Maharashtra proposes congestion taxes, limit on number of cars per family

After proposing the need for dedicated parking lots, both in private and public spaces, before individuals can register a new vehicle, the government is considering more options that might help ease parking menace and traffic. HT has seen the presentation the department made to the chief minister. These are the core points: the government is considering heavy congestion taxes, restrictions on vehicles per family and restricting vehicular traffic in congested areas like south Mumbai and other business districts where parking space is the major issue, among other measures.

On Friday, HT had reported the transport commissioner’s office moving the proposal of making it mandatory for motorists to produce the certified parking area (CPA) certificate for the registration of a new car. Though the proposal is at a nascent stage, Fadnavis has asked the department to consult all the stakeholders and before finalising it. The department will hold deliberations with the stakeholders and weigh in on the legal aspects over next three months. In the course of deliberation, the state government will also hold discussions on the other points, sourced from global practices.

“In the next one month, there will be discussions with various stakeholders – the departments of transport, urban development and industries, and manufacturers and motorists — on the salient features of the proposal. Following this, the various aspects related to the regulatory framework will be brought to the table, including the legal point of view. Apart from making CPA mandatory, we are considering to tap idea of heavy taxation on motors and vehicular restrictions in specified areas. Restricting number of cars per family is another option which is under consideration. We will finalise this in the next three months,” said Sanjay Sethi, additional chief secretary, transport department.

Officials of the department said they have studied various models from international cities to form the plan. In Japan a ‘garage certificate’ is mandatory to buy a new car, while in Singapore vehicle quota system was introduced in May 1990 to control the growth of the car population. The ‘certificate of entitlement’ issued by Singaporean authorities makes the car user eligible to hold the vehicle for 10 years. China’s ‘vehicle purchase restrict policies’ in different cities translates to quota and auction system to purchase cars. London charges congestion tax of £15 for 39-square kilometers, which has resulted in 20% decline in vehicles. Stockholm levies a toll for 35 square kilometer to restrict vehicular movement.

“We can restrict the entry of cars into south Mumbai in peak hours by making parking available in areas nearby, like the Mumbai Port Authority. From these restricted areas, motorists can take public transport to reach their destinations. To achieve this, government will have to strengthen the public transport network,” said a transport official, expressing optimism on the progress of the Metro project and new roads.

“All these proposals are expected to be introduced in a phased manner and in specified areas. The CPA will be easier to implement in Navi Mumbai,” said the official.

Responding to the government’s move, AV Shenoy, transport expert, said, “These are necessary steps to decongest the roads, but some of them – like the point on tolls — may face resistance. The ‘congestion price’ for entering into congested areas is a common practice in parts of the world. To achieve this, the government will have to upgrade public transport. The government may also face opposition from car manufacturing lobbies that are very powerful. The government needs a robust plan to implement these concepts.”