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Dr Beyers Naude vehicle licence crisis can have devastating impact on local economy

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Dr Beyers Naude vehicle licence crisis can have devastating impact on local economy

17th November 2021

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/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

The Dr Beyers Naude Local Municipality's inability to manage its affairs is placing local businesses at risk of major financial issues. According to information I have received, the traffic department does not have the paper needed to print and issue motor vehicle licences and will, in all likelihood, not have this paper until 2022. This is, in part, due to the fact that the Municipality owes the Department of Transport R16 million in licence fees.

While ordinary licence registrations can be done at the Post Office, all new registrations and change of ownership transactions can only be done at the Traffic Department.  This is having a massive bearing on motor vehicle dealers who are now unable to process the sale of any vehicles. At last count, motor vehicle sales in excess of R10 million were awaiting registration. Our local motor vehicle dealerships are having to carry the burden while trying to keep their doors open and pay their staff.

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It is reprehensible that the Dr Beyers Naude Municipality is not only failing to provide such a basic, yet significant service, but, if the non-payment of fees to the Department of Transport continues, the Municipality is also at risk of losing its agency altogether. This would have far-reaching consequences for our residents, as well as for one of the Municipal income streams. The Dr Beyers Naude Local Municipality can ill afford to lose any income.

We are already consulting with the Municipality but as soon as our councillors are sworn in, they will be asking for a full investigation into the matter with a request to ringfence licence fees so that this money is paid to the Department and not used for other purposes. We need to ensure that we do not lose the agency, which would mean that people would have to travel hundreds of kilometres to get vehicles registered.

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While we await the inaugural Council Meeting on 23 November, this situation merely highlights how desperately the residents of Dr Beyers Naude need a DA-led government to bring stability and to implement a financial recovery plan. We cannot afford another 5 years of ANC mismanagement.

 

Dr Beyers Naude Constituency Leader, Samantha Graham-Maré, MP

 

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