The New South Wales toll network is overpriced, inconsistent and in serious need of an overhaul, an independent review has found.
The Independent Toll Review handed down today made several scathing findings and recommendations about the network, including that toll prices are often set above competitive market levels.
The report calculated $122.66 billion will be spent on the toll network over the next three decades.
Key findings and recommendations
The report found the privatisation of the toll network by the previous NSW government presented several challenges for motorists.
It also found that Western Sydney residents suffer the most under the current toll network, as they have to spend the most and travel the furthest, with the least amount of options available to them.
A key recommendation was that tolls should be charged on a per-kilometre basis, with a rate that declines the further the driver travels, which would deliver better toll fairness to Western Sydney motorists.
The review also found that additional revenue from two-way tolling on the Harbour Bridge and the Eastern Distributor would allow for the lowering of tolls on other motorways.
It would also ”ensure a consistent tolling and traffic integration approach when the Western Harbour tunnel opens around 2028″, the report said.
An overhaul of how toll roads are charged is also needed, the report found.
“Under network tolling we would want to see motorists being billed just once for each trip, not separately for the components of the trip provided by different concessionaires,” the report said.
Decisions on the price of tolls should be overseen by the Independent Pricing and Regulatory Tribunal (IPART).
Upfront tolls should be efficient, fair, transparent and simple.
An infrastructure charge was also recommended for parts of toll roads that have been costly to build.
The report also found that the current toll relief schemes are “unsustainable and has considerable challenges.”
“They are increasingly costly, as well as complicated to administer … a an alternative to toll relief, we propose the government act to reduce the level of tolls and manage the transition to network tolling,” the report said.
Other recommendations included dynamic pricing for on and off-peak periods.
The Minns government said it will “consider the report and respond in due course”.
“We are determined to put motorists first as we push ahead with these challenging reforms,” Roads Minister John Graham said.
“I welcome the offer by motorway concessionaires to work with the government on a new, network approach to tolling.
“We will also consider legislation consistent with the recommendations in the final report to achieve this important reform.”