How the M&CC could enhance its revenue stream

Mar 11, 2010 Letters

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Dear Editor,
I was wondering how I could broach a traffic concern without seeming to be critical of certain quarters, when I read that the cargo vessel Hoeg Caribia arrived in Guyana on its maiden voyage bringing some 350 motor vehicles.
The question that sprang immediately to my mind was, ‘do we have the capacity to effectively and efficiently address the perennial problems of parking and congestion (not to mention stress), as citizens attempt to traverse certain roadways of the capital city’?
As I understand it among the responsibilities of the Mayor and City Councilors of the City of Georgetown is the provision of adequate parking facilities which – if non-existent, could contribute to the obstruction of free flowing traffic or congestion.
Further, the contentious issue of income generation which was of some concern to the Burrowes Commission may be confronted to some degree to create a level of comfort for the citizenry in terms of service delivery.
It is with this understanding that I would like to offer my two cents on how the M&CC of Georgetown could enhance their revenue stream with particular regard to the road traffic situation in central Georgetown, while at the same time alleviate the causes of stress and aggravation which beset so many of us on a sometimes daily basis.
England (central London to be precise) introduced a fee called the ‘congestion tax’ as a measure to “cut traffic levels and help ease severely clogged roads (and) raise money to re-invest in the capital’s transport system.” My suggestion is that the M&CC in partnership with the ministries of Local Government and Regional Development; and Public Works and Communication examine the feasibility of the UK model for possible modification and application to the Guyana situation.
Of necessity in light of our economic realities the scheme should be low-cost, low technical risk and one that can be implemented easily.
The congestion tax applies to a central heavily congested 21 square kilometer zone within Inner Ring Road in London where between the hours of 7 a.m. and 6:30 pm from Monday to Friday (except public holidays) motorists are required to pay a flat fee either in advance or on the day of travel. Those defaulting on payment are fined if they do not meet the 12 midnight payment deadline.
Among the questions which come immediately to mind is “how will the congestion charge zone be monitored to determine who pays the tax and to identify defaulters”?
With respect to Georgetown, I do believe that we have the expertise and experience to conduct a survey to determine the area(s) which would be affected by the introduction of the congestion tax while at the same time locating areas which can be set aside for secure parking lots for which the M&CC could charge a user fee.
One method is by using cameras to record motor vehicle numbers in the same way that the Ministry of Home Affairs is moving to install cameras in the city to record the commission of offences.
The UK model uses static camera sites and mobile camera units where the camera takes a close-up of the vehicle’s registration number which is sent to the number plate recognition computer database to record the date and time the images are taken, and to check for payments and exemptions.
The final stage entails the issuance of penalty notices to defaulters. Registration of vehicle registration numbers on the database can be done for a payment by extracting the relevant information from the Guyana Revenue Authority’s database of motor vehicles.
With the reintroduction of the radar gun to detect speeders valid questions have been asked about the veracity of the readings presented by the traffic rank to the alleged errant motorist. One such question is how is the motorist to know that the reading represents the actual speed of the vehicle targeted since there is really no guarantee that the reading is not that of a previous vehicle.
In the congestion tax system once the vehicle registration is matched, showing either the charge has been paid or a vehicle is exempt, the pictures are wiped. If no charge is paid by midnight of the same day the computer sends out penalty notices to the registered owners.
That is probably one way to ensure that persons who sell their motor vehicle obtain the required compliance or they will be penalized for failing to pay the tax when in fact they are not in actual possession of the vehicle.
Borrowing from the London model the categories of persons exempted from paying the tax could be drivers of motorcycles; bicycles; licensed taxis; minibuses with nine or more seats; emergency vehicles; and vehicles used to provide a community service transporting the elderly etc. and exempt from duty.
A facility could be developed which does not require payment for several categories of vehicles including community service vehicles; alternative fuel vehicles which meet strict emission standards; breakdown and recovery vehicles; and operational vehicles used by the emergency services, but they must register with the M&CC (or the Ministry of Public Works and Communication) or – in some cases be required to make a one-off payment.
Persons living in the congestion charge zone should be encouraged to register one private vehicle per residence to receive a discount which in effect is an incentive to help cut down on pollution.
Mario Iacobacci, Director of Research for the Conference Board of Canada (May 2008) argues that political will must be evident if cities are to be serious about tackling protracted congestion and its impact on rising economic costs. I will take the liberty of paraphrasing a few items in the menu of measures he proposes which are: (i) a road pricing solution which takes into account areas of congestion; (ii) feasible (and safe) transport alternatives for the travelers affected by the charge; (iii) realistic resident discounts; (iv) congestion-charge revenues earmarked for the city’s investments; (vi) little opposition from business and public attitudes that tolerate congestion charging; and (vii) a powerful political champion.
The Royal Automobile Club of Victoria in Australia argue that motorists are already required to pay fuel tax, licensing and registration fees and therefore any introduction of a congestion tax should be done only if there is a total restructuring of all taxes applying to motoring. In addition to the aforementioned taxes Guyanese motorists are expected to pay consumption tax, and VAT on vehicle parts etc. Having said all of the above I am constrained to borrow an observation from Iacobacci, that “A congestion charge that cannot change travel behaviour will be perceived as nothing but a tax grab.” As stakeholders we need to avoid this perception if we are to bring some order to our capital city.
Patrick E. Mentore

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