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Uncertainty over end to tolls on Sydney Harbour Tunnel next year

By Matt O'Sullivan

The tolling regime for the Sydney Harbour Tunnel is due to expire in just over 18 months, putting the onus on the Berejiklian government to reveal whether it will make southbound journeys free for motorists or extend the charges for years.

Internal documents show the state's transport agency has had "end-of-concession planning" for the 2.7-kilometre tunnel under way for at least the past 18 months. "The future management option of Sydney Harbour Tunnel post concession expiry is subject to government decision," they state.

The Sydney Harbour Tunnel's toll concession deed is due to expire next year.

The Sydney Harbour Tunnel's toll concession deed is due to expire next year.Credit: Wade Laube

With tolls on many motorways in Sydney rising much faster than wages, Labor is demanding the government reveal its intentions for the Harbour Tunnel when the concession expires in August next year after three decades of tolling.

"The government needs to come clean and be clear with the residents of NSW. Will they be paying a toll [for the tunnel] and how high will it be?" Labor roads spokesman John Graham said.

Leaked documents marked "cabinet in confidence" in 2017 revealed that the government was looking at imposing $3 tolls for cars on northbound journeys of the Harbour Tunnel and Harbour Bridge to help pay for the $14 billion cost of the Western Harbour Tunnel and Beaches Link. Under that scenario, tolls would also remain on southbound journeys.

The Sydney Harbour Tunnel was opened in August 1992.

The Sydney Harbour Tunnel was opened in August 1992.Credit: Kate Callas

At present, weekday tolls on southbound trips on the Harbour Bridge and tunnel range from $2.50 to $4 depending on the time of day.

"You would expect, given their history, that they are going to tie the Harbour Tunnel into some complex financial deal to fund the Western Harbour Tunnel and the Beaches Link," Mr Graham said.

A spokesperson for Transport and Roads Minister Andrew Constance said any tolling information in relation to the Western Harbour Tunnel and Beaches Link projects would be "announced in due course".

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"Tolls enable the delivery of new roads years earlier than they would otherwise be built, freeing up funding for other projects," the spokesperson said.

"The existing road network would be completely gridlocked if it weren't supplemented by the motorways this government has built. Labor wants to forget we needed to build the M8 because it failed to build the M5 wide enough in the first place."

The M8 tunnel opened to motorists last July as part of the second stage of WestConnex.

The M8 tunnel opened to motorists last July as part of the second stage of WestConnex.Credit: Brook Mitchell

The number of Sydney motorways on which tolls rise by 4 per cent annually have grown in recent years. They include the first major stage of WestConnex, the second stage comprising the M8 and M5 East and the $3 billion NorthConnex tunnel.

In contrast to the toll rises, inflation rose just 0.7 per cent over the 12 months to the September quarter, the latest figures from the Bureau of Statistics show.

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Mr Graham said a greater slice of many motorists' income was going towards tolls in an era of low wage growth. "It is just getting too much for people to bear. Significant numbers of people are paying $6000 a year on tolls and they are increasing year on year," he said.

"It is now impossible to drive around Sydney without hitting toll roads."

After the Harbour Tunnel, the Cross City Tunnel will be the next toll road due to have its toll concession expire. But that will not occur until 2035, followed by the Eastern Distributor, the Lane Cove Tunnel, the M2 and M7 in 2048. The tolls on the $16.8 billion WestConnex motorways will remain until 2060.

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Original URL: https://www.watoday.com.au/link/follow-20170101-p56qp5