Road Pricing Is the Trojan Horse!
21 november 2024, PaulI’m not a fan of road pricing and don’t understand why we, as the automotive sector, seem to actively ask the government for it.
Road pricing first appeared on the radar during the last Rutte cabinet. The plan was to implement it by 2030 as a replacement for vehicle ownership tax. However, the proposal has now been declared controversial, and the new government plans to overhaul the entire car taxation system to maintain revenue levels. This will undoubtedly lead to higher costs, even if these increases are disguised with reasons like environmental protection and CO2 reduction.
100% Against Road Pricing
I am fundamentally against both road pricing and the vehicle ownership tax. The latter has exponentially increased in recent years and no longer corresponds to the value provided—especially compared to neighboring countries. This has made an average SUV, which is safe and comfortable for families, prohibitively expensive. I can already hear the left-wing lobby claiming that SUVs are absurd to begin with, but I just want the freedom to drive the car of my choice, without The Hague dictating what we all should drive.
Driving Has Become Unaffordable for Average Families
Driving has become so expensive that the average family can barely afford a new car. This has left the Netherlands with one of the oldest vehicle fleets in Europe. And old, in this context, also means more polluting. Left-leaning municipalities are doing their utmost to make city centers emission-free, effectively forcing people to go electric. But no one considers whether families can actually afford it—whether for business now or privately later. Soon, the average family won’t even be able to access their own city center.
The Argument for Road Pricing: Pay for Use, Not Ownership
The argument for road pricing is that you should pay for usage instead of ownership. Currently, buying a car is already expensive due to the BPM (purchase tax), which leads to Dutch consumers opting for smaller vehicles. If you don’t drive, and thus don’t use the roads, you should pay less or nothing. After all, you’ve already paid the BPM and VAT as a private individual. Paying per kilometer instead of BPM and vehicle ownership tax seems fairer, and I fully agree with that! There’s no argument against it.
If you drive a gas-guzzling V8, you’ll naturally pay more than someone driving economically. Excise duties and energy taxes on home charging already function as a form of road pricing, filling the state’s coffers and often leading to budget windfalls. After all, we rarely drive less, except during the pandemic. And let’s face it: the government will eventually tax solar energy too, because, well, the sun doesn’t “belong to you.”
What’s Coming Next?
What will happen next? Do we really believe—because I certainly don’t—that the government will give up guaranteed revenue from vehicle ownership tax for a road pricing system on top of all other taxes? Or will they retain a portion of the ownership tax, only to gradually increase it again over time? The government has shown in recent years that generating extra revenue is their only priority.
And because we, as the automotive sector, are an easy target, the burden on drivers will undoubtedly increase, supposedly “for the environment.”
Never Give the Government a New Variable
Never give the government an extra variable to tweak when there’s a budget shortfall. They don’t know how to cut costs but are experts at finding new ways to tax drivers. Road pricing will ultimately lead to heavier financial burdens, not a fairer distribution. Sure, frequent drivers will pay more, but they already do through excise taxes. In the future, both frequent and business drivers will be penalized for daring to travel during rush hour for work.
No to road pricing, yes to less taxation, more government cuts, and more money in the pockets of average families. That’s my vision.