The Road Fund Administration (RFA) says it is researching a levy model for electric vehicles, preparing for their potential increase and ensuring their contribution to maintaining Namibia’s road infrastructure.
RFA’s Executive of Programme Management, Policy and Advice Elton !Gaoseb said while the Administration has traditionally focused on revenue generation from fuel levies and vehicle registration fees, the introduction of electric vehicles presents a unique challenge.
These vehicles consume less fossil fuel, reducing the revenue generated through fuel taxes.
“While many Namibians may believe it’s a distant future, the introduction of electric vehicles is a reality we cannot ignore. This poses a significant challenge for the Road Fund as we seek to determine how to charge these vehicles for using our road infrastructure. It’s an ongoing battle,” he said.
In addition to the research on electric vehicle charging, !Gaoseb also said the RFA is also working on other initiatives to improve the country’s road infrastructure, including the automation of the Mass Distance Charges process.
He said the RFA is looking to transition from a manual logbook system to an automated one to enhance efficiency and accuracy.
“We’re currently working to automate the Mass Distance Charges (MDC) process. The current logbook system relies on trust, and we believe automation will not only improve efficiency but also generate more revenue by ensuring that all vehicles pay their fair share,” he said.
He further emphasised the importance of cross-border charges for foreign vehicles using Namibian roads.
“Cross-border charges for foreign vehicles using our roads are also crucial. In essence, we’re focusing on improving efficiency and effectiveness to reduce operational costs and allocate more funds for road maintenance,” he said.