Allexer Namundjembo
Works and transport minister Veikko Nekundi has ruled out the introduction of electronic tolls in Namibia, saying neither his ministry nor the government has adopted such a policy.
Nekundi made the remarks in the National Assembly on Wednesday while responding to an urgent oral question from Affirmative Repositioning leader and Member of Parliament Job Amupanda, who asked whether the ministry intended to allow the implementation of e-tolls.
Amupanda argued that Namibia’s economy is not ready for toll roads, warning that if the proposal is implemented, it would become part of Nekundi’s legacy.
“We will say it is a Nekundi thing,” Amupanda said.
In response, Nekundi said the proposal originated from the Road Fund Administration (RFA), which falls under the ministry of finance, and stressed that policy decisions are made by ministers rather than public enterprises.
“If it is not a pronouncement by the minister, then it is not government policy. There is no such policy of this government,” he said.
Nekundi added that neither his ministry nor the ministry of finance had made any announcement regarding the introduction of e-tolls.
He said a feasibility study on toll roads was conducted while he served as deputy minister under former works and transport minister John Mutorwa, but the proposal was rejected.
“We rejected the proposal, and we are not going to accept e-tolls. As it stands, there are no e-tolls on my table, and we are not prepared to introduce e-tolls into the Namibian economy. Be assured of that,” Nekundi said.
In May, RFA chief executive officer Ali Iipinge told the Windhoek Observer that the proposed vehicle toll system had not been implemented and remained subject to government approval.
“The vehicle tolls initiative is not yet implemented as it is subject to approval by the government. Once approved, we will notify the public accordingly,” Iipinge said.
The proposal was first introduced in 2021 and envisages the installation of between 21 and 23 toll gates across Namibia’s national road network.
Feasibility studies estimated the project could generate between N$750 million annually to help finance road maintenance and expansion.
According to the RFA, the proposal became necessary because revenue from the fuel levy is expected to decline as vehicles become more fuel-efficient and electric vehicles gain a larger share of the market.
The proposal has, however, attracted opposition from political parties, transport unions, and taxi associations, which argue that tolls would place an additional financial burden on motorists and increase transport costs.
Landless People’s Movement Member of Parliament Eneas Emvula previously said the party rejected the proposal from the outset because it would place unnecessary pressure on ordinary road users.
“It was during that initial phase of their thinking that we fiercely rejected the RFA’s proposal as not making any economic sense to private road users,” he said.
Emvula argued that commercial transport operators, rather than private motorists, should shoulder a greater share of road maintenance costs through mechanisms such as direct user charges, weight bridge fees, or dedicated toll roads.
Transport unions, including the Namibia Transport and Allied Workers Union (NATAU), as well as taxi and bus associations, have also opposed the proposal, warning that motorists may divert to alternative routes to avoid toll fees, increasing congestion and damage to secondary roads.
The RFA has maintained that Namibia urgently requires a sustainable funding model for its road network.
“Our current road user charges cover only about 60% of the funding required for road maintenance and expansion in the medium to long term,”Iipinge said.
Public consultations on the proposal were suspended in 2023 due to inflationary pressures and broader economic challenges.
The RFA has since indicated that it is also exploring alternative funding mechanisms, including public-private partnerships and adjustments to existing road user charges.
