Congestion tax could hit Wellington in 5 years

Wellington drivers travelling in peak hours could be hit with a "congestion tax" within the next five years.

A new report says the region's traffic flow woes could be solved by the tax - though regional councillor Terry McDavitt said it might not be necessary if school hours were changed.

The report by consultants Sinclair Knight Merz, which is being considered by the council, found "road pricing" in the greater Wellington region would reduce congestion and be economically viable, while at the same time having "minimal social and regional economic impact".

Mr McDavitt said any decision was still at least five years away, pending further investigation and discussion with the Government about putting legislation in place.

"The big question to settle is, who gets the money?" he told The Dominion Post.

"If it's going to be central government, that would kill it stone dead at that point."

A survey about five years ago showed that though most Wellingtonians were resistant to the idea of a congestion tax, the majority would accept it if they knew the money would be spent locally.

Mr McDavitt said a congestion tax would be fairer than the Government's proposal for a regional fuel tax, which would mean "every driver pays on every journey".

Legislation due to be passed next month will give the green light to councils wanting to charge a fuel tax.

With a congestion tax, only those responsible for congestion would pay - "and it will also have the effect of clearing the roads", Mr McDavitt said.

However, he said the tax was not the complete answer to Wellington's traffic problems.

It would have to be part of "a toolbox" of initiatives, after public transport, improved efficiency of the roading network, and encouraging walking, cycling and glide time.

For instance, about 25 per cent of peak-hour traffic is made up of children being dropped at school.

"If we could shift school hours slightly, we wouldn't have a congestion problem and we wouldn't need a congestion tax."

Traffic congestion was set to get worse as Wellington's population and car ownership increased.

"Doing nothing is not an option."

The report will be discussed at the regional land transport committee meeting this week.

Congestion pricing, widely used elsewhere in the world, has been mooted as an option for the region since 1996 when it was included in the Regional Land Transport Strategy.

The recently adopted Regional Land Transport Strategy (2006-2016) also contains policies that support road pricing.

The congestion charge to drive into central London started off at NZ$14 a day. It is now $22 and there is speculation it will rise to $69 a day.

Singapore, Stockholm and Oslo operate similar schemes and the tax is likely to be introduced in New York.

Auckland is working on its own scheme and has commissioned feasibility studies.

- © Fairfax NZ News