The National Transport Commission (NTC) has opened public consultation on proposals to develop a forward-looking cost base for setting heavy vehicle charges in Australia.
The Consultation Regulatory Impact Statement on the charges proposal was requested by infrastructure and transport ministers.
The consultation is seeking feedback on the proposed forward-looking cost base model and a range of implementation options that could be used to set heavy vehicle charges from 2027-28 onwards, subject to ministerial approval.
Heavy vehicle charges are currently set under the PAYGO model, with the NTC saying increases in government road expenditure have outpaced revenue from charges, causing a widening gap between costs and recovery.
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The new proposed cost base model is an alternative approach that would see the cost of road construction and maintenance spread over the life of road assets rather than recovering costs in-year.
The aim of the new model is to improve stability and predictability in charges over time to align more closely with approaches used in other regulated infrastructure sectors.
The NTC has made it clear that the new model would only be used to set charges from 2027-28 onwards if ministers fully endorse the model and decide to adopt it.
The impact statement, which can be found here, outlines the proposed model, with consultation closing on May 21 this year.
The NTC will also run information sessions to provide an overview of the proposed model and implementation options, while supporting materials will be made available.
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