Toll road costs alarming

The Northern Gateway Toll Road report released by the New Zealand Transport Agency today is ringing alarm bells says Road Transport Forum Chief Executive Officer Tony Friedlander.

“The fact that over the first five months 52% of the total toll revenue was spent on operating the electronic system is cause for alarm.  The trucking industry supports the concept of toll roads, but we cannot support any system which wastes so much on collection costs.

“The Forum commends the New Zealand Transport Agency for trying the electronic tolling system on the Northern Gateway and we are willing to see it operate for a full year before any firm conclusions are made on its future.  But early indications are that the tolling system’s costs are four times higher than would be acceptable.”

The road transport industry is very pleased to see the new road in place and it is not surprising that overall use is higher than forecast, no doubt because major improvements on this route were well overdue, but the operating costs must be addressed, Mr Friedlander says.  “Trucking operators are willing to pay their fair share towards the cost of improving the nation’s roads.  However it is important that money is collected from truck operators and motorists in an efficient way so that it goes into improving roads and isn’t simply used to channel funds into the IT industry.

“The Forum will monitor this tolling system closely over the next few months up to its first full year of operation because this early report is very unsettling.  We would not want to see similar systems implemented on other parts of the country until the cost problems with the Northern Gateway are sorted out.”

Details: Tony Friedlander 

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