Road User Charges to be introduced

By Staff Correspondent
27 October 2005, 18:00 PM
The government is going to introduce Road User Charges (RUC) for maintenance of roads and highways as it lacks adequate funds for this purpose, said the speakers at a workshop yesterday.

The workshop titled 'Socio-Economic impacts of Road User Charges' was organised by Roads and Highways Department (RHD) and Ministry of Communications at Brac Centre Inn in the city.

RHD Chief Engineer A K M Faizur Rahman said a levy of just Tk one on fuel would raise around Tk 250 crore which could be used for road maintenance.

“We want to ensure that the money is used efficiently for the betterment of the roads,” he added.

A study conducted in different areas of Dhaka, Noakhali and Mymensingh revealed that 75 percent of rural, 60 percent of urban and 88 percent of Dhaka City roads are in good and fair condition. A total of 70 percent people expressed their willingness to pay Tk one as fuel levy and Tk 0.25 as bus fair increase.

The study conducted on three hundred people also revealed that people are concerned over the usage of their extra payment, as there is much corruption in this sector.

The study report presented by Social and Poverty Expert Priyanthi Fernando also revealed the rationales of introducing Road User Charges that included a well connected road network, contribution to poverty reduction, achievement of Millennium Development Goals (MDGs) and sustainable mechanism for road maintenance.

Chaired by Chairperson of Road Fund Advisory Committee Selima Ahmed, the workshop was also addressed by Prof Hafiza Khatun of Dhaka University, Executive Director of Resource Integration Centre Abool Haseeb Khan, Additional Chief Engineer of RHD Abdul Matin and Marcos Gomes of Bangladesh Truck Owners Association.