MUMBAI: Buying new cars is set to become even more expensive, with the Maharashtra Motor Vehicle Tax or road tax being raised for both petrol and diesel vehicles from May 1. Moreover, owners will also have to shell out more for petrol and diesel, the prices of which are likely to go up. The development, car manufacturers believe, could hit demand to some extent.

Cities all over the world are trying to ease congestion on roads , check car population to free their road space and this latest special report in Down To Earth finds out where India is headed and what lessons can the country learn from them.

Cities all over the world are trying to ease congestion on roads. Not the chocked Indian cities, through. Time to make cars in India pay the real cost of using roads.

NEW DELHI: Cars and two-wheelers are all set to become more expensive in the Capital with the Delhi Cabinet approving a proposal on Monday to increase road tax on them. The new rates would come into force on issuance of a notification.

The new road tax rates, which will come into force after a notification is issued, on vehicles of different categories will range from 2 to 10 per cent of their cost
Now if you want to buy a Land Cruiser, a Honda CRV or any other luxury vehicle, be prepared to pay a whopping 10 per cent of its cost in road tax.

The B K Chaturvedi Committee, set up to recommend ways to expedite the National Highways Development Project, seems to have been guided by the misconception that infrastructure can be built by simply doling out additional concessions to the investors.

Singapore is the first city in the world to implement electronic road pricing (ERP) in September 1998. The ERP or congestion pricing system was successful for one important reason - the city operates a widely accessible public transport system (road and rail) which can support the shift to car-free transport.

This paper reviews the methods and technologies for congestion pricing of roads. Congestion tolls can be implemented at scales ranging from individual lanes on single links to national road networks. Tolls can be differentiated by time of day, road type and vehicle characteristics, and even set in real time according to current traffic conditions.

This paper reviews the literature on the fiscal policy
instruments commonly used to reduce transport sector
externalities. The findings show that congestion charges
would reduce vehicle traffic by 9 to 12 percent and
significantly improve environmental quality. The vehicle
tax literature suggests that every 1 percent increase in
vehicle taxes would reduce vehicle miles by 0.22 to 0.45

Paul John | TNN

Ahmedabad: This novel technology of road repair could be an eye opener for state roads, building departments and the seven municipal corporations of Gujarat.

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