Zim should consider a Congestion Tax

The growing levels of motorisation in Harare is characterised by a congested and often polluted central business district (CBD), which affects timely accessibility to work, and other social services.

This is likely to negatively affect Zimbabwe’s intention to build resilient mechanisms against climate change, at the same time ensuring sustainable development in recognition of its climate change vulnerability and national circumstances, in line with the demands of the Paris Agreement of reducing emissions by 2030.

With the current levels of congestion in urban areas and the rising transport pollution, it will be nearly impossible to attain sustainable development and attainment of the country’s agenda of being an upper middle income economy by 2030. 

Transport is now the second highest contributor to CO2 emissions in Zimbabwe, contributing 25% from 2010 to date, and is likely to be Number 1 by 2030 if measures are not put in place (World Barometer, 2024).

Meanwhile, the growing challenges of accessibility in urban Zimbabwe, particularly Harare, are now recognised as constituting some of the key dimensions and expressions of urban poverty (Lucas, et al., 2019). Zimbabwe is among the African countries that are most vulnerable to climate change, a situation aggravated by the interaction of “multiple stresses”, including limited infrastructure such as transport, energy, ICT, water, sanitation and irrigation.

The country has seen protracted droughts, unpredictable rainfall patterns, and extremely high temperatures, disasters that have destroyed existing and new infrastructure, at the same time affecting progress on infrastructure development. An important part of Zimbabwe's economy, agricultural productivity, has been negatively impacted by these developments.

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In order to prioritise and embrace sustainable practices that reduce greenhouse gas emissions and foster resilience in important industries, including agriculture, mining, and manufacturing, the government devised policy frameworks and initiatives.

These include investing in renewable energy sources, promoting efficient water management systems, and adopting climate smart agricultural techniques. To aid to these policy frameworks, Zimbabwe should consider enacting a Congestion Tax and adoption of walking as a mode of transport to decongest Harare’s CBD and mitigate greenhouse gas emissions.

A Congestion Tax, also known as congestion pricing, is a fee or toll imposed on vehicles entering a designated area, typically a city centre, during peak traffic hours, to reduce traffic congestion.

This aims to discourage unnecessary driving, improve traffic flow, and potentially reduce pollution.

 The primary goal of a Congestion Tax is to manage demand for road space and mitigate the negative impacts of traffic congestion, such as delays, air pollution, and increased fuel consumption. Vehicles are either charged a fee for entering a designated zone or charged variable tolls based on time of day.

A number of cities and countries have successfully implemented congestion taxes to reduce traffic and improve air quality. Some of the most prominent examples include Singapore, London, Stockholm, Milan and New York City.

Most developing countries  have challenges transforming their transport sectors to make them greener due to a lack of adequate financing mechanisms, limited technical capacity and the lack of required technologies.

One would then begin to wonder whether it will be a great deal or not to adopt walking as a mode of transport so as to green the transport sectors of developing countries such as Zimbabwe.

Non-adaptations could lead to the damage and destruction of infrastructure, which will affect all sectors of the economy.

As a result, the right policy choices are critical in ensuring that future infrastructure is climate-resilient and able to reduce risks among vulnerable groups.

Therefore, combining a Congestion Tax and walking in Harare CBD, will go a long way in providing congestion, climate, health, and environmental solutions to Zimbabwe while at the same time aiding in raising government revenue.

Potential benefits of considering this policy proposal are;

Reduced traffic congestion: By making driving more expensive during peak hours, it encourages people to shift to public transport, cycling, or walking. This will also likely aid in reducing the mushika shika in Harare CBD, as this tax will act as an increased cost to their operations, thereby aiding in internalising the negative externalities such as accidents resulting from the operations of these unlicensed and road unworthy vehicles.

Improved air quality: Fewer cars on the road can lead to lower emissions and better air quality, which is useful in reducing disease and health financing burden of respiratory problems such as asthma, lung cancer, chronic obstructive pulmonary disease, and cardiovascular diseases such as ischemic heart disease and stroke as well as other health issues, including Type 2 diabetes, low birth weight, premature births, development delays and autism among others.

Increased efficiency: Improved traffic flow can reduce travel times and make deliveries more efficient. This can also lead to efficient and full utilisation of parking bays that are just outside the Harare CBD as well as efficient use of vehicles, reducing joy rides and unnecessary driving of vehicles that are not at full capacity. 

Potential revenue generation: The revenue collected can be used to fund public transport improvements or other transportation-related projects such as street lighting and the provision of safe walkable streets in Harare.

Climate solution: An increased cost of driving means fewer vehicles on the streets which in turn reduces air pollutants from vehicles such as carbon monoxide, nitrogen oxides, volatile organic compounds, particulate matter such as PM2.5 and ultrafine particles,  that are part of greenhouse gases that trap heat in the atmosphere, contributing to global warming.

However, potential hitches are likely to be;

Implementation challenges: Designing and implementing a fair and effective congestion tax system can be complex, especially if a country is not adequately equipped with the necessary technological tools such as cameras, electronic tolling systems and a well-functioning public transport system.

Tax incidence issues: The charges could disproportionately affect those with lower incomes who rely on personal vehicles and some vehicle operators may transfer the burden of this tax to passengers, thereby rendering it ineffective.

Public resistance: Congestion charges can be unpopular with drivers and businesses, and may face political resistance especially if the population fails to appreciate the potential benefits of having such a tax.

To ensure a successful decongestion of Harare CBD, local authorities have to fully adopt ISO41001 in their provision of accessible and safe vehicle-free walking paths that are climate tolerant, such as the inclusion of sidewalks with sheds, bins, robots, lighting and safe crossing points.

In order to encourage citizens to walk, vehicle free streets can be created as well as the removal of vending on sidewalks so that they can be used for their intended purpose.

For convergence with developed countries with regards to accessibility and pedestrianism, there is need to comprehensively invest in walking infrastructure before we can consider a Congestion Tax.

In a nutshell, the socio-economic costs of congestion will likely be high if no action is taken.

As a result, the right policy choices are critical in ensuring that future infrastructure is congestion-free and climate-resilient.

A Congestion Tax should be considered in Zimbabwe’s towns as the country moves towards the crafting and implementation of NDS2 2026-2030.

• Dube is an economist, lecturer and chairperson of the Department of Economics, Bindura University of Science Education. These weekly New Horizon articles, published in the Zimbabwe Independent, are coordinated by Lovemore Kadenge, an independent consultant, managing consultant of Zawale Consultants (Pvt) Ltd, past president of the Zimbabwe Economics Society and past president of the Chartered Governance & Accountancy Institute in Zimbabwe (CGI Zimbabwe). — kadenge.zes@gmail.com or mobile: +263 772 382 852.