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NTC looks to heavy vehicle charge consultation

Regulation impact statement kickstarts 2022-23 charging options discussion


The National Transport Commission (NTC) has issued a consultation regulation impact statement (C-RIS) seeking feedback on a range of options for setting heavy vehicle charges that would apply from 2022–23 onwards.

It considers a range of technical changes to the pay as you go (PAYGO) model and presents alternative options for cost allocation and implementation.

“This consultation regulation impact statement (C-RIS) seeks feedback on options for setting future heavy vehicle charges to recover the cost of road construction and maintenance attributed to 27 classes of heavy vehicles that form the basis of the heavy vehicle charges determination,” the executive summary notes.

“The National Transport Commission (NTC) was directed by transport ministers in November 2019 to conduct a new heavy vehicle charges determination that would form the basis for setting heavy vehicle charges to apply from 2022–23.”

How heavy vehicle charges increased this year, here

Heavy vehicle charges consist of a yearly registration charge and a road user charge (RUC) on diesel fuel.

“These charges are set under a charging framework known as ‘pay as you go’ (PAYGO).

“The overarching regulatory problem for this determination is to recommend an efficient and equitable set of heavy vehicle charges that adequately recovers the cost of road construction and maintenance from heavy vehicles in Australia (the problem and related limitations are discussed in chapter 2).

“This must occur while complying with a range of pricing principles . . . ‘National heavy vehicle road use prices should promote optimal use of infrastructure, vehicles and transport modes’.”

After the end of the consultation period, set for August 2021, the NTC is to analyse the information proposed and prepare recommendations for a decision RIS.

The decision RIS will make recommendations to transport ministers at the Infrastructure and Transport Ministers’ Meeting (ITMM) in November 2021 for a new determination to apply for heavy vehicle charges from 2022-23.

The C-RIS is available here while submissions can be made here.


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