Tag Archives: congestion tax

Switch to motorcycles for emissions zone

Major cities around the world are getting tough on vehicles entering their CBDs with London about to expand its Ultra Low Emissions Zone (ULEZ) and even some Australian cities considering similar CBD tolls.

A new survey of London riders by motorbike insurance broker Bikesure has found that 72% of motorists are considering swapping to two wheels to avoid the CBD congestion and emissions tax.

London’s Low Emissions Zone charge originally did not apply to motorcycles, scooters and electric vehicles, but when it was replaced by the Ultra Low Emissions Zone (ULEZ) last year, some older bikes copped a £12.50 daily fee.

With UK motorbike sales up 40.3% on the previous ear, it is no surprise that 84% of people will continue to ride in the ULEZ following its expansion in October 2021.

This year 18.6% are set to choose two wheels over four with 9.3% of them favouring an eclectic or low-emission motorbike, moped or scooter over any other vehicle type.

Although a majority of Londoners will continue to ride in the ULEZ following its expansion, commuters are now considering the benefits of switching to electric cars and two wheelers.

The ULEZ expansion has accelerated a majority of Londoners’ intentions to buy an EV (73.4%)  while only 13.5% of people are planning to stick with petrol vehicles.

CBD emissions and congestion zones are becoming common in major cities around the world:

ride to work day traffic congestion car
Singapore traffic congestion
  • Singapore has road-user charges in a CBD zone resulting in a 20% reduction in delays and plans to ban pre-2003 motorcycles throughout the city in 10 years;
  • Milan’s Ecopass charges all vehicles entering a designated traffic restricted zone and bans old cars and bikes that do not meet set emissions standards;
  • A cordon charge in Stockholm has led to 24% fewer commuter trips by car (motorcycles and scooters are exempt), with most people switching to public transport and Gothenburg following the same example;
  • China and Brazil are considering congestion charges in various cities; and
  • Oregon, USA, has trialled a voluntary pay-per-mile distance charge resulting in a 22% drop in traffic in peak hours and a 91% approval by participants.

In 2017, the Grattan Institute suggested congestion charges in Sydney and Melbourne during peak hours and in 2018 the Bureau of Infrastructure, Transport and Regional Economics recommended congestion charges in major cities saying congestion costs Australia upwards of $16 billion each year.

Source: MotorbikeWriter.com

Congestion tax call to include motorcycles

Melbourne has renewed calls for a CBD congestion tax, but now the plan is to include motorcycles and scooters.

Last week’s Melbourne future transport strategy suggested a system that would use number plate recognition for all vehicles.

No fee amounts have yet been suggested, but report author Marion Terrill says Melbourne should follow cities such as London, Stockholm and Singapore.

However, two of those cities have some exemptions for motorcycles and scooters.

Stockholm has no fees for motorcycles and scoters as London did initially.

However, since April 2019 the new London Ultra Low Emissions Zone charges £12.50 (about $A23) a day for motorcycles and scooters that do not meet Euro 3 emissions standards.London scooters England UK

Singapore has CBD road-user charges for all vehicles and plans to ban pre-2003 motorcycles throughout the city in 10 years.

Calls rejected

Melbourne Council first suggested a CBD congestion tax last year, but made no mention of motorcycles and scooters.

It cited a 2017 Grattan Institute report that said tax should be introduced in Sydney and Melbourne during peak hours within five years.

However, Melbourne Council cannot legislate the changes as is is a state matter and the State Government has previously rejected such calls.

The Victorian Motorcycle Council and Australian Motorcycle Council reject any moves for motorcycles and scooters to be included in any congestion tax.

“We are the solution to the congestion issue, not the problem,” says VMC media spokesman John Eacott.

“You’re quite right that council can’t change State legislation but they are driving a discussion which has, so far, been rejected by Victorian State Government.

“Any references to motorcycles may benefit from instead using the term PTWs (powered two-wheelers) should a broader audience become engaged.

“Experience has shown that the greener elements tend to change their tune when it’s pointed out that PTW includes scooters.” 

The Motorcycle Riders Association of Victoria also says PTWs should be exempt because riders “contribute financially paying similar road fees and CTP premiums to car owners and motorcycles do less damage to infrastructure and the environment”.

John says the VMC is pleased the report notes that altering road design to include narrow lanes dedicated to small traffic such as micro and light cars and motorbikes would have a beneficial effect on congestion.

Congestion charges

Sydney traffic congestion motorcycles lane filtering planning

Calls for CBD congestion charges are not new. They have been around for years.

In March this year, Sydney University transport economist Professor David Hensher had a novel twist on the idea.

He said motorists should be able to choose to pay a 5c-per-kilometre congestion tax in return for lower rego.

