a hybrid contribution model to tackle the fund's financial challenges.
“Because of the financial challenges we are looking at the moment, we are researching a hybrid contribution model,” Creecy said. “As you know, a major part of the Road Accident Fund’s money comes from the fuel levy, but of course, we are transitioning to electric vehicles. But we also think that for private motorists, there needs to be a contributory scheme in order that we can ease the burden on the fiscus.”
