Skip to main content

Truck ban will hurt consumers - chamber

| Economic factors

Consumers will bear the brunt if the Department of Transport passes a law banning heavy trucks from roads during certain hours, the Johannesburg Chamber of Commerce and Industry (JCCI) said

The new regulations state that goods vehicles exceeding 9 000kg cannot use public roads between 06:00 and 09:00 and between 17:00 and 20:00 from Monday to Friday.

In April, Transport Minister Dipuo Peters announced the move in response to the rising road death toll and the department said the intended regulations would be published for public comment and discussion later in 2015.

The change will incur costs for consumers if implemented, as operators will be forced to put more vehicles on the road, the CEO of JCCI, Joan Warburton-McBride, said in a statement.

“As is so often the case, the far-ranging consequences - including the cost implications of this proposed policy implementation - has not been considered,” said Warburton-McBride.

In her view, at the time of the announcement, no meaningful consultation had taken place with either the private sector or other affected government departments.

According to the JCCI the economic losses would be substantial and, in addition to the level of productivity per truck being severely impacted, the timely delivery of raw materials and consumer goods would be affected.

“Freight carriers will need to resort to buying additional smaller trucks, thus increasing the number of trucks on the road. These additional costs will more than likely be handed over to consumers, who are already under immense financial pressures given current economic strains,” said Warburton-McBride.

“This ban would most likely result in more trucks being on the road at night, which will have further implications for road safety as most accidents occur between 22:00 in the evening and 06:00 in the morning.

“To ensure drivers and trucks are off the roads, investment will need to be made in additional off-road holding facilities - impacting on security of drivers, vehicles and goods,” according to Warburton-McBride.

Pin It

Related Articles

By: Tawanda Karombo – IOL Business In a year marked by stiff economic challenges, Shoprite has announced significant increases in the remuneration of its top executives, while simultaneously warning about the growing price sensitivity among South...
By: Manyane Manyane - IOL Retailers have been criticised for keeping essential food items prices high despite production costs continuing to decline.
The Department of Mineral and Petroleum Resources is in talks with National Treasury to lower the cost of fuel, with a move to change to both petrol and diesel prices in South Africa.
By: Nick Wilson – Fin24 Releasing its latest Essential Food Price Monitoring Report (EFPM) on Friday, the Competition Commission said the "slow transmission" of reduced cooking oil prices to consumers, for instance, raised concerns about retailer...
By: Siphelele Dludla – IOL Business Report Sentiment in the retail industry in South Africa has ticked up though it remains in contractionary territory as consumers have begun feeling confident that the cost of living is slightly easing.