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Roula Khalaf, Editor of the FT, selects her favorite stories in this weekly newspaper.
New York on Sunday became the first American city to launch a congestion charge system, after a controversial plan aimed at easing traffic and raising billions of dollars for local transit has been plagued by years of delays and legal challenges. .
Motorists entering Manhattan’s congested areas during peak hours will face a $9 congestion charge. New York’s Metropolitan Transportation Authority said early Sunday that the relief zone, which runs from the bottom of Central Park to the southern tip of Manhattan, is “fully operational”.
The project, which was stopped by the governor of New York Kathy Hochul in June of last year before it was renewed at a lower price than the original fee of $15, it is expected to reduce the number of vehicles that enter the area every day by 10 percent. It will also help raise $15bn for the MTA to put towards public transport projects.
At an event to mark the start of the new project hours before it began, MTA chairman Janno Lieber said: “We’ve been working on this for five years but you stand in the city center for five minutes and you know that we have to deal with the traffic problem. Now, we’re showing the world that we’re doing something about our problems.”
Hochul initially shelved the plan out of fear that an increase in motorist charges could hold some Democrats in the race for election in November as New Yorkers grapple with rising costs of living.
New Jersey’s last-ditch effort to block the project in federal court, seeking tens of millions of dollars in damages to compensate for the environmental damage caused by increased traffic on the other side of the Hudson River, failed. damaged. But the judge said the Federal Highway Administration would need to talk about the project.
However, the project still faces an uncertain future. Republicans have been pressing President-elect Donald Trump to rescind federal approval for the program, while GOP lawmakers have called for new rules to curb congestion pricing.
Under the New York plan, the toll has been reduced to $2.25 for nighttime drivers between 9pm and 5am on weekdays and 9pm and 9am on weekends. Small trucks will pay $14.40 to enter Manhattan during peak hours, while large vehicles will pay a fee of $21.60.
Last year, New York was named the world’s most congested city by traffic analysis platform Inrix, leading to the average driver stuck in traffic by an average of 101 hours per year and a reduction of $9.1bn in the local economy.