A Guide to NYC Congestion Pricing

After years of delays and debates, congestion pricing is in effect in New York City. We break down everything you need to know about the new policies and how they might impact your travels!

What is Congestion Pricing? 🤔

Congestion pricing is a toll implemented to disincentivize car traffic to a specific area. New York's congestion pricing is part of the Central Business District Tolling Program.

Where are Congestion Pricing Tolls Located? 🛣️

Tolls are located at entrances to the Congestion Relief Zone. Formally called the Manhattan Central Business District, this zone encompasses all local streets and avenues at and below 60th Street. The FDR Drive, West Side Highway/Route 9A, and the Hugh L. Carey Tunnel connections to West Street are exempt from congestion pricing tolls.

Drivers who enter the Congestion Relief Zone will be charged upon entering, no matter how much time you spend driving around the area or how far you drive. Drivers will only be charged once per day if making multiple trips in and out of the Congestion Relief Zone. The MTA breaks down a few specific examples of potential journeys here. Basically, if you hit the grid at or below 60th Street, you are getting charged.

How Much Do the Tolls Cost? 💸

Toll amounts vary depending on the type of vehicle, time of day, method of payment, and if any crossing credits apply. The toll prices listed below apply to the program's first phase, which is set to run until 2027. After that, prices will steadily increase until 2031.

🚗 Passenger and small commercial vehicles

• Peak period: $13.50 by mail, $9 with E-Z Pass
• Overnight period: $3.30 by mail, $2.25 with E-Z Pass

🏍️ Motorcycles

• Peak Period: $6.75 by mail, $4.50 with E-Z Pass
• Overnight Period: $1.65 by mail, $1.05 with E-Z Pass

🚚 Trucks and buses

Small trucks (single-unit trucks) and some buses:

• Peak Period: $21.60 by mail, $14.40 with E-Z Pass
• Overnight Period: $5.40 by mail, $3.60 with E-Z Pass

Large trucks (multi-unit trucks) and tour buses

• Peak Period: $32.40 by mail, $21.60 with E-Z Pass
• Overnight Period: $8.10 by mail, $5.40 with E-Z Pass

🚕 Taxis and for-hire vehicles

• $1.50 per trip for high-volume for-hire vehicles during both peak and overnight periods
• $0.75 per trip for taxis, green cabs, and black cars during both peak and overnight periods

Peak period toll rates apply from 5 a.m. to 9 p.m. on weekdays, and from 9 a.m. to 9 p.m. on weekends. No E-Z Pass crossing credits will be offered overnight when the toll will be reduced by 75% from the peak period toll. You can see the full toll schedule here.

Drivers entering during the peak period via one of the four tolled entries (Lincoln Tunnel, Holland Tunnel, Queens-Midtown Tunnel, and Hugh L. Carey Tunnel) and using a valid E-Z Pass will get a credit of:

• Up to $3 for passenger vehicles
• Up to $1.50 for motorcycles
• Up to $7.20 for small trucks and charter buses
• Up to $12 for large trucks and tour buses

How Are Tolls Collected? ✉️

An advanced system of 1,400 cameras and over 110 detection points will monitor traffic and collect tolls in the Congestion Relief Zone. If a vehicle entering the zone has an E-Z Pass tag, the charge will automatically be sent to the E-Z Pass account. Drivers without an E-Z Pass tag will receive a bill in the mail sent to the registered owner of the vehicle.

Are There Any Discounts or Exemptions?

The MTA lists the following exemptions for congestion pricing tolls:

• Qualifying authorized emergency vehicles, such as ambulances and fire vehicles
• Qualifying vehicles transporting people with disabilities
• Specialized government vehicles
• School buses contracted with the NYC Department of Education
• Commuter vans licensed by the NYC Taxi and Limousine Commission
• Buses providing scheduled commuter services open to the public

There are discounts for certain low-income drivers. Vehicle owners can check eligibility and apply for discounts or exemptions on the MTA website here.

Residents of the Congestion Relief Zone with a gross income under $60,000 may qualify for a tax-credit program. You can learn about that program on the New York State Department of Taxation and Finance's website here.

Why has Congestion Pricing Been Implemented in NYC?

Congestion pricing in New York City is intended to cut down traffic in the Congestion Relief Zone. The MTA states that the program will lead to "less traffic, cleaner air, safer streets, and better transit."

According to the MTA, over 700,000 vehicles enter the Manhattan Central Business District (CBD) daily. With congestion pricing in place, the agency predicts 80,000 fewer vehicles will enter the zone every day. A study commissioned by the Partnership for New York City in 2018 determined that drivers spend 117 hours in gridlock traffic each year and waste $20 billion worth of time and productivity.

In addition to reducing traffic, congestion pricing will generate revenue to back $15 billion in bonds to fund MTA projects on public transit systems. A press release from the MTA breaks down where that funding will go: 80% to capital improvements on New York City subways and buses, 10% to Metro-North Railroad, and 10% percent to the Long Island Rail Road. Some of the projects expected to receive funding include Phase 2 of the Second Ave subway extension, accessibility improvements, signal modernization, and reconstruction of the Verrazzano-Narrows Bridge’s ramps in Brooklyn.

Do Other Cities Have Congestion Pricing?

New York City's congestion pricing program is the first of its kind in the United States, but many global cities have had congestion pricing for years. London, Stockholm, and Singapore are three of the largest cities to make use of congestion pricing.

What Was the Controversy Surrounding Congestion Pricing?

Congestion pricing was originally slated to start in June 2024 but was halted by Governor Kathy Hochul. Hochul said, "the planned congestion pricing system risks too many unintended consequences for New Yorkers" and called on the MTA to "indefinitely pause the program.” Under the original plan, tolls for cars would have cost $15 during peak hours which Hochul said would be "another burden to working- and middle-class New Yorkers" and "create another obstacle to continued recovery.”

While many officials supported Hochul's pause, supporters of congestion pricing, including environmentalists and transit activism groups, were shocked by the move which came just weeks before the congestion pricing plan was to be enacted.

In addition to Hochul's pause, congestion pricing has faced many other adversaries. The plan has faced multiple lawsuits from opponents such as the Trucking Association of New York, groups of residents like New Yorkers Against Congestion Pricing Tax, and the State of New Jersey. An appeal from the New Jersey suit was rejected the day before congestion pricing began. President-Elect Donald Trump has also made his opposition to the plan known on Truth Social.

In November, the Governor announced a new congestion pricing plan with a 40% reduction in fares, the tolls that are now being collected. In a press release, MTA Chair and CEO Janno Lieber said the first day of congestion pricing on January 5th went "smoothly,” but the real test will be the weekday commute.

What are your thoughts on congestion pricing? Comment below!