Vietnamnet.vn
Podcast
According to the MoT’s proposal, the so-called circulation fee for personal overland vehicles will be imposed on motorbikes and cars in five biggest cities in Vietnam, including Hanoi, HCM City, Da Nang, Can Tho and Hai Phong.
Specifically, cars with less than 9 seats will pay a traffic fee of VND20 million – 50 million ($1,000-2,500) per year, depending on their cylinder capacities. Meanwhile, motorbike users will pay a fee of VND500,000-1 million ($25-50).
In addition to these annual fees, drivers of cars with up to seven seats entering the central areas of cities during rush hours (6-8.30am and 4-7pm every day, except Saturdays and Sundays) will pay a charge of VND30,000 ($1.5) per entry, and for cars of other kinds, the charge will be VND50,000 ($2.5). Government cars and buses will be exempted from the fee. Municipal authorities will define the areas and the fees.
However, many experts said such a fee would only help increase the State budget’s revenue while failing to reduce the use of personal vehicles.
Dr Nguyen Bach Phuc, Chair of the HCM City Association of Consultants in Science, Technology and Management, said congestion results from various factors, not only from the use of personal vehicles.
“Most residents prefer to use their own vehicles over any means of public transportation, so I think 99.9 percent of motorbike users are ready to pay a fee of VND1 million (around $50) per year, or VND80,000 ($4) per month, so that they can continue to use their vehicles.”
As for car owners, as most of them are well-to-do, a fee of $1,000-$2,500 per year is not even worth much though. They will continue using their own cars and will not use buses, Phuc said.
Le Hieu Dang, former deputy head of the HCM City Fatherland Front Committee, said it was not reasonable to impose such a fee while thinking that it would help diminish congestion, since the problem stems from other factors, including poor traffic infrastructure and traffic law compliance of vehicle operators.
“People have already incurred many fees with the cost of living on the rise. Having to pay one more fee is an additional burden on them,” he said.
Traffic infrastructure and traffic transportation means have yet to satisfy the demand of the public, so it is not appropriate to restrict the use of personal vehicles. Such an imposition of traffic fees is not a sound solution, and will not reduce the use of personal vehicles or ease traffic congestion, he added.
Considering the current traffic conditions in Vietnam’s urban areas, the levy of such a fee will not result in a reduction in use of personal vehicles, which have been the most effective means of travel for the public in general, said Dr. Nguyen Huu Nguyen at the Southern Economic Research Center.
Thai Van Chung, general secretary of the HCM City Cargo Transportation Association, said even if the State levies a higher fee, it is unlikely that people will abandon the use of their own vehicles, since they have no other choice: buses are failing to meet increasing travel demands, and any metro systems are still a long way off.
After experts raised their voices, Minister Thang on January 3 told the local media that the circulation fee is among solutions to deal with congestion, to reduce traffic accidents and to raise more fund for building transport infrastructure.
Thang said that this is also a measure to ensure “social equality” because motorbike and car owners have to join the state to build infrastructure while the poor who use public means of transport do not have to pay fee. For motorbike users, a monthly fee of less than VND50,000 ($2.5) a month is reasonable.
The Minister said that the Vehicle Registration Agency will collect the fee for cars and commune-war authorities will collect the fee for motorbikes.
“I do not confirm that this measure can completely solve congestion but only to reduce it. My point of view is to take urgent, tough and effective measures,” Thang added.
VNE
.svg){kind=icon}
