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Road Charging Scheme: Europe - Hungary

Type of Scheme

  • A time based system of motorway tolling, comprising about 640 km of the current motorway system.

Date of Introduction

  • First section of tolled network opened in 1996.

Background

  • Traffic demand on motorways continued to grow faster than supply of roads but Government lacked financial means to develop motorway network.
  • Tolling was therefore introduced to generate sufficient revenue but on a privately financed basis.
  • In 1990, initial plan for the establishment of six stretches of motorway tolling was established.
  • After the signing of the first contract to a private company in 1993, the tolled sections of the M1 Motorway were opened in January 1996 and the M15 section in June 1998.

Speedway Network in Hungary

Aim

  • To raise funds to finance motorway construction, repair and maintenance.

How it Works

Charges:

  • Charges are based on a vignette system that allows a user to pay to use the tolled roads for a certain number of days. The vignette prices in EUR (including 25% VAT) in 2005 were as follows:

    User Charge Catagories Calendar 1-Day Vignette 4-Day Rolling Vignette 10-Day Rolling Vignette 31-Day Rolling Vignette Calendar Yearly Vugnette
    01 January -
    30 April
    01 May -
    30 September
    01 October -
    31 December
    D1 ≤ 3,5 t - 4.40 5.75 4.40 9.00 15.30 137.00
    3,5 t < D2 ≤ 7,5 t - - - - 24.70 45.10 396.00
    7,5 t < D3 ≤ 12 t - - - - 38.45 65.50 588.00
    12 t < D4 7.85 - - - 49.00 83.50 750.00

Technology:

  • Charging is currently applied through a vignette system - a time dependent access charge method. There are no physical toll gates or check points.

Enforcement:

  • Carried out by fixed camera gantries and mobile enforcement cars. Both are equipped with licence plate recognition cameras. The images are checked against an electronic database which registers the user charge category, licence plate number of the vehicle plus the validity term of the vignette.

    Mobile Patrol Car
  • Manned mobile patrol groups patrol network and rest areas enforcing vignette system by mobile control devices.
  • Excess charges are collected on the spot and through subsequent enforcement action.
  • Excess charge is fixed to payment deadline. Within 3 days it is 5 times, within 15 days it is 10 times and within 30 days it is 20 times of the 10-day rolling vignette price.
  • Non-payers are cited to the civil court after one month.

Revenue

  • The net income generated from tolls in 2004 was EUR 80 million.

Benefits/Results

  • Comparison of the main features of the vignette system (base year 2000)

    Comparison of the main features of the vignette system (base year 2000)
  • The current charging system, allied to the growing motorway network and growing personal incomes, has led to higher vehicle mileage leading to increased demand for yearly vignettes. This increased demand has resulted in lower virtual toll levels (defined as the yearly total vignette incomes divided by yearly total vehicle mileage).

Problems

  • On M1-M15 motorway, from January 1996 to September 1999 only 55% of estimated amount of traffic thought likely to use the road did so.
  • Traffic diverting from tolled section of M5 motorway - mainly local users and truck drivers - immediately congested free national road.
  • In towns along "old road", high traffic loads caused traffic jams, an increase in accidents, a fast deterioration of road quality and a decrease in living conditions of local residents.

Next Steps

  • The vignette user charging system is not recommended for use after 2007 as this type of fee collection system gives unfair advantage to frequent and long-distance users over the infrequent and short-distance users.
  • Instead, a mileage based tolling system is recommended from 2008 to ensure all users pay according to their actual use of the roads.

References

"Tolling on the Hungarian Motorway Network" - Arpad G Siposs (Paper to PIARC Seminar on Road Pricing, Cancun, Mexico 2005).

"Concession Experience in the Road Transportation Sector in Central Europe"
www.internationaltransportforum.org.

"M5 Motorway project in Hungary - A Case Study"
www.bankwatch.org/project.shtml?w=147584.

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