heavy vehicle charging and investment reform: waflc meeting : august 2012 freight and logistics...
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HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
Freight and Logistics Council of WAA more holistic HVCI Reform
Meena Naidu, Project Director30 August 2012
HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
The disconnects:• between the charges paid by users and the expenditure needed to
provide heavy vehicle road access
• between the funds received by governments and the monies actually spent (and required to be spent)
• between the three levels of government in planning, investment and allocation of funds for heavy vehicle road services.
A broken system
HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
The new focus for HVCI
Government
Community
Freight customer
FundingInvestment and planningAccess and incentives
Charging and regulation
Heavy vehicle user
HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
The new heavy vehicle charges and investment framework
HV investment and co-ordination function
Planning function
Infrastructure/service provision function
LV/CSO funding (Govt taxation
revenues)
Regulation function
Heavy vehicleusage
HV Funding(Charges revenue)
Access
Payment for access based on regulated charges and usage
Funds allocated based on usage, to fund investment
Contribution to mixed
investment
Broad multimodal transport planning considering community and broader supply chain requirements
HV Financing
LV/CSO investment and co-ordination
function
Light vehicleusage
National LocalSupply chain
LV/CSO Financing
HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
• HV charges revenue will be tied to HV related capital and maintenance investments and will not go into general revenues.
• HV related investment that are funded through charges will not be determined through current budgeting processes
• Charges will only fund commercially viable maintenance and capital investment (i.e. where sufficient benefits accrue to the heavy vehicle user to justify the cost)
• Governments will need to fund investments that are not commercially viable through general taxation revenues but will not be recoverable through charges – there is no restriction to the extent to which governments wish to do this
The threshold issues
HEAVY VEHICLE CHARGING AND INVESTMENT REFORM: WAFLC Meeting : August 2012
Proving the benefits
• To what extent is access currently being limited due to a lack of funds or funding uncertainty?
– To what extent do infrastructure bottlenecks exist within the system?
• To what extent will access be compromised in the future due to a lack of maintenance?
• Will the broader supply chain be interested in providing infrastructure if costs are recovered through charges?
• How can transparency lead to better investment and usage?