Other cities have various fee systems not only to reduce traffic congestion but also air pollution:

  • Milan’s Ecopass charges all vehicles entering a designated traffic restricted zone and bans old cars and bikes that do not meet set emissions standards;
  • China and Brazil are considering congestion charges in various cities; and
  • Oregon, USA, has trialled a voluntary pay-per-mile distance charge resulting in a 22% drop in traffic in peak hours and a 91% approval by participants.

Rider concern

Riders should be concerned because these taxes and bans could spread to other congested cities.

ride to work day traffic congestion car
Singapore traffic congestion

The Singapore ban on older motorcycles seems harsh but may be warranted as the city is choked by thousands of two-stroke scooters that have since ceased production.

But powered two-wheelers should be exempt because they not only free up traffic, they can also reduce pollution as stricter European emissions standards have made them much cleaner.

Also, the coming wave of electric models will make them even more attractive for easing CBD congestion and pollution woes.

Melbourne City Council once had an exemplary motorcycle plan.

Yet the city no longer has free tolls for motorcycles, widespread free footpath parking is slowly being eroded. and now riders might be hit with a congestion tax.

Source: MotorbikeWriter.com

Cost-neutral congestion tax propoal

Riders should be able to choose to pay a 5c-per-kilometre congestion tax in return for lower rego under a proposal by a leading transport economist.

Sydney University transport economist Professor David Hensher says the congestion tax could cut peak hour traffic up to 10% or to “school holiday” levels. 

His plan would be cost-neutral for motorists as it would include a reduction in registration charges. 

Motorcycles exempt

However, motorcycles and scooters only could choose to be exempt from the proposal in recognition that bikes reduce congestion and have a lower road impact.

This is in accord with the Belgian consultancy Transport & Mobility Leuven study that found if 10% of all private cars were replaced by motorcycles, it would reduce traffic congestion by 40%. If 25% went from steering wheel to handlebar, traffic congestion would cease.

It also acknowledges motorcycle lane filtering laws that ease traffic congestion because they take motorcycles out of the queue at traffic lights and other snarls.

Tax agenda

Congestion tax plans like the Professor’s are now on the agenda in several states.

The Professor says the Institute of Transport and Logistics Studies research he headed found that “70% of road users would be prepared travel in off-peak periods if given a financial incentive to do so and to save time”.

He rejected the NSW government’s policy of cutting registration fees for motorists who paid more than a certain amount in tolls over a 12-month period as it would only subsidise toll operator Transurban.

 “Sydney now has more toll roads than any other city in the world,” he says.

“Transurban basically controls our road network and that is a problem because it is a commercial concern, not one that’s going to benefit society as a whole.”

Professor Hensher has proposed a trial of his 5c/km tax with several hundred motorists in return for reduced registration charges.

“They may also choose to stay in the peak and drive or switch to the free off peak time and drive or even consider using public transport,” he says.

While the original plan was to include all motorists, Institute of Transport and Logistics Studies founding director Professor David Hensher says authorities should look at exempting motorcycles and scooters.

He says the exemption makes sense since the aim of the proposal is to move cars out of peak hours.Ride Sunday trebles charity funds

“So motorbikes could be exempt as is the case in London initially when they had a congestion charge into Central London,” he says.

However, from April 2019 the new London Ultra Low Emissions Zone will charge £12.50 (about $A23) a day for motorcycles and scooters that do not meet Euro 3 emissions standards.

Congestion tax and bike bans

ride to work day traffic congestion car
Singapore traffic congestion

Cities around the world have introduced or are introducing congestion charges and bans on motorcycles not only to reduce traffic congestion but also air pollution:

  • Singapore has road-user charges in a CBD zone resulting in a 20% reduction in delays and plans to ban pre-2003 motorcycles throughout the city in 10 years;
  • Milan’s Ecopass charges all vehicles entering a designated traffic restricted zone and bans old cars and bikes that do not meet set emissions standards;
  • A cordon charge in Stockholm has led to 24% fewer commuter trips by car (motorcycles and scooters are exempt), with most people switching to public transport and Gothenburg following the same example;
  • China and Brazil are considering congestion charges in various cities;
  • Oregon, USA, has trialled a voluntary pay-per-mile distance charge resulting in a 22% drop in traffic in peak hours and a 91% approval by participants; and
  • London’s Low Emissions Zone charge has helped stabilise traffic congestion over the past decade despite population growth of 1.3 million. Motorcycles, scooters and electric vehicles are exempt, but from next month some older bikes will cop a £12.50 daily fee to access the new London Ultra Low Emissions Zone.

Riders everywhere should be concerned because these taxes and bans are likely to become more widespread in other congested cities in future.

In 2017, the Grattan Institute suggested congestion charges in Sydney and Melbourne during peak hours.

Last year, Melbourne’s Reducing Traffic for Better Streets paper suggested a charge per kilometre to replace vehicle registration fees and/or fuel excise.

The Federal Bureau of Infrastructure, Transport and Regional Economics also recommends a similar tax in major cities saying congestion costs Australia upwards of $16 billion each year. 

Source: MotorbikeWriter.com