THE HAGUE, 10/09/05 - The Lower House is divided on Transport Minister Karla Peijs' plans not to introduce a nationwide levy on drivers related to car usage. A broad lobby from the business world is calling on MPs to change the minister's mind.

Peijs announced on Thursday she does not want to introduce a country-wide levy per kilometre driven. According to the minister, it is irresponsible to make a decision on this now, due to the billions in costs involved. She only wants to tackle four to six bottlenecks from 2012. The provinces should be consulted on which these should be. Neither their location is clear as yet, nor the financing construction.

The small centre-left (D66) government party is backing the leftwing opposition, which wants a kilometre levy to be introduced nationwide as soon as possible. The big Christian democratic (CDA) and conservative (VVD) parties plus opposition party Pim Fortuyn List (LPF) do support Peijs. Although they form a bare majority in the Lower House, the VVD expects the plan may be changed.

Employer organisations VNO-NCW and MKB, transporters' organisation TLN, lower government authorities and nature organisations plus road-users organisation ANWB made unanimous recommendations to Peijs last May on national kilometre pricing in the Nouwen Commission, as it was known, The government is not adopting these on key points.

The cabinet first wants to construct roads and only then tax these with a form of toll. In total, around 80 billion euros is to be invested on roads and public transport up to 2020. The Nouwen Commission however proposed to levy a tax on existing roads and use the proceeds to build new roads.

The postponement is being badly received both by business and environmental groups. VNO-NCW says it is disappointing that the cabinet does not want to give the green light for a reform of the current system with no taxes related to car usage. Along with other sector organisations, it is calling on the House to change this.

Saliently, VVD MP Hofstra put forward a motion last year for introducing a kilometre levy even before 2007. The House embraced the motion at end-2004. Although Hofstra is now backing the cabinet after all, he said he does not expect the house to adopt Peijs' plans "just like that".?