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Road Charging Scheme: Europe - Norway, Oslo

Type of Scheme

  • Cordon-based pricing scheme where drivers must pay to enter the central zone.

Date of Introduction

  • 1990.

Background

  • Norway has long tradition of using tolls to finance one-off transport infrastructure projects such as bridges and tunnels.
  • Oslo suffered from major congestion problems from the 1970s - road investments seen as solution.
  • A lack of public funds was available to generate necessary road investment - road pricing was turned to as solution.
  • 'Oslo package' is the agreement on way in which cordon scheme should be used to generate investment for transport in Oslo.
  • First Oslo package in 1990 (Oslo Package 1) primarily designed to raise funds for road construction (80%) with a lesser focus on public transport (20%).
  • However, second Oslo package in 2002 (Oslo Package 2) dedicates almost all revenues to public transport.
  • Revenue can be used for infrastructure for both roads and PT, but not for operating costs.

Aim

  • To collect funds for transport investment in Oslo.

How it Works

Charges:

  • Only ingoing traffic is charged for entering the cordon (the city centre).
  • Charges must be paid for entering cordoned zone at all times of day, seven days a week.
  • Charge is 20NKr for cars weighing up to 3500kg and 40NKr for cars weighing over 3500kg.
  • AutoPASS (see technology section) season ticket available.

Technology:

  • 19 toll booths form a ring on roads around city centre, with vehicles passing through paying a charge.
  • Possible to pay manually and at coin box collection unit but most drivers subscribe to AutoPASS system allowing them to travel through toll booths without stopping.
  • AutoPASS is an electronic payment collection system in place across the whole of Norway.
  • AutoPASS requires each vehicle to have electronic tag - a device installed by the driver on the windscreen behind the mirror- so it can be read by electronic toll booths.
  • Unmanned electronic toll booths located around cordon deduct a charge from vehicles passing through the booth on entering charging zone.
  • AutoPASS account holders with electronic tags have a seasonal pass (month or year) or a number of pre-paid passes with discounts depending on number of tickets bought.
  • AutoPASS operates across the whole of Norway so that drivers using the various toll roads and bridges as well as entering the various tolled cordon schemes (Oslo, Trondheim etc.) can pay different toll fees using the same electronic tag in their car without having to stop.
  • AutoPASS technology is owned and managed by the Norwegian Public Roads Administration (NPRA).

Enforcement:

  • Enforcement is done by cameras taking pictures of number plates of drivers who do not have an AutoPASS account and an invoice is sent to them by post.

Revenue

  • Revenue is used for transport investments in Oslo.
  • First year of operation, initial investment of 250 million NKr was covered by revenue of 750 million NKr.
  • Current revenue is approximately 1 billion NKr ($165.2m) with operational costs 10% of total revenue.

Benefits/Results

  • Reduction in queuing and delays.
  • Reduced noise levels and reduced pollution.
  • Better traffic safety conditions on main road network.

Public Opinion

  • Initial public opinion not in favour of toll ring.
  • In 1989, before opening of the toll ring 70% of population in Oslo region was against the toll ring.
  • By 1996, support increased to 45% in favour.
  • In 2001 a rise in prices led to temporal loss in support.
  • Positive elements of the toll ring for the public are:
    • collects money for road investments (50%),
    • restricts car traffic (25%),
    • environmental benefits (12%),
    • road users should pay (13%).
  • Negative elements for public are:
    • we pay enough taxes already (35%),
    • unjust financial strain on motorist (34%),
    • expensive collecting arrangement (10%).
  • After being given short description of the Oslo Package 2 on phone, 71% were positive to package, especially if package contains high share of public transport investments.

Next Steps

  • Currently not decided whether Oslo will continue using the cordon ring after 2007 as it depends on decision of the 'Oslo Package 3'.
  • Therefore, it is unknown whether the scheme will be extended (as in Bergen), modified to accommodate time-differentiated pricing or replaced by another form of pricing altogether.
  • Norwegian government has passed legislation to make congestion pricing possible (current purpose is to raise revenue rather than affect driver behaviour).
  • The main issue is whether the cordon toll ring can be adapted for demand management purposes.

Websites

Norwegian Public Roads Administration:
www.vegvesen.no.

Autopass:
www.autopass.no/cs/Satellite?c=Page&cid=1204190639488&pagename=autopass%2FAPside.

References

Kristian Waersted (2005), Norwegian Public Roads Administration, Urban Tolling in Norway - Practical Experiences, Social and Environmental Impacts & Plans for Future Systems.

Bekkn and Osland (2005), Institute of Transport Economics, Norway, The Establishment & Development of Norwegian Toll Cordons.

Ieromonachou, Potter & Warren (2005), Faculty of Technology, Open University, Comparing Urban Road Pricing Implementation & Management Strategies from the UK and Norway.

Lian & Fearnley (2005) Institute of Transport Economics, Norway, The Oslo Toll Ring & Infrastructure Investment Scheme.

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