Pages

Showing posts with label Road pricing. Show all posts
Showing posts with label Road pricing. Show all posts

Saturday, May 18, 2024

Dr Matthew Birchall: Efficiency first in road pricing case


The Government plans to implement road pricing tools like congestion charging and toll roads. This will be an important first step in establishing a more rational transport system.

Over time, the transport funding model has become increasingly dysfunctional. Late last year, the NZ Transport Agency Waka Kotahi (NZTA) observed that it will have to invest about twice as much as it expects to receive in revenue over the next decade – an annual funding shortfall of $4-to-$5 billion. In this context, a shift to road pricing and user-pays principles makes good sense.

However, its implementation is also likely to arouse passionate debate.