Watch for spiraling congestion costs, warns VTA

Watch for spiralling congestion costs, warns VTA

EFFECTS of “rampant congestion” need to be factored-in when transport operators draw up contracts with customers, the Victorian Transport Association says.

Chief executive Peter Anderson said higher fuel and maintenance charges and productivity losses from vehicles and drivers idling in traffic had the potential to cripple operators.

“For operators, congestion has required a total re-think of how they address efficiently meeting the freight task because of the enormous disruption to vehicle scheduling it has created,” Mr Anderson said.

“The days of schedulers accurately forecasting travel times are long gone due to more vehicles being on the roads, delays from concurrent construction and infrastructure projects, and changes to work patterns that has thrown the traditional nine-five work day out the window.”

Mr Anderson said peak traffic was now the norm rather than the exception and with the population growing rapidly, this was unlikely to change.

“Longer travel times caused by congestion translates into much higher operating costs and productivity losses for freight operators,” he said.

“This is evident in the higher cost per kilometre operators are experiencing across their fleets, as well as reduced capacity to earn revenue from vehicles idling in traffic instead of moving and delivering freight.”

Mr Anderson said the volume of repair and development in Victoria had never been greater with concurrent works on the M1 and M80, and new projects like the West Gate Tunnel, Metro Tunnel and level crossing removals.

“Approximately 440 new drivers are licensed every week in Victoria, and with 2800 people moving here every week, pressure on the network has nowhere to go but up,” he said.