Roads Australia calls for road funding reform

Roads Australia Commonwealth Budget Submission National Road Safety Strategy

Australia’s peak road stakeholder body, Roads Australia, has called on the Federal Government to accelerate the reform process around road pricing and investment.

In its Commonwealth Budget Submission, Roads Australia outlined a number of key reforms.

It called for funding to implement the recommendations of its National Road Safety Strategy, including a campaign to raise awareness of road worker safety.

It also recommended establishing a network across the three tiers of government for formal collaboration on integrated transport and land use planning.

Roads Australia claimed the Office of Future Transport Technologies required funds to boost its capability over the forward estimates to ensure a smooth and coordinated transition to automated vehicles.

Looking abroad, the organisation suggested the Commonwealth develop international collaborations to access network control technologies, mapping systems and hydrogen fuel technology that will further prepare Australia for a cleaner, safer and more efficient transport future.

It also called for accelerated investment in mass transit systems in our cities, and funds to boost capacity in the construction industry, including support for a business case to increase skilled migration in the transport infrastructure sector.

Roads Australia President, David Stuart-Watt, said despite numerous calls to action from business groups, government inquiries and advisory bodies such as Infrastructure Australia and the Productivity Commission, there has been little real progress in mapping out and initiating the microeconomic reforms necessary to reposition the way we fund and price roads.

“In November 2016, we welcomed the Federal Government’s announcement of a study, to be led by an eminent Australian, into the potential benefits and impacts of road-user charging in Australia,” Mr Stuart-Watt said.

“Notwithstanding the work done on the National Heavy Vehicle Charging Pilot, it is disappointing that the Commonwealth has not pursued the microeconomic reform pathway with a greater sense of urgency.”

Mr Stuart-Watt said fuel excise is an inequitable instrument for recovery of revenue to support building and maintaining Australia’s road networks.

“It collects a lower distance-based road-user charge from more fuel-efficient vehicles and hybrid fuel/electric vehicles, and zero collections from electric vehicles,” he said.

“On the other hand, distance-based and/or time-of-day charging is a much more effective and transparent demand management tool for influencing driver behaviour.

“To maintain the confidence of industry and road users, it is essential that road pricing and investment reform models are transparent and equitable for all road users, and linked to clear infrastructure investment plans.”

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