VietNamNet Bridge – The capital will collect between VND50,000 (US$2,4) and VND100,000 ($4,8) as annual road maintenance fee from each motorbike user from early next month.

A resolution on the collection was passed by the city's leaders at the 7th People's Council session on Tuesday.

It follows the Government Decree on the charging of fees for the users of motorised vehicles, that aims to ease the Government's financial burden of financing road maintenance as well as curbing the increasing number of vehicles on the roads.

The city's rate is the lowest on the pricing frame set by the Ministry of Finance.

Subsequently, motorcycles with a cylinder capacity of 100cc or less will be subject to an annual charge of VND50,000, with this figure doubling for vehicles over 100cc.

Motorbike users who are policemen, in the armed forces of members of poor households as stipulated by the Government will be exempt.

The same fee will be applied to both inner districts and suburban areas.

During earlier discussions, some deputies argued that charging the same fee for both areas was unfair, as roads in rural areas are in a worse condition than in the inner city.

Municipal People's Committee Deputy Chairman Nguyen Huy Tuong said the collection would be carried out on a communal and ward basis, therefore it had to be simple, and the same fee would be easier.

There are now over four million motorbikes in Ha Noi, home to 7 million people.

At the meeting, the deputies also agreed to charge a 12 per cent fee of purchasing price, on new cars of ten seats or under and 2 per cent on second-hand cars of ten seats or under.

HCM City yet to collect road fee on motorcycles

HCMC will not collect road fee on motorcycles in the city this year but will spend time assessing social impact and residents reactions before drafting a suitable collection plan, according to the office of city’s government.

Traffic congestion in HCMC is often attributed to the huge number of personal vehicles. The city government says it will not collect road fee on motorcycles this year.

The city government will not present the road fee collection scheme to the fortcoming session of the People’s Council slated for July 10 to 12.

The city has asked related departments and agencies to enlist all fees and taxes imposed on motorbikes that local users have to pay. Also, the entities are told to assess social impact and citizens’ psychology and study experiences of 14 provinces and cities that already collected the road fee.

After studies, the city’s Department of Transport will propose the road fee collection plan for motorcycles to submit it to the local authorities in the last quarter this year.

Duong Hong Thanh, deputy director of the transport department, said his department earlier proposed collecting between VND60,000 and VND150,000 a vehicle per year depending on its capacity.

The city is home to some 5.4 million motorcycles, according to the Department of Transport.

Source: VNS/SGT