EFF hellbent on having fuel levy hike scrapped, despite losing legal bid
'None of us can see an alternative revenue generation mechanism in the fiscal framework or revenue proposals. It’s an indictment on the National Treasury, and an indictment on the process,' said EFF MP Sinawo Tambo.
EFF member of parliament and national spokesperson Sinawo Tambo
CAPE TOWN - While the Economic Freedom Fighters (EFF) has lost a court battle to stop an increase in the fuel levy in Parliament on Tuesday, the party continued to lobby for it to be removed from a report on the fiscal framework.
The two finance committees of both houses have started finalising their report on the budget blueprint in preparation for it to be voted on by the National Assembly (NA) next week.
Meanwhile, African National Congress (ANC) members of Parliament (MPs) made a call for the finance minister to reconsider his decision not to expand the zero-rated list of food items to mitigate the high cost of living.
It’s the second time Parliament’s finance committees are having to go through the process of compiling a report on the fiscal framework, following public hearings last week.
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The last version of the budget was withdrawn in April following a court challenge over a proposal to increase the value-added tax (VAT) rate.
On Tuesday, the EFF’s Sinawo Thambo again registered his party’s disapproval of hiking the fuel levy as a revenue proposal.
The new fuel levy is expected to come into effect at midnight.
"Sitting here today [Tuesday], none of us can see an alternative revenue generation mechanism in the fiscal framework or revenue proposals. It’s an indictment on the National Treasury, and an indictment on the process."
Meanwhile, ANC MP Lusizo Makhubela was among those who wanted the finance minister to reconsider the zero-rating of more food items, which he retracted along with a proposed VAT increase.
"The National Treasury should consider the expansion of the VAT, zero-rated basket as a relief on the high cost of living for the poor and the lower-middle strata".
The committees are expected to vote on the report on Wednesday, before sending it to both houses for adoption by next week’s stipulated 16-day deadline following the tabling of the budget.