Pay-per-kilometre scheme to replace taxes from 2012
17 November 2009

Holland is to launch a road-charging scheme from 2012.

GPS tracking systems will be fitted to all of the country's vehicles, with drivers being charged for each kilometre they travel.

The scheme will replace other motoring taxes , which will be dramatically reduced to compensate for the pay-as-you-drive fees.

Holland's car purchase tax – which adds up to 25 per cent to the price of a car – will be abolished, as will annual road tax charges.

The Dutch Government estimates that six out of 10 drivers will be better off under the pay-as-you-drive system, and that overall tax revenues will remain the same.

Details of each journey will be recorded by a billing agency, with drivers charged around seven cents (about 6p) per kilometre. Charges will be increased on busy roads and during peak hours. Lorries, vans and cars that emit higher levels of CO2 will also be charged more.

Holland suffers from some of the worst congestion in northern Europe, and the government hopes the scheme will reduce peak traffic levels by up to 15 per cent.

It also estimates that the reduced number of vehicles on the roads should cut accidents by around 7 per cent, while cutting overall CO2 emissions by around 10 per cent.

Twitter - follow autocar.co.uk

Join the debate

Comments
22

17 November 2009

This kinda worries me because if it does actually work the British government would introduce it in our country, only to make a complete hash of it .

17 November 2009

Quite. Because the British government would want to reduce the amount of traffic AND raise more tax.

Luckily, the geniuses on the political Left in London are still struggling to understand that when the Congestion Charge reduced the traffic it also reduced the amount of tax that can be raised.

They think - and I have had a conversation with them - that 'Green taxes' raise cash even when they 'change behaviour'. But if I don't drive my car in the city, you can't send me an £8 bill....

Still, I was also rather worried by David Cameron's recent statement that the M6 Toll road 'was a success'.

Erm...it's making next to nothing. Indeed, one estimate is that the Toll road's income only just covers the debt interest on the loan taken out to build it.

17 November 2009

What they havent made public is the big brother factor . This system will mean that someone somewhere will be tracking every single journey you make and no doubt this information can be accessed and stored somewhere.

Of course if it comes to the UK , and no doubt it will .This will not be made public . When we find the tracking factors out it will be" for your own safety against terrorism" . So the normal bollox from what has become a surveillance society. Glad I dont live there anymore.

On the positive side if used properly it will be tax as you go which can only be fair but the UK would still make us pay all the other taxes as well. I guarrantee it ! Oh and it may help find your car if it is nicked. Sorry but all UK politicians seem to be good at is taxing drivers to death and fiddling their expenses !

Ok so I dont trust our "right honourable " leaders . Can anyone give me a single reason why I should.

17 November 2009

[quote Autocar]GPS tracking systems will be fitted to all of the country's vehicles, with drivers being charged for each kilometre they travel.[/quote]

It's a great pity they won't be tracked and charged for hauling their caravans throughout Europe every summer.

If you have never witnessed the annual migration of the Dutch Caravan Herd you have missed one of the strangest events in the world.

Worthy of a David Attenborough special.

...the band was playing Dixie: double-four time...

17 November 2009

Anyone know how the technology is supposed to be arranged to work? How do they prevent you jamming the GPS, or simply chopping the wires from the battery? I can understand if installed on cars from new they could integrate it in such a way to make removal very much harder while still enabling the car to run, but on older cars with two or three wires between battery and starter? Seems unlikely.

Presumably they must also have some kind of tracking, so that if you go out onto the road without the GPS active, you'll be photographed and punished. Sounds like a hugely expensive amount of infrastucture will be needed here, you will need a camera on every corner. Frightening for lovers of originality under the bonnet too.

17 November 2009

[quote Autocar]Holland's car purchase tax – which adds up to 25 per cent to the price of a car – will be abolished, as will annual road tax charges.[/quote] Apart from the concerns about this idea spreading to the UK (again) expressed by others here, with which I fully agree, how is the introduction of such a scheme going to affect new car sales in Holland in the run up to the introduction? I can't imagine that anyone is going to buy a new car and pay their 25% purchase tax knowing that in a year, (or six months, or three months) their new car will cost 25% less to buy. Unless of course the manufacturers take the opportunity to raise prices to account for the artificially "low" prices they had charged before to remain competitive whilst taking into account the 25% PT. How will they treat foreign drivers ? With open border crossings in the EU, they can't expect to make a charge at the border crossings and not all visiting cars will have the relevant GPS technology fitted or the system have the drivers details.


Enjoying a Fabia VRs - affordable performance

17 November 2009

Sorry to be pedantic but the country in question is called The Netherlands.

Holland is situated in the west of the Netherlands. A maritime region, Holland lies on the North Sea at the mouths of the Rhine and the Meuse. It has numerous rivers and lakes and an extensive inland canal and waterway system. To the south is Zealand. The region is bordered on the east by the IJsselmeer and four different provinces of the Netherlands.

The article below was written in November 2007 - so I guess the unloved "Slurp Tax" is getting replaced after a very short time in place;

"A new 'slurp' tax on highly-polluting cars will hit ordinary cars as well as gas-guzzling SUVs and sports cars, according to research by the Telegraaf.
If the plan goes through, from next February cars which break official emission limits will have to pay €110 for every extra gramme of CO2 they produce. This will increase the price of a BMW X5 by €5,940 and a Range Rover Sport by €15,620, the paper says."

17 November 2009

So who is going to buty a car before the start date if they become that much cheaper as soon as the scheme starts, and we can assume the 6 out of 10 who are better off mainly own new cars. And just what effect does the cars CO2 have on congestion?

17 November 2009

[quote turbinecol]Anyone know how the technology is supposed to be arranged to work? How do they prevent you jamming the GPS, or simply chopping the wires from the battery?[/quote]

Exactly! - this will be another complicated and expensive system that will be an open door to electronically savvy fraudsters; just look at all the fraud arising from credit/debit cards and the internet.

17 November 2009

My German brother in law will love this. He has already bought 2 cars from "the Netherlands"as they are cheaper than in Germany presumably because of tax. I should imagine a lot of European people will take advantage of this loophole if they can effectively get a 25% discount.

Sounds to me like Dutch politicians are as dumb as our when it comes to forward thinking.

Pages

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Genesis G70
    First Drive
    22 September 2017
    Based on the Kia Stinger, Genesis' new G70 saloon shows plenty of promising signs that it could be a hit in Europe
  • Lamborghini Aventador S
    First Drive
    22 September 2017
    Still visceral and dramatic as ever, but does the vast number of mechanical changes and tweaks help make the Lamborghini Aventador S more engaging?
  • Renault Koleos
    Car review
    22 September 2017
    Renault’s new crossover sees the Koleos name return, attached to an SUV of a quite different stripe
  • Nissan X-Trail
    First Drive
    21 September 2017
    On our first chance to get the facelifted Nissan X-Trail on UK roads, the petrol proves a viable alternative, although for outright pulling power the 2.0 dCi is the better bet
  • Alfa Romeo Stelvio 2.2d 210
    First Drive
    21 September 2017
    Most powerful diesel version of the Alfa Romeo Stelvio is swift and more frugal than its closest rivals, but makes less sense than the range-topping petrol version