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Sanral names Western Cape toll bidder

FMCG SUPPLIER NEWS

Fin24 - Oct 12th 2011, 08:20

Cape Town - The SA National Roads Agency Limited (Sanral) has named its preferred bidder for the N1/N2 Winelands highway toll project, despite a legal challenge by Cape Town city over the project. 

Sanral said on Tuesday it has selected Protea Parkways Consortium (PPC) as the preferred bidder. It estimates the project will cost about R10bn.

The city has applied to the Cape High Court to declare whether there is a dispute with Sanral over the introduction of the toll road.

Sanral intends starting construction of proposed toll roads on the N1 and N2 in February. In a statement the agency said the PPC Consortium comprises a variety of private investors and partners to the South African government, and includes a team of "highly qualified contractors".

"The estimated project cost as proposed by the preferred bidder is in the order of R10bn," Sanral said.

Construction of the 175km project would take around three years.

"The N1/N2 Winelands toll project will increase road capacity, improve safety and offer cost savings in terms of lower vehicle running costs and less time spent on the road," Sanral said.

The city is however concerned about the socioeconomic impact tolling would have on Cape Town and issued papers applying for an interdict preventing Sanral from taking further steps.

The city declared a dispute with the department of transport, but Sanral denies that a dispute exists.

If there ias no dispute, the city would take the decision of the ministers of environmental affairs and transport on the toll roads on review.

The city said disadvantaged communities would be particularly affected by the tolls. It also believes the impact has not been adequately assessed.

The matter is to be heard in the Cape High Court on December 6. 

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