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Per-kilometer vehicle charge to be reintroduced next year, authorities deem recent trials successful

Saturday 13th 2024 on 19:55 in  
Iceland

Plans to implement a per-kilometer charge on vehicles from the next year are underway, similar to the system that was discontinued in 2005. The previous system was considered cumbersome. However, the introduction of the per-kilometer charge on a portion of the vehicle fleet from the last year has been successful and is justified, according to the authorities.

The need for improvements in the road system is widespread, and single-lane bridges like the one near Jökulsárlón at the foot of Breiðamerkurjökull need to be eliminated. With the introduction of the per-kilometer charge, all users will pay in accordance with usage and the weight of vehicles. This way, the charge will better reflect the actual cost of using the road system.

Back in mid-2005, a heavy-duty tax system was discontinued. It was based on the principle that the charge on vehicles was related to their usage and wear and tear on roads. However, the heavy-duty tax system only applied to vehicles driven by diesel oil. Those who owned diesel vehicles under four tons could pay a fixed annual fee.

Otherwise, vehicle owners had to have a special odometer. Those with heavier vehicles were obliged to pay according to the odometer. This system was considered cumbersome, and exceptions were not uncommon. However, times have changed, and technology has improved. The introduction of the per-kilometer charge from the last year has been successful, according to a government report.