HCM City plans to increase the parking fees for automobiles parking on roadsides. ​(Source: VNA)

HCM City (VNA) – Ho Chi Minh City plans to increase the parking fees for automobiles that park on roadsides and sidewalks in District 1, 3, 5, 10 and 11 to 20,000-40,000 VND (0.9-1.8 USD) per hour.

Under a Department of Transport plan, which has been submitted to the People’s Committee for approval, the parking fee will be calculated by the hour instead of for parking once like now. Vehicles are charged a mere 5,000 VND now.

The plan envisages two different fees depending on vehicle type. The first is for automobiles with up to nine seats and trucks weighing up to 1.5 tonnes; the second group is for automobiles with 10 -16 seats and trucks weighing between 1.5 tonnes and 2.5 tonnes.

The parking fee for the first group is 20,000-25,000 VND per hour for the first and second hours, 25,000-30,000 VND for the third and fourth hours, and 30,000-35,000 VND from the fifth hour onwards.

The fees for parking overnight will be 120,000-150,000 VND.

For the second group the fee will be 25,000-30,000 VND per hour for the first and the second hours, 30,000-35,000 VND for the next two, and 35,000-40,000 VND from the fifth hour onwards. Overnight parking will cost 150,000-180,000 VND.

The fees are 10-20 percent higher than the average parking fees lots at malls, high-rise buildings and offices, according to the Department of Transport.

This is aimed at restricting the use of private vehicles and encouraging the use of public transport in the city centre to reduce traffic congestion, the department said.

The new rates will be applied on 35 streets where parking is allowed on roadsides in Districts 1, 3, 5, 10 and 11.

If the plan is approved, the city estimates it can collect 31 billion VND (1.4 million USD) a month, according to the department. - VNA