Six Months In, Congestion Pricing Shows Early Signs of Success
Automobile traffic drops 11 percent and 10 million fewer vehicles have entered the congrestion pricing zone below 60th St. in six months, according to the MTA. But it has not released figures on how much money the tolls have generated so far.
New York City’s congestion pricing program, launched in January 2025, is already reshaping how people move through Manhattan. The initiative charges most drivers $9 to enter the central business district south of 60th St, and early data suggests it’s achieving most of its intended goals.
But a big question on how much money the tolls have generated has not been released so far. Initially, when the MTA announced it was rolling back to the toll to $9 from $15, it said it expected the lower toll would generate $600 million a year to enable the authority to raise up to $15 billion in bonds. Then it insisted the goal was $500 million. In the July 3 release, it did not say how much it generated in the first six months of month but an MTA spokesperson told Straus News that revenue was “on target” and that the exact revenue figures would be released at the MTA board meeting on July 28. Through the first five months, congrestion pricing toll “generated $220 million from January through May” and would meet its goal of generating $500 million on the full year.
On most other metrics, Gov. Kathy Hochul and the Metropolitan Transportation Authority (MTA), insist the congestion pricing toll system is meeting or exceeding expectations. Vehicle entries into the Congestion Relief Zone have declined by roughly 11 percent, with noticeable improvements in traffic flow and pedestrian safety.
At the same time, transit ridership across subways, buses, and commuter rail lines has risen compared to 2024 levels.
“Six months in, it’s clear: congestion pricing has been a huge success, making life in New York better,” Governor Hochul said. “Traffic is down throughout the region, business is booming, transit ridership is up, and we are making historic upgrades to our transit system.”
The toll revenues are earmarked to support a capital investment plan, which includes replacing aging subway cars, modernizing signal systems, improving station accessibility, and funding long-delayed expansion projects such as Phase 2 of the Second Avenue Subway.
The approach represents a significant departure from traditional funding methods, linking toll revenue directly to infrastructure improvements rather than relying on farebox income, state and federal subsidies, or broad-based bond issuances.
In their statement, the Governor’s office and MTA stated that Congestion Pricing is on track to raise the $500 million needed to secure the bonds, however they did not cite specifically how much they had raised.
Additionally, the $500 million figure is lower than earlier projections. When the program was announced, state officials anticipated it would generate $600 million a year.
With ridership rising, traffic down, and political winds shifting, the future of congestion pricing may be more secure than at any point since its inception.
The MTA has so far batted down all the court challenges from the Trump Administration and Transportation Secretary Sean Duffy to derail congestion pricing. Local politicians within the zone had called for relief for their car driving constituents living within the zone, a la the London plan that NYC said it modeled the local plan after. But while it was the source of heated debate and rallies before the tolls went into effect, it seemed to fade as a hot button issue in local races during the Democratic primary.
Still, much depends on whether the program can meet its long-term revenue goals—and survive the continuing legal and political battles ahead.
“Six months in, it’s clear: congestion pricing has been a huge success, making life in New York better.” Gov. Kathy Hochul