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Toronto to raise fees for construction lane closures

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Toronto is set to increase fees for construction companies that block traffic lanes, following recommendations from a recent municipal report on traffic congestion. According to city officials, Toronto remains the busiest construction city in North America, with 221 cranes counted in the skyline during 2024. Alongside ongoing urban development, population growth and a 26% rise in vehicle registrations over the last ten years have significantly added to road congestion.

The report—prepared by the City of Toronto’s Transportation Services division—highlights that construction-related road closures are a major contributor to traffic delays, outweighing the effects of bike lane installations. City officials emphasized that public discourse has often overemphasized the impact of bike lanes, while the primary issue remains uncoordinated or prolonged construction projects.

Mayor Olivia Chow reinforced this point at a recent press event, stating, “Construction is the number one problem… it’s not bike lanes, it’s construction,” and stressed the importance of keeping projects on track and minimizing disruption to drivers.

To address this, a new congestion management strategy will be rolled out, focusing on improving project coordination, accelerating timelines, and increasing accountability. A key component of this strategy is the introduction of significantly higher permit fees for lane closures during construction.

For context, two utility companies that closed two eastbound lanes on Lakeshore Boulevard for nearly a month in 2024 paid just $5,000 in permit fees. Under the new system, a similar closure could cost up to $287,000, according to the mayor.

These changes align with the Toronto Region Board of Trade’s recent recommendations, which the city has committed to implementing. The plan also includes deploying more traffic wardens at major intersections to improve traffic flow. While these wardens won’t issue tickets—that authority remains with the police—they will help prevent drivers from blocking intersections. Fines for motorists caught “blocking the box” have also been increased from $90 to $450.

Originally reported by Alan Carter