In the transport and logistics sector, the impact of road tolls goes far beyond mild annoyance. Managing the costs related to road pricing for fleets of vehicles can have a substantial impact on a business’s bottom line as well as the livelihoods of countless Australian families associated with the transport industry.
In the face of increasingly strong comments from the Australian Government’s Transport and Infrastructure Council about the inevitability of higher road toll costs, Isuzu Director and Chief Operating Officer, Phil Taylor, said legislators should study the examples of privatisation within utilities sectors and apply the lessons that were learned there.
Toylor said it was imperative to the national economy that governments clearly articulate their agendas around any reforms to road pricing.
“At present, over 75 per cent of non-bulk domestic freight is carried on roads in Australia. Disruptions to either the productivity or viability of the transport and logistics sector will have severe implications on broad swathes of society, and affect our national competitiveness,” Mr Taylor said.
“User-pays infrastructure pricing is not without merit. It gives road owners a direct incentive to service the needs of road users. As many prominent figures in the freight and logistics sector have already explained, pricing must correlate with the efficiencies it helps create for transport operators,” he said.
Mr Taylor also encouraged governments to act quickly and develop transparent plans around road pricing, so transport and logistics operators could continue their business activities with confidence.
“Australian transport operators should not have to worry about uncertainty or fluctuating road usage costs and how these changes are going to affect their business,” Taylor said.
“A clearly articulated approach to how road pricing changes will be implemented, coupled with transparency around how and when costs will come into effect will be integral in ensuring the heavy vehicle sector can operate with as much certainty as possible.
“Uncertainty around any reform will hamper productivity, which is why state and federal governments need to take clear steps to legislate a clearer path forward, so operators in the transport and logistics sector can continue to provide the vital services that every Australian needs access to.”
Mr Taylor also encouraged other figures within the transport industry to advocate for measured steps towards road pricing reforms.
“The more conversation we can facilitate between industry and government, the better chance we have of working towards an equitable, efficient road network that will continue to meet Australia’s growing freight transport needs,” Mr Taylor said.