Tolls proposed on cars using downtown streets
By Van Nam - The Saigon Times Daily
HCMC – The city’s Tien Phong Technology Joint Stock Company has proposed starting toll collection on cars using downtown streets from January 2012 with a fee level from US$1 to US$2, or VND20,000 to VND40,000, per car.
According to Tien Phong’s proposal, which was made to the HCMC Transport Department, preparation, construction and testing of the toll collection project will be carried out from April to December 2011 and the second period for starting tolls and expansion to other districts will be implemented in January 2012.
Tolls will be initially applied on private cars and taxis, but not buses, traveling in District 1 and District 3 with an aim at reducing traffic volume by 40% on several streets such as Dien Bien Phu, Nguyen Thi Minh Khai, Nguyen Chi Thanh, Nguyen Huu Canh, Nguyen Thai Hoc, Ly Thai To, Nguyen Tri Phuong, Ba Thang Hai, Hong Bang, Ly Thuong Kiet, and Cong Hoa.
Lam Thieu Quan, director of the company, told the Daily that the fee level would be alternative on different streets depending on the car density of each area. The company also proposed three plans for collection but it said it was better to apply tolls in downtown districts then expand to other districts if the project helps control the worsening traffic jams.
Quan also said the final fee level would be decided by the city’s People’s Council and People’s Committee. Under the project, Tien Phong will install cameras along the streets to recognize cars equipped with a prepaid On Board Unit, or OBU, to subtract money from cars using downtown streets.
The company said the tolling would help reduce traffic jams on main streets leading to the downtown area. The tolling will also encourage the use of buses and help the city mobilize funds for important traffic projects.
Deputy Prime Minister Hoang Trung Hai late last year approved HCMC to carry out toll collection on downtown streets as a way to reduce traffic jams. The city government then approved Tien Phong to do a feasibility study.
By April 15, Tien Phong will likely report to the city Transport Department with more details including fee levels, impacts on traffic congestion, investment capital and benefits of the project, according to the company.
According to a Transport Department official, after the company finishes its feasibility study, related traffic authorities will carefully evaluate all the negative and positive impacts of tolling before the Transport Department makes a final proposal to the city government.
The city has 400,000 cars which account for 55% of the traffic circulation on the city streets and occupy 60% of the total parking area.