Chinese School - Congestion charge needs fresh look

Opinion / Liang Hongfu

Congestion charge needs fresh look

By Hong Liang (China Daily)
Updated: 2007-07-10 07:05

Speaking to reporters after stepping down as transport czar in Hong Kong,
Sarah Liao talked generally about her achievements and frustrations as an
outsider answering the call of public service.

In one particular interview, she specifically mentioned, among other
things, the bureaucratic stonewalling of her push for electronic road
pricing. She recalled that her senior aides, who were all career civil
servants, quietly advised her to drop the idea because it was supposed to
be an "untouchable" topic.

Liao did not elaborate. But considering the success of similar programs
in other cities, notably Singapore and London, it seems inexplicable why
the idea is taboo in Hong Kong. Electronic road pricing, as practiced in
other cities, is basically a charge on vehicles entering the central
business districts during the morning rush hours.

Singapore has had such a system in place for years and nobody seems to
have ever questioned its legitimacy. London introduced what it called a
"day congestion charge" in 2003, which led to an immediate drop in
traffic congestion by almost 20 percent, resulting in an estimated 15
percent cut in carbon dioxide emissions.

Now, the New York State Assembly is debating the merits of introducing
such a scheme in Manhattan.

We believe that Hong Kong should at least explore the feasibility of the
scheme as air pollution is widely seen to be worsening in the city. What
is more, the fees can generate a sizeable income for the government even
if traffic in the business district during rush hours is cut by 20
percent. In London, the congestion charge is bringing in about $200
million of revenue a year.

Hong Kong has what Ken Livingstone, the mayor of London, called the
"preconditions" for the successful implementation of a "day congestion
charge". In a New York Times' column, Livingstone wrote: "In London, as
will be the case in New York or any other city, an enhanced public
transportation system is critical."

That is not a problem for Hong Kong, which is widely recognized as having
one of the world's most efficient public transport systems, built around
a fast and affordable underground railway, supplemented by a fleet of
air-conditioned and clean buses.

As is the case in New York, the proposition has met with considerable
resistance from retailers and caterers who worry that the congestion
surcharge could hurt business. Their counterparts in Hong Kong obviously
share the same concern about electronic road pricing.

Based on the London experience, such worries seem unwarranted. According
to Livingstone, the retail outlets within the zone subject to the
congestion charge have seen "increases in sales that have significantly
exceeded the national average". The theater district, which largely falls
within the zone, has been doing just as well. "People are still flocking
to London - they're simply doing so in more efficient and less polluting
ways," the mayor wrote.

It is not clear why some senior officials in the transport department of
the Hong Kong government consider the idea of a congestion charge so
sensitive that renders it almost unmentionable. The powerful bankers and
property barons who have offices in the business center certainly would
not mind paying a small charge for the privilege of traveling to work in
their private limousines.

Indeed, the scheme has proven to be so successful in London. What works
in London, or Singapore, for that matter, does not necessarily work in
Hong Kong. But a congestion charge is obviously a scheme worth
considering and there is no reason why we should reject it as something
"untouchable".

E-mail: jamesleung@chinadaily.com.cn

(China Daily 07/10/2007 page10)

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