Study on congestion tax to take six months to a year: Suriya

TUESDAY, OCTOBER 22, 2024

20-baht fare cap will cover all electric train routes by next year, transport minister vows

The Transport Ministry expects to finish conducting a feasibility study on levying a congestion tax in six months to a year, while insisting that the 20-baht fare cap will cover all electric train routes by next year. 

The much-debated congestion charge, proposed by the ruling Pheu Thai Party last week, aims to reduce traffic congestion in inner Bangkok, encourage more people to use public transport, and finance the government’s measure of capping electric-train fares at 20 baht for the long term.

“The new tax will take from six months to a year to study, but the 20-baht fare cap will certainly cover all routes next year,” Deputy Prime Minister and Transport Minister Suriya Juangroongruangkit said on Tuesday.

Suriya had said last week that target areas for congestion charges include Sukhumvit, Silom, and Ratchada. These areas currently offer various travel options, including BTS and MRT lines, with an average traffic volume of 700,000 vehicles per day.

“Motorists will be provided with an option,” Suriya said. “For example, if the tax is levied on Rama I Road from Siam Paragon to Phra Khanong, those wishing to travel to Phra Khanong can use alternative routes such as Phetchaburi or Rama IV roads instead.”

Initially, the fee will increase every five years, starting at 40-50 baht per vehicle in the first five years, eventually rising to 80 baht per vehicle. This is expected to generate around 10 billion baht annually. The money will be used to fund the 20-baht train fare cap, which is currently implemented on selected state-run routes.

While the tax is not yet in effect, the ministry is working on expanding the fare cap to all routes of electric trains by pushing the joint-ticket bill, which aims to establish a fund to compensate private operators of electric trains for lost revenue.

The bill is expected to be in effect in September next year, the minister said.

When asked if the new tax will affect business sectors in the inner-city area, Suriya said commercial vehicles, such as pickup trucks, will be exempt.

He added that the ministry would improve the connectivity and comprehensiveness of the public transport system to facilitate people’s transition from personal vehicles to public ones.