Regulation by financial tools is necessary

Lê Thanh Phong |

Hanoi's proposal to sharply increase fees for temporary use of roads and sidewalks is not focused on budget revenue collection, but on increasing the efficiency of modern urban management.

It should be frankly stated that the government has to spend very large costs to maintain infrastructure, combat congestion, and treat pollution, so the occupation of urban space at cheap prices for many years inadvertently creates irrationality.

Therefore, collecting fees of up to 400,000 VND/m2/month for car parking activities on routes in the core urban area is a suitable adjustment, because the old fee level is too low compared to the actual value of urban infrastructure.

More importantly, if the toll is kept low, people will continue to choose personal vehicles instead of public transport.

The lesson in many major cities around the world shows that, to get people on buses and trains, first of all, it is necessary to make the use of personal vehicles more expensive and less convenient. Increasing road and sidewalk fees is a tool to regulate the behavior of using vehicles.

Parking costs in the central area have increased, car users will have to consider switching to buses, trains or parking in the out-of-town belt, thereby reducing inner-city traffic pressure.

This view is not only suitable for Hanoi but Ho Chi Minh City also needs to consider applying it more strongly.

Ho Chi Minh City is also currently facing traffic jams, lack of parking lots, and seriously occupied sidewalks. If the fee level continues to be low, the city will find it very difficult to change the habit of using personal vehicles that has been deeply ingrained for many years.

However, people will not give up cars and motorbikes if buses are slow, trains are not synchronously connected, and pedestrian infrastructure is still inconvenient. Therefore, revenue from road and sidewalk fees needs to be strongly reinvested in public transport, green infrastructure and urban space improvement.

Convenient, punctual, clean buses; convenient metro connection; clear and safe sidewalks, people will change their habits. No one wants to squeeze in the traffic jam if there is a better choice.

A modern city cannot develop in the style of prioritizing private cars, because urban space is finite, while the number of vehicles is increasing. If financial tools are not used to regulate, congestion and pollution will be even more serious.

Increasing sidewalk and road fees does not require exorbitant collection, that is the way to force personal vehicle users to share the social costs they create, while creating motivation for public transport to develop.

Lê Thanh Phong
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