Skip to main content

New York's congestion charging scheme is finally underway

First US city to introduce such a scheme: drivers now pay $9 per day
By Adam Hill January 6, 2025 Read time: 3 mins
The MTA team holds a press conference at Grand Central Terminal in New York (image: Marc A. Hermann | MTA)

The first congestion charging scheme in a US city has finally come into force.

New York City's Congestion Relief Zone - which was put on ice indefinitely by New York Governor Kathy Hochul last year, in a surprise move - is now live.

It means that car drivers pay a $9 daily toll to enter Manhattan south of 60th Street during peak hours; the overnight rate is $2.25.

New York's Metropolitan Transportation Authority (MTA) says the move is required to reduce traffic congestion and raise revenue to improve public transportation services: it is expected to lead to 80,000 fewer vehicles entering the zone each day, while providing $15 billion in funding "for critical transit investments to improve the lives of the millions of people who rely on the MTA every day".

The zone is enforced by 1,400 cameras, with more than 110 detection points, MTA says.

A study commissioned by the Partnership for New York City in 2018 found that average traffic speeds of just 7mph led to 117 hours per person per year wasted sitting in gridlock "and annual economic costs – ultimately passed on to consumers – of $20 billion a year". 

MTA explains the Congestion Relief Zone is the most transit-rich area in the US, with 94 subway stations, 99 MTA bus routes and 2,500 regional/commuter trains per day on the Long Island Rail Road, Metro-North Railroad, NJ Transit and Path, "allowing more than 85% of commuters into the zone to rely on transit".

MTA chair and CEO Janno Lieber says: “We want to encourage trucks to do more deliveries at night, we want improvements to vehicle speeds especially for buses, we want to make sure that emergency response vehicles can get where they are going faster, and I hope drivers will take another look at the speed and convenience of mass transit.”

MTA Bridges and Tunnels president Cathy Sheridan says: “Congestion pricing will not only benefit mass transit users, but less congestion means safer streets for both pedestrians and motorists – aligning with our own efforts of moving traffic safely and efficiently on our nine iconic crossings."

NYC DoT commissioner Ydanis Rodriguez says his agency is "closely coordinating with the MTA on the rollout of congestion pricing". 

Eighty percent of the revenue generated will go to capital improvements on NYC subways and buses, with 10% to Metro-North Railroad and 10% to the Long Island Rail Road. 

Drivers are encourage to sign up for the E-ZPass to receive the lowest toll rates, discounts and tunnel crossing credits.

MTA is buying 265 zero-emission buses and says it is beginning five projects, including phase 2 of the Second Avenue Subway; modernisation of signals in Brooklyn, designed to allow the MTA to operate trains more frequently and more reliably on the line serving 640,000 people per day; and upgrading three subway stations - Gates Av ​​, Briarwood ​​and Parsons - to make them accessible to all in accordance with the Americans with Disabilities Act.

For more information on companies in this article

Related Content

  • Technology holds the key to painless parking
    March 21, 2014
    Parking has been the most innovative of all the transportation sectors in the past five years. Richard Harris, Solution Director, Xerox Services outlines some of the key drivers and trends
  • Look what she made them do: Taylor Swift boosts public transit
    August 3, 2023
    LA Metro is latest US transport agency to add more services for fans to get to Eras Tour
  • Copenhagen to showcase ITS in action at ITSWC 2018
    December 18, 2017
    As delegates head for the 2017 ITS World Congress in Montreal, we talk to Copenhagen mayor Morten Kabell about why his city is the ideal location for next year’s event. It may have been a long time coming but the ITS World Congress will be in Copenhagen in 2018 and there can be few more fitting places to host the event. By any number of metrics - interconnected transport, cycle commuting, safer streets, reduced pollution, sustainable energy and quality of life - the Danish capital has implemented what m
  • Authorities switch on to all electric buses as costs tumble
    January 9, 2018
    Alan Dron looks at changes in bus propulsion as cities look to improve air quality and seek to reduce maintenance costs. Despite the ending of various incentives to adopt alternative fuels, the introduction of electric buses by US transit authorities is picking up speed as performance improves, costs drop and air quality considerations become increasingly significant. More US bus manufacturers are introducing zero-emission models and some recent contracts will see many more passengers getting their first