NYC Congestion Pricing is Now in Effect

The Congestion Relief Zone Toll, commonly known as congestion pricing, is now in effect in New York City.

What is NYC’s congestion pricing charge?

Vehicles are charged a fee to enter New York City’s Central Business District (CBD), which is categorized as Manhattan neighborhoods south of 60th Street. The toll amount depends on the type of vehicle and time of day among other factors with most passenger vehicles seeing a $9 once-a-day fee.

Why does New York need congestion pricing?

  • Congestion is getting worse. New York City has dealt with street congestion for decades, with over 700,000 vehicles entering the CBD daily. Drivers feel these effects with traffic moving at an average speed of 6.9 mph in 2024, a 20% decrease from speeds ten years ago. 
  • Gridlock is bad for businesses, residents, and visitors. New Yorkers lose 117 hours a year on average sitting in traffic, translating to lost wages and productivity. Emergency response times for health emergencies, fires, and crimes have increased significantly over the past decade. And idling cars contribute to overall pollution and a decrease in air quality. 
  • Revenue from congestion pricing will benefit public transportation. The collected tolls are projected to generate around $15 billion for the MTA, which will bring critical improvements to subways, buses, and commuter railroads. Projects include the modernization of signal systems, the Second Avenue Subway line expansion, an increase of the electric bus fleet, and improvement to elevators for seniors and those with disabilities, all of which will ensure riders have faster and more reliable commutes.

Benefits

  • Quality of life will improve. Congestion pricing will reduce vehicular traffic. With fewer vehicles on the road, streets are safer for pedestrians and cyclists, public bus trips will be faster, and neighborhoods will be quieter. 
  • Emissions will be reduced, leading to a healthier, more sustainable NYC. Congestion pricing is projected to reduce traffic-related pollution by up to 10%, significantly improving public health. This follows a similar pattern to the first year of London’s congestion pricing program: NO2 emissions decreased by 13.5%, particulate matter decreased by 15.5%, and the positive impact on air quality added 1,888 years to the lives of Londoners. The benefits were even more dramatic in Stockholm, where congestion pricing cut hospital visits due to childhood asthma nearly in half. 

“Congestion pricing is fundamentally about meeting three critical objectives: Ensuring our commuters can rely on safe subways and commuter trains now and into the future, ensuring we can decongest our clogged streets, improving the quality of life for residents, the safety of pedestrians and access for emergency vehicles, and ensuring we reduce vehicle emissions to enhance our air quality.” – Governor Kathy Hochul