The COAG Road Reform Plan (CRRP) has released a new paper to initiate discussion on funding and implementation issues.

 

The CRRP was established in April 2007 as a long term road reform agenda to bring about more efficient investment in, and use of, land transport infrastructure to meet the growing freight task and to maximise economic growth.

 

The first phase of the CRRP focused on researching options for more direct charging for heavy vehicle road use, in order to inform decisions concerning possible implementation of direct charging arrangements. COAG considered the Phase 1 report in 2009 and concluded that there was enough evidence to justify proceeding to a feasibility study. Work on the feasibility study is now underway and is due to be completed by the end of 2011. The feasibility study will provide recommendations to COAG on what further steps, if appropriate, should be undertaken to move towards implementation of feasible reform options.

 

The current work program of the CRRP is focussed on developing and assessing options for:

 

  • pricing reform – providing stronger signals to heavy vehicle road users about the costs involved in road provision and investment by reforming pricing; and
  • funding reform - providing incentives and accountabilities to facilitate more efficient road provision, maintenance and investment through reforms to road funding and expenditure arrangements.

 

A discussion paper released in 2010 that described a number of alternative pricing models and outlined a development and assessment framework.

 

The current paper outlines both expected benefits from funding reform and key challenges and risks associated with such a reform.It also identifies issues associated with implementing different reform options.

 

CRRP is seeking submissions on the paper until May 27.  The paper can be downloaded at http://www.roadreform.gov.au/Consultation/DiscussionPapers.aspxr