Agora Study: Passenger Car Toll as an Important Component of Traffic Transition

A causally appropriate car toll could secure the maintenance of roads in Germany and strengthen the expansion of infrastructure for climate-neutral mobility. This was highlighted by the think tank Agora Verkehrswende in a new study. The background is primarily that the previous financing of road infrastructure through the energy tax on gasoline and diesel will break away with the switch to electromobility in the coming years.

According to Agora Verkehrswende's assessment, the car toll, if levied per kilometer on all roads, not just highways, could guarantee revenues of around 33 billion euros in 2030. This would not only cover the costs for road infrastructure but also the costs caused by car traffic through air pollution, noise, and space consumption. About half of the money could be used for public transport, pedestrian and bicycle infrastructure, and noise protection.

“Anyone who wants to move away from oil in transportation must also place the long-term financing of infrastructure on a new footing. A causally appropriate car toll follows the principle: those who drive more and thus use the roads more and impose costs on the general public pay more. On this basis, a fair financing model can be built that improves mobility for all and strengthens climate protection. Such a car toll can become a digitalization and modernization project with an international model function," explains Christian Hochfeld, Director of Agora Verkehrswende.

Differentiation by mileage, weight, and traffic volumes

The study, conducted by the research and consulting company Infras on behalf of the think tank, provides a model for a car toll in Germany. It examined the costs and benefits as well as the technical and political implementation. In addition to the kilometers driven, according to the study, other factors should play a role in imposing the car toll. The vehicle weight is reasonable to favor smaller vehicles and because heavy vehicles take a greater toll on the roads. Differentiation by pollutant emissions should also be examined. Finally, higher fees should be charged on heavily trafficked roads during particularly busy times, according to the recommendation.

Enabling local congestion fees

The fee component for congestion on streets and public spaces in cities and municipalities should, according to the think tank's assessment, be an additional option for which municipalities are responsible. The revenues from such a local anti-congestion fee – a maximum of about 11 billion euros – should be used locally, for instance, for public transport or for bicycle and pedestrian paths. Already today, some municipalities are discussing the introduction of a city toll to reduce traffic volumes as well as noise and pollutant emissions. Within the framework of a nationwide car toll, it would be possible to set unified standards.

Building block for fair and efficient distribution

Due to its numerous advantages, Urs Maier, Project Manager at Agora Verkehrswende, sees the causally appropriate car toll as "a building block for a digitized and climate-neutral transport system. It secures the financing of transport infrastructure using digital means and leads to a fair and efficient distribution of costs in road traffic. Through differentiated price signals, traffic flow and infrastructure utilization can be better managed. By investing in better mobility offerings, car traffic is shifted to other modes of transport, making public transport more attractive for everyone.”

Step-by-step introduction possible from 2025

For the introduction of the car toll, the federal government should develop a concept during this legislative period and then introduce a law. Agora Verkehrswende proposes a phased model for ramping up, so that revenues gradually offset the shortfalls in energy tax. The first stage would start in 2025 with an average price of 2.6 cents per kilometer. By 2030, the price would be 5.4 cents. Legally, a car toll can be derived from the Basic Law as a fee for the use of roads. Additionally, the EU recommends with the new road toll directive that infrastructure fees be levied on cars as well.

Truck toll as a technical basis

Technically, the car toll can build on the truck toll. The vehicle data relevant for the toll would need to be registered digitally. Required data protection can be ensured from the outset when the system is set up. A system of localization via satellite and data transmission via mobile network, as is already common with vehicle navigation systems, offers itself for recording mileage. For billing via on-board devices or smartphone apps, a service market can emerge to keep costs as low as possible through competition. The new model has little in common with the car toll that failed under the Grand Coalition in 2020, emphasizes Christian Hochfeld.

“Back then, it was neither about financing infrastructure nor about climate policy steering effects. The proposal was aimed at burdening foreign drivers unilaterally. The approach of charging only a flat rate would have further unequally distributed the burdens. It is good that these ideas are off the table. This clears the way for better proposals," says Hochfeld.