Topics / Charges / Review of heavy vehicle cost base allocators

We are conducting a review of the cost base allocators to provide assurance that current and future pricing systems are built on a sound understanding of how heavy vehicle use affects road construction and maintenance costs.

Review of heavy vehicle cost base allocators

  • Scoping > 
  • Analysing issues > 
  • Analysing options > 
  • Implementing

Purpose

We have conducted a review of the cost base allocators to provide assurance that current and future pricing systems are built on a sound understanding of how heavy vehicle use affects road construction and maintenance costs.

The review involved identifying and analysing primary research on the causes of road wear, and carefully considering whether the evidence supports any change to how costs are allocated to heavy vehicles.

The accuracy of cost allocation is fundamental to heavy vehicle user confidence and the efficiency of road pricing.

Next steps

We completed the review and presented the findings to the Transport and Infrastructure Council in May 2017.

Outcomes of the review are being considered as part of the development and testing of the Forward Looking Cost Base prototype.

Background

On 4 November 2016, the Council agreed to a number of actions to support the next phase of heavy vehicle road reform.

The Council asked the NTC to:

  • provide technical advice to governments following a detailed review of the heavy vehicle cost base allocators
  • a working prototype model for a forward-looking life cycle cost base for heavy vehicle charges.

Cost allocation is a central part of the PAYGO methodology which is used to calculate heavy vehicle charges.

The cost base allocators determine the share of total expenditure allocated to heavy vehicles and how expenditure is attributed to different types of heavy vehicles.

Get involved

Contact us

Project Manager Brook Hall
Last Updated: 5/6/2017