Grattan Institute backs CBD congestion tax
Could a CBD traffic tax be the answer to Melbourne’s congestion woes? A new report suggests that Melbourne should follow cities such as London, Stockholm and Singapore in charging drivers for travelling on the busiest streets.
VIC News
Don't miss out on the headlines from VIC News. Followed categories will be added to My News.
A peak-hour congestion charge should be introduced in Melbourne’s CBD to ease the city’s traffic woes, a Grattan Institute report says.
Even a small charge would mean 40 per cent fewer vehicles in the city centre, report author Marion Terrill said.
Melbourne should follow cities such as London, Stockholm and Singapore in charging drivers for travelling on the busiest streets, she said.
“It’s proven to be very successful in other cities. Change can happen,” Ms Terrill said.
“This should be implemented in the next five years.
“It’s doable. It’s a big reform sitting on the table waiting to be done.
“You really can’t build your way out of congestion.
“We’ve proven that over many decades.’’
A city council report last week said 200,000 vehicles entered the Hoddle Grid daily, 43 per cent of it through traffic.
The state government has resisted previous calls for a congestion tax on CBD traffic.
Ms Terrill said politicians say it can’t be done until public transport is fixed, but she said there had never been a better time thanks to investment in train and tram infrastructure and projects such as the Metro rail tunnel, airport rail link and level-crossing removals.
“Congestion charging is the least painful way to manage congestion,” she said.
“It changes which drivers are on the road in peak periods, and encourages those who can be flexible to take their trip at another time. It’s much cheaper than road construction, and even raises some money.’’
The report did not put a dollar figure on the charge but Ms Terrill said it should be equivalent to inner-city public transport fares. The system would use number-plate recognition for trucks, buses, cars and motorcycles.
“You’d expect to pay more if you drive a truck because you contribute more to congestion,” she said.
Concerns about the cost and that drivers were being punished were “overblown”, the report by the Melbourne-based think tank said.
Those who drove in the CBD at peak hour were usually paid above average wages, so could afford it, it said.
The report comes after the City of Melbourne announced its transport strategy last week, aiming to reduce cars in the CBD and calling for some form of congestion pricing.
However, any charge and revenue collection would be a state government responsibility, and Transport Infrastructure Minister Jacinta Allan has ruled out a congestion tax.
The Grattan Institute report, Why It’s Time For Congestion Charging, recommends levies in major Australian cities. A follow-up report will offer more detail on how the system would operate.