[sustran] Re: India's Planning Commission working group suggests 'urban transport tax' on purchase/ use of private vehicles - so does Hanoi

[Cornie Huizenga]

Hi Carlos,

Thanks - through google translate we should be able to get the message of
the news items.

best regards,
Cornie

On Tue, Dec 20, 2011 at 5:49 AM, Carlosfelipe Pardo
<carlosfpardo at gmail.com>wrote:

> On this topic, Colombia is planning to have various charges for buying
> vehicles, as per the proposals from the current ViceMinister (Felipe Targa)
> who has stated that this will help reduce the current increase in
> automobile sales. Bogotá's elected mayor (Gustavo Petro, who will start on
> 1st January 2012) has said he supports those measures fully and wants to
> complement them with congestion pricing in order to create a cross-subsidy
> for public transport i.e. (reducing fares). There are no detailed documents
> on this - at least not public (and all related news items are in Spanish
> but I'm happy to forward to those interested).
>
> Best regards,
>
> Carlos.
>
>
> On 19/12/2011 02:46 a.m., Cornie Huizenga wrote:
>
>> Dear Pooja and others,
>>
>> Interesting. I just came across a similar proposal for Hanoi (
>> http://english.vietnamnet.vn/**en/society/15731/hanoi-wants-**
>> to-increase-car-registration-**fee-by-10-times.html<http://english.vietnamnet.vn/en/society/15731/hanoi-wants-to-increase-car-registration-fee-by-10-times.html>
>> ).
>> It is interesting that the rationale is almost identical for both India
>> and
>> Viet Nam
>>
>> *Viet Nam*: "Hanoi administration wants to raise registration fee to curb
>>
>> the growth of personal vehicles, to reduce traffic jams, to increase
>> budget
>> revenue to invest in public transport projects.
>>
>> *India*: "The recommendations, which are guided by the "polluter pays
>>
>> principle", aim to discourage use of private vehicles by imposing higher
>> taxes and also help generate resources to fund public transport projects."
>>
>> It would be interesting to hear of other cities in Asia, Africa and Latin
>> America who have similar plans.
>>
>> Cornie
>>
>> On Thu, Dec 15, 2011 at 6:12 PM, Pooja Sanghani<pooja.sanghani at itdp.**org<pooja.sanghani at itdp.org>
>> >wrote:
>>
>>  source:
>>>
>>> http://timesofindia.**indiatimes.com/india/Now-a-**
>>> green-cess-on-petrol-cars/**articleshow/11099730.cms<http://timesofindia.indiatimes.com/india/Now-a-green-cess-on-petrol-cars/articleshow/11099730.cms>
>>>
>>> NEW DELHI: Buying and running cars and two-wheelers could soon become a
>>> costly affair with a Planning Commission working group suggesting a green
>>> surcharge of Rs 2 on every litre of petrol, a green cess of 3% of the
>>> annual insured value of all private vehicles and a steep urban transport
>>> tax to be collected at the time of purchase of private vehicles.
>>> The panel, headed by Delhi Metro chief E Sreedharan, has suggested urban
>>> transport tax on purchase of new cars and two-wheelers at 7.5% of the
>>> total
>>> cost of petrol vehicles and 20% in case of personal diesel cars.
>>> The recommendations, which are guided by the "polluter pays principle",
>>> aim
>>> to discourage use of private vehicles by imposing higher taxes and also
>>> help generate resources to fund public transport projects.
>>> It is estimated that the new surcharge and taxes will help the government
>>> generate Rs 235,741 crore in the 12th five-year plan (2012-17) and Rs
>>> 22,40,804 crore over 20 years.
>>> It was decided not to impose the green surcharge on diesel considering
>>> the
>>> fuel's multiple uses and the problems in dual pricing. However, this was
>>> offset with the higher urban transport tax on new diesel cars at 20%
>>> compared to 7.5% for petrol-driven variants.
>>> The annual green cess of 3% is proposed to be collected through insurance
>>> companies. These firms, which collect around 4% of the insured value of
>>> the
>>> vehicle as annual premium, will now collect 7% and pass on the additional
>>> 3% to the government.
>>> With huge investment needed in the urban transport sector which the
>>> Centre
>>> cannot meet from traditional budgetary sources, innovative financing
>>> mechanisms were being explored, an official said. Even public private
>>> partnership projects could only partially meet the funding needs, he
>>> added.
>>> The resources mobilised from the new surcharge and taxes will be pooled
>>> in
>>> a dedicated national urban transport fund to meet the growing needs of
>>> urban transport.
>>> The working group also suggested dedicated funds at the state and city
>>> level through resources like land monetisation, betterment levy, land
>>> value
>>> tax and hike in property tax. It also recommended imposing congestion
>>> tax,
>>> a cess on sales tax and hike in parking charges to generate resources for
>>> the fund.
>>> ********************
>>> --
>>> Pooja Sanghani (Ms.) | Program Officer, Our Cities Ourselves
>>> Institute for Transportation&  Development Policy
>>>
>>> 301, Paritosh, near Darpana Academy, Usmanpura, Ahmedabad, India
>>> Office +91 79 40069227 | Mobile +91 9879897959 | www.itdp.org
>>>
>>> *Promoting sustainable and equitable transportation worldwide*
>>> ------------------------------**--------------------------
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>>> http://www.google.com/coop/**cse?cx=014715651517519735401:**ijjtzwbu_ss<http://www.google.com/coop/cse?cx=014715651517519735401:ijjtzwbu_ss>
>>>
>>> ==============================**==============================**====
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>>> equitable and sustainable transport with a focus on developing countries
>>> (the 'Global South').
>>>
>>>
>>
>>


-- 
Cornie Huizenga
Joint Convener
Partnership on Sustainable, Low Carbon Transport
Mobile: +86 13901949332
cornie.huizenga at slocatpartnership.org
www.slocat.net