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Blue and white revolution: How will the parking reform affect the residents of the big cities?
The reform of parking rates in cities approved yesterday by the Economics Committee will end the celebration of free parking for residents in large localities, along with a series of additional moves.
How much will foreign residents charge, what will be the tariffs and who will surely benefit from the revolutionary move?
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parking
Parking lots
Keenan Cohen
Tuesday, October 19, 2021, 14:40
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On a day full of discussions in the areas of transportation, starting with the ministry's budget, customized public transportation, the Arrangements Law, enforcement of public transportation routes and approval of the Metro Law - one discussion was held yesterday (Monday) whose impact on the lives of big city residents will be immediate and significant: parking tariff reform.
According to the decisions of the committee that passed the reform for a second and third reading in the Knesset plenum, cities with more than 40,000 residents will not be able to allow free parking for city residents. The perception that guided the reform is that parking in cities is a resource in its lack and providing it for free harms the trend to encourage a reduction in the use of a private car in cities.
Another aspect is that it is a public resource and does not belong to the city or the local authority, which is entitled to grant a "benefit" to its residents and therefore a fee must be charged for its use.
Moreover, local authorities will be able to charge a higher price for parking starting next year, contrary to what has been stipulated in the law so far for a maximum price of NIS 6.3 per hour of parking, with the Ministry of Transport responsible for setting different fares in parking areas according to differential pricing.
This is a double-edged sword that will not necessarily serve municipal interests, as mayors will not benefit from burdening the city's residents.
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Ready for the move?
Amos parking lot in Rishon Lezion (Photo: Reuven Castro)
On this aspect, MK Sami Abu Shehadeh (joint list) objected to the proposal, claiming that cities in Israel are not similar to cities like London or New York, neither in the quality of public transportation nor in the level of per capita income. By the Minister of Transportation or with the approval of the Economy Committee.
Transportation Coordinator in the Budget Division of the Ministry of Finance, Daniel Meltzer, said in response that because parking is not priced correctly, congestion is created in city centers, and if we wait until public transportation is perfect we will miss steps that could affect the situation. Abu Shahada was not accepted, and he asked to be raised in the plenum.
In the face of the aspirations of the government ministries to bring about maximum collection, the committee members, headed by the committee's chairman, MK Michael Bitton (blue and white), succeeded in narrowing the scope of the reform in a number of aspects:
For example, the cancellation of the free parking arrangement for city residents will be limited to localities with more than 40,000 residents - the number of which is 48;
Determining a maximum threshold for the tariff differences between city residents and non-residents that does not exceed 30% of the parking price, as well as the possibility for local authorities to regulate areas in which an exemption will be granted to residents of that area;
Municipalities that do not do so within a period of three years will be forced to exempt from paying those residents.
"A tool whose purpose is to alleviate traffic congestion."
Blue and white parking in Tel Aviv (Photo: Erez Michaeli)
Another addition determined concerns a situation in which an authority decides not to charge a fee for parking at all.
In such a case, it was decided that she would not be allowed to charge a fee to non-residents either, but if she gave a certain exemption to its residents, part of the time, then the parking rate paid by a non-resident would not exceed the minimum rate set by the PA for an indoor resident.
In the line for payment applications
Reducing the use of free parking across cities is a good news not only for authorities who can see it as a revenue stream, but also for payment companies in apps such as Slopark and Pango, although the latter has long since entered the field of public transport payment.
"Of course, the change in parking prices in local authorities is a tool aimed at easing traffic congestion, reducing demand and reducing the average parking time," said Roi Elbaz, CEO of Pango.
But alongside this change, he stresses that the move that will allow car users to give up in the city must also be completed: "The work must now be completed with the help of accessible and fast ways to get to the centers of occurrence. This will be the beginning of a significant revolution in the transportation industry and in achieving a long-term solution to the congestion problem."
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