NSW Metropolitan Road Minister Natalie Ward explains why public toll revenue expected to jump by $50m

Drivers who cross Sydney Harbour using the bridge or tunnel are expected to be slugged $50m more in a few years.

A NSW minister has ruled out privatising the bridge and tunnel spanning Sydney Harbour despite budget papers showing drivers using those crossings are expected to be slugged millions more in tolls.

State officials have predicted drivers using public toll roads will pay $50m more in the 2024-25 financial year compared to the previous year.

It’s a 28 per cent jump in toll revenue that mystified opposition MPs, who plan to make toll costs a major election issue next year.

But Metropolitan Roads Minister Natalie Ward said there was a simple explanation for the increase.

She told budget estimates on Wednesday that officials expected more cars to be on Sydney roads by that time because a new motorway – the M6 – will be finished by then, which will mean more traffic overall.

Metropolitan Roads Minister Natalie Ward ruled out privatising the Harbour tolls.

“When you build large infrastructure, deliver it and it comes online, that will add additional revenue,” Ms Ward said.

“The M6 will come online, it’s a major infrastructure project.

“The other reason for increases in toll revenue is post-Covid we’ve had two years of shutdowns and people not being able to drive their vehicles – there’s been a significant increase in use of our fantastic motorways.”

The Harbour crossing toll roads are not privatised, unlike most other toll roads in the city.

Ms Ward said there were no plans to privatise the Harbour crossings and any suggestion otherwise was a “Labor scare campaign”.

“What you’re clearly doing is running a scare campaign,” she told Labor MP Daniel Mookhey, who asked about privatisation.

Greens MP Abigail Boyd asked for ‘absolute clarity’ on the toll question.

Committee chair, Greens MP Abigail Boyd, later asked for “absolute clarity” on the matter.

“Is your government ruling out entering into a contractual arrangement in relation to the toll revenue from the Sydney Harbour Tunnel or the Bridge?” she asked.

“I cannot be any clearer: We are absolutely not doing that, and the scare campaign needs to stop,” Ms Ward said.

As for a planned third Harbour crossing, known as the Western Harbour Tunnel, Ms Ward said it would be tolled, but the “proposed toll level hasn’t yet been determined”.

The state government brought in about $133m from public toll roads in the past financial year and predicts that will increase to $164m in the current one.

In the 2023-24 financial year, it’s expected to amount to $173m before a modest jump to $177m in 2024-25. The big leap is projected to be the 2025-26 financial when $227m is expected to go into the state’s coffers.