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The National Transport Commission (NTC) today released a discussion paper outlining possible options to improve the current method of setting heavy vehicle charges.

Views sought on options to improve the heavy vehicle charges methodology

1 June 2016

The National Transport Commission (NTC) today released a discussion paper outlining possible options to improve the current method of setting heavy vehicle charges. 

The NTC has prepared the discussion paper in response to a request from the Transport and Infrastructure Council for the NTC to investigate and report back to it with options to advance the methodology to better balance heavy vehicle charges and government revenues.

Chief Executive of the NTC Paul Retter encouraged governments, the heavy vehicle industry and all other interested parties to consider the merits of each of the options contained in the discussion paper.

“The nine options identified in the discussion paper seek to resolve some of the limitations of the current ‘pay as you go’ (PAYGO) system for heavy vehicle charges,” Mr Retter said.

“We welcome stakeholders’ views on the options, their compatibility with each other and the criteria for each of them.”

The proposed options include:

  • changing the methodology used to calculate the heavy vehicle cost base
  • ring-fencing of revenue from heavy vehicle charges
  • moving to independent price regulation.

The use of fuel-based road user charges (RUC) and annual vehicle registration charges to recover the identified costs from heavy vehicle operators will remain unchanged.

Mr Retter said the NTC would now consult with stakeholders on the proposed options. It is planned that the NTC will present its recommendations to Australia’s transport ministers in November this year for their consideration.

A copy of the NTC’s discussion paper is available here and submissions can be lodged between now and Wednesday, 27 July 2016.

Last Updated: 18/11/2016