Act
Removal of Highways 412 and 418 as Toll Highways (Highway 407 East Act, 2012)
Regulation Number(s):
N/A
Instrument Type:
Act
Bill or Act:
Highway 407 East Act, 2012
Summary of Decision:
This legislative change permanently removes tolls from Highways 412 and 418 effective June 1, 2023.
Analysis of Regulatory Impact:
The current toll rates for light vehicles is $0.29/km and the toll rates for commercial vehicles range from $0.59 - $0.89/km.
The proposed removal of tolls from Highways 412 and 418 does not result in new administrative costs to businesses, not for profit and the broader public sector. It also does not result in new compliance costs or any other burden for any stakeholders.
This proposal to remove tolls on Highways 412 and 418 is a relief measure to Ontarians and provides support to customers who need to use these highways. The proposal supports the government's commitment of making life easier for commuters across the province and provide further pandemic relief to users of the province's toll highway. The government is taking steps to provide immediate relief for taxpayers and make life more affordable for Ontarians.
Removing tolls from highway 412 and 418 would generate savings to businesses and result in a revenue shortfall to government. These savings to businesses are estimated at $625.5 million to the end of the contract (FY 2045-46).
The intended outcomes cannot be met by non-regulatory options.
Pursuant to the Highway 407 East Act, 2012 toll rate amounts, other than the annual CPI adjustment, must be established by a Lieutenant Governor in Council regulation.
The removal of tolls from Highways 412 and 418 offer an alternative transportation route for individuals and businesses in the Greater Toronto Area, in particular Durham Region, as well as Peterborough and adjacent areas.
The proposal will help reduce daily travel expenses for Highway 407 users by removing tolls on highway 412 and 418; support the faster and more economical movement of people and improve convenience and choice for Ontarians by reducing the cost of using the tolled highway.
The proposed removal of tolls from Highways 412 and 418 does not result in new administrative costs to businesses, not for profit and the broader public sector. It also does not result in new compliance costs or any other burden for any stakeholders.
This proposal to remove tolls on Highways 412 and 418 is a relief measure to Ontarians and provides support to customers who need to use these highways. The proposal supports the government's commitment of making life easier for commuters across the province and provide further pandemic relief to users of the province's toll highway. The government is taking steps to provide immediate relief for taxpayers and make life more affordable for Ontarians.
Removing tolls from highway 412 and 418 would generate savings to businesses and result in a revenue shortfall to government. These savings to businesses are estimated at $625.5 million to the end of the contract (FY 2045-46).
The intended outcomes cannot be met by non-regulatory options.
Pursuant to the Highway 407 East Act, 2012 toll rate amounts, other than the annual CPI adjustment, must be established by a Lieutenant Governor in Council regulation.
The removal of tolls from Highways 412 and 418 offer an alternative transportation route for individuals and businesses in the Greater Toronto Area, in particular Durham Region, as well as Peterborough and adjacent areas.
The proposal will help reduce daily travel expenses for Highway 407 users by removing tolls on highway 412 and 418; support the faster and more economical movement of people and improve convenience and choice for Ontarians by reducing the cost of using the tolled highway.
Further Information:
Proposal Number:
22-MTO012
Posting Date:
February 22, 2022
Summary of Proposal:
The Ministry of Transportation is soliciting comment on the proposed legislative change to the Highway 407 East Act, 2012, which is a schedule to the proposed "Fewer Fees, Better Services Act, 2022". If passed, the legislative change would remove Highways 412 and 418 from the Highway 407 East Act, 2012 and thereby remove them as toll highways, effective June 1, 2023. The content, structure, form and wording of the consultation draft are subject to change following the consultation process.
Regulatory changes under the Highway 407 East Act, 2012 have already been made that will set the toll rates on Highways 412 and 418 to zero effective April 5, 2022.
Regulatory changes under the Highway 407 East Act, 2012 have already been made that will set the toll rates on Highways 412 and 418 to zero effective April 5, 2022.
Contact Address:
159 Sir William Hearst Ave
Toronto, ON
Toronto, ON
Royal Assent Date:
March 3, 2022
Decision:
Approved