Skip to main content

Organisations’ ‘fairer charging’ call

Three major road organisations have issued a policy statement on fair charging for greener, smarter and safer road infrastructure.
February 20, 2012 Read time: 3 mins
Three major road organisations have issued a policy statement on fair charging for greener, smarter and safer road infrastructure.

1103 ASECAP (the European association of tolled road infrastructures operators); the 2866 European Union Road Federation (ERF) and 2867 IRU, which through its national associations, represents the road transport industry worldwide, presented the statement at a conference on future developments of road user charging, hosted in the European Parliament by MEP Gesine Meissner (ALDE Coordinator of the Committee on Transport and Tourism).

The statement says that the concept of road charging (making users pay per kilometre) has been gaining momentum among Europe’s policymakers at national as well as European level.

“However, there is still a lack of consensus of what the true objectives of road charging should be, with opinions diverging significantly between advocates of a modal shift policy and those who view road charging an effective method of financing roads,” said the statement.

Overall, road transport-related industries employ over 14 million people in Europe and directly contribute 11% to the European gross national product (GNP).

“In addition, the sector already pays a heavy fiscal burden through the multitude of taxes levied upon it, making it a net contributor to the coffers of Member States.

“At the same time, investment levels in roads in most European countries have been decreasing in recent years, despite an increase in the share of users and enterprises choosing to circulate by road. The current economic crisis is expected to put further strain on the budgets of Member States, leading to a situation where governments can no longer afford expanding, let alone maintaining, the existing road infrastructure.

“Against this backdrop, it is essential to devise a fair and reliable mechanism which can secure the funds needed to develop and maintain roads, and which does not entail any additional tax burden for the sector. Road charging offers a potential solution to the idea of sustainable road financing provided that the objectives of the road charge are clearly defined.”

However, the three organisations say that in their view road charging should be based on a number of fundamental pillars.

Road user charging should be seen as a means of a fair tolling scheme based on the pay-as-you-drive concept; the introduction of road user charging must be accompanied by the abolition of numerous current taxes (fuel tax, vehicle tax) in order to ensure that users don’t pay twice, and the revenue generated from road charging must be channelled back in the road sector in the form of additional investment and research funds aimed at developing cleaner vehicle and infrastructure technologies.

They add: “To date, the earmarking of collected revenues (for example, concession tolling) has proven to be a successful method of developing greener, safer and smarter road infrastructure (a high quality road network, from the design to the construction, operation and maintenance phases).

For more information on companies in this article

Related Content

  • Sourcing road financing for East Africa’s network expansion
    December 4, 2015
    East Africa’s ambitious road expansion programme is seeing the network expand significantly – Shem Oirere writes The East Africa countries of Kenya, Tanzania, Uganda and Rwanda have announced ambitious road sector expansion plans in the 2015/16 financial year. This is despite their national budgets being weighed down by huge deficits and persisting lack of capacity to spend resources allocated to the sector in previous years. With the huge budget deficits, the countries will have to look for alternati
  • America faces another major highway funding crisis says TCC
    October 3, 2014
    The United State is facing yet another national highway funding crisis as the country’s new fiscal year begins. Despite the fact that October 1 marked the beginning of America’s new financial year, Congress has still not passed or approved the funding for a new long-term surface transportation measure. This is really worrying the 31-member-strong Transportation Construction Coalition (TCC) which is arguing that a “failure to act” will “lead to another self-imposed funding crisis that would undermine vital r
  • IRF and ASECAP strengthen collaboration and sign an memorandum of understanding in Brussels
    June 14, 2019
    The 12th ASECAP Annual Road Safety Conference organised at the European Parliament in Brussels on 18th March set the scene for the signature of a Memorandum of Understanding between the International Road Federation (Geneva, Switzerland) and the European Association of Operators of Toll Road Infrastructures (ASECAP) aiming at further strengthening the collaboration between the two organisations. Signed by Anouar Benazzouz, Vice President of IRF, Susanna Zammataro, Director General of IRF, Bill Halkias, P
  • EU governments make surplus from road taxes, a FIA study finds
    November 9, 2016
    European Union governments took in €286.3 billion in road taxes during 2013 but re-invested only €178 billion back into highways, according to a new study.