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Pay-as-you-go road tax runs into roadblock

A change of leadership at the Ministry of Transport may have stalled plans to introduce a pay-as-you-drive road tax. The National Coalition’s Paula Risikko, who was recently appointed Transport Minister during a government shake-up, is reportedly not keen to drive the proposal forward.

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Image: Inka Hannonen / Yle

New Public Administration and Transport Minister Paula Risikko said she isn’t fired up over the proposed pay-as-you-go road tax, which will replace the current vehicle registration levy and will tax motorists depending on how much they drive.

“I’m not terribly excited about it. It would be more important to improve work profitability. However we should consider different funding models and we’ll do that in a parliamentary working group during the autumn,” Risikko said.

The Ministry’s Senior Advisor responsible for road works Mikael Nyberg confirmed that it is unclear whether the proposal tabled under the previous Left Alliance Minister, Merja Kyllönen would go forward.

“The matter is being looked at as part of a reform of infrastructure funding, but we don’t know about the future of the road usage tax. However something of that nature might come to pass,” Nyberg added.

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