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Motorists won't have to pay levy on new expressway
Goh Chin Lian
Fri, Jan 26, 2007
The Straits Times

Singapore is not going to impose an extra charge for the use of the yet-to-be-completed Kallang-Paya Lebar Expressway (KPE), a decision greeted with relief by road users yesterday.

Earlier, there was talk that a levy could be introduced on users to recover costs, on top of Electronic Road Pricing (ERP) charges to control congestion.

But Transport Minister Raymond Lim, in an interview with The Straits Times, said: "There are no plans to charge."

The Government is funding even the cost of maintaining the $1.8 billion expressway, he added.

The KPE, part of which is underground, is scheduled to open in the second half of this year.

However, Mr Lim said a levy to recover costs could be introduced for future projects.

"There may be some projects, given the circumstances and their nature, which we should consider asking the direct user to contribute," he said.

It could go towards paying for, say, the maintenance or operating costs, he added.

Such an approach would be a radical change in Singapore's transport policy. Currently, road users essentially pay ERP charges, as well as road and other taxes.

In a statement yesterday, the Land Transport Authority (LTA) said that as is the case for other expressways, it will monitor traffic flow on the KPE and apply ERP only if the congestion level warrants it.

Car owners like MP Ong Kian Min, who is the deputy chairman of the Government Parliamentary Committee for Transport, welcomed Mr Lim's decision.

"It's a relief that no additional charges will be imposed above what we are used to seeing now on other expressways."

Any change, he said, would be a radical move and "would need some getting used to".

Talk of a possible levy on motorists who use the KPE began to swirl when Mr Lim broached the idea last June that expensive underground roads and railways may not be fully funded by the Government.

Transport researcher K. Raguraman from the National University of Singapore feels a levy to recover costs is not necessary at this point in time.

He believes that revenue from the certificate of entitlement (COE) and ERP schemes, as well as road and other taxes, is enough for government expenditure on building and maintaining transport infrastructure.

"If transport becomes a deficit sector even with COEs and ERP and all other taxes, only then should user charges towards some cost recovery be considered," he said.

 

 
 
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Motorists won't have to pay levy on new expressway
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