Critical analysis of proposed National Road Traffic Act amendments

Genesis was commissioned to provide economic advice to Johnson Crane Hire (JCH), a leading construction equipment hire company, as well as to Contractors Plant Hire Associates (CPHA). The mandate was to assess the likely impact of the Department of Transport's proposed amendments to mobile crane hire regulations in terms of the National Road Traffic Act (No. 93 of 1996).

The project team developed a road damage cost-recovery model for JCH’s submission that quantified current and projected cost recovery for road damage from mobile cranes in comparison to road damage from freight trucks. This demonstrated that mobile crane operators already adequately cover the costs they imposed on the road network. It concluded that further charges would result in an over-recovery by the Department of Transport and have potentially negative impacts on crane hire firms.

Genesis delivered a summary analysis to support the company’s engagement with the Department of Transport. Ultimately, agreement was reached on the regulatory changes.