The Road Fund Administration (RFA) will write off N$371 million in old vehicle licence fee debts, accumulated over the past 15 years, as part of efforts to provide financial relief to Namibian motorists.
RFA Chief Executive Officer Ali Ipinge said the changes follow the recent commencement of the RFA Amendment Acts of 2022 and 2024, which align debt collection practices with the Prescription Act of 1969.
“Vehicle owners do not need to apply for this relief – it will happen by operation of law. Currently, the value of such prescribed debt amounts to over N$371 million. This represents a significant step in relieving the public of historical debts that can no longer be enforced,” he said.
The Fund is set to report revenue of around N$4 billion, with approximately 23% – or about N$900 million – generated from vehicle licence fees and registration.
Ipinge added that under the amended legislation, vehicle licence fee debts older than three years will be considered prescribed and legally extinguished. For debts less than three years old, the amendments introduce the possibility of waiving interest and penalties, although the principal licence fee remains payable.
“The RFA CEO, with Board approval, can grant waivers up to N$1 million, with higher amounts requiring ministerial approval. The process is clear, accessible, and applicants can submit requests directly to the RFA without any application fee,” he said.
He further noted that the reforms also address entry fee exemptions in specific cases, such as cross-border military exercises, the transport of medical personnel, and the temporary entry of foreign police officers.
“As set out in the Regulations, all applicants, whether applying to the CEO or the Minister, will receive a response within a defined 90-day timeline from submission to the RFA. This ensures certainty, fairness, and accountability throughout the process,” Ipinge said, adding that the reforms strike a balance between compassion and accountability, easing financial burdens while ensuring compliance and sustainable funding for Namibia’s road network.
Roads Authority Executive for Transportation, Sydney Boois, said there are currently about 400,000 registered vehicles in Namibia, with fees varying depending on the vehicle type.
Smaller vehicles generally pay less, while trucks and larger vehicles pay higher annual licence fees.
“However, the proportion of vehicles that do not renew their licences is relatively small. Overall, one can see from the data that over N$300 million has been collected over time,” Boois said.
