Congestion charges on the way
The Government will introduce congestion charging, Transport Minister Simeon Brown has confirmed.
That means drivers, who usually get stuck in traffic while commuting into cities, will need to start paying tolls. In exchange, there should be less traffic during those peak hours, meaning less traffic to get stuck in.
The Government had already promised to introduce congestion charging, or “timeof-use charges”. But Brown confirmed the charges were still years away, despite councils hoping to have them in place next year.
In Auckland, the council was looking to make use of the law – once it’s passed – to introduce a charge of about $3.50 to $5 for cars driving on certain congested CBD roads.
Transport ministers of all stripes have been pondering the introduction of congestion charging for quite some time.
Like with the Auckland regional fuel tax, some on the political left have argued it would unfairly punish those who can’t access good public transport and must travel at certain times. (People like shift workers.)
But others have argued it would increase productivity, by encouraging people to travel at different time, meaning roads flow more freely. And the revenue could be used to invest in better transport. In 2017, Infrastructure NZ estimated congestion in Auckland was losing New Zealand $1.3 billion per year in lost productivity.
At a media conference yesterday, Brown said the bill – which the Government would introduce for debate late this year – would only give councils limited power to introduce and use the charges. He called it a “partnership” that would include:
❚ Cabinet: Ministers would have ultimate signoff on all congestion charging plans.
❚ Local councils: Councils would propose charging in their regions, but would need to convince ministers.
❚ Waka Kotahi (NZTA): Revenue from the charges would be split with Waka Kotahi, which is the central Government transp. He said Waka Kotahi would be “the majority partner”, and would assess whether congestion charges would lead to “network efficiencies” on a case-by-case basis.
In June, Auckland Council was hoping congestion charging would be ready to introduce by 2026. But Brown yesterday said they’d been too optimistic about how long this would take. “It’ll take a couple of years.”
He said the bill would go through a full public consultation and select committee process. “We need the public to see the benefits, and we need a scheme which will be enduring,” he said.
Public feedback in Tauranga had clearly rejected congestion charging. Brown said that council had moved too quickly. “We’re being realistic about ... the complexity.”
Labour Auckland issues spokesperson Shanan Halbert said the Government needed to ensure there were reliable public transport alternatives. “Minister Brown has not invested in things that get people out of cars. The congestion charges are nothing but a revenue generating exercise,” he said.
Brown denied it would a “money grab”. “It is not about raising revenue. There are a range of issues that need to be grappled with around technology, and how the infrastructure will be built. It will take time,” he said.