Users likely to pay for traffic woes

By STUART DYE transport reporter

The Government is funding a study into congestion charging schemes and how they could be introduced on New Zealand's roads.

The $100,000 investigation, by Booz Allen Hamilton, is a clear sign that transport officials are serious about some form of user-pays plan for the future of the country's roads.

In one month's time the Government will announce a package of measures that it believes will solve Auckland's transport gridlock.

Congestion charging remains on the list, as one of the more controversial measures being considered by officials.

The Land Transport Management Bill will provide authorities with the legislation to implement road tolling schemes.

In addition, Auckland is considered suitable for a scheme similar to that in London, where motorists are charged a fee to drive through the central city.

Booz Allen Hamilton's final report is not due until January, but it will advise officials that a successful scheme is an elusive prize.

"The main focus is not, 'Is this a good thing to do?' It's about what have been the critical success factors where other schemes have been introduced worldwide," said Fergus Gammie, an associate at Booz Allen Hamilton in Wellington.

The study looked at different schemes in countries around the world.

Mr Gammie said there were several common denominators that separated a successful congestion charge from one that failed.

These included: a strong political position, a single empowered transport agency, public perception of need, proven technology and tangible gains from revenues.

The study looked at successes in London, Oslo, Melbourne and Singapore as well as failures in a German scheme, Hong Kong and Stockholm.

Government officials will also be able to turn to an international study by Deloitte.

This investigation says that more than 72 per cent of European cities are either interested in or proceeding with a road pricing scheme.

Paul Callow, head of Deloitte's utilities and infrastructure practice in New Zealand, said: "A well managed road pricing programme has the potential to provide tremendous economic, time-saving and safety benefits for road users whether they are commercial drivers or commuters travelling to work."

The countdown is now on for an announcement from the joint group of Wellington and Auckland officials who have been working on the Auckland solution.

The funding gap for the region could be up to $3.9 billion, depending on what measures and projects are included in an integrated network.

Potential funding mechanisms identified include fuel taxes, a Government hand-out, road tolls and congestion charges.

Sources at local and national level suggest a combination of some or all of the mechanisms is the most likely outcome.

Details will be unveiled at a presentation to the region's councillors on December 12.

Congestion charging

London Mayor Ken Livingstone introduced a daytime charge of $14 for motorists entering the central city.

The charges are reported to have cut traffic by 20 per cent.

But some traders say their business has slumped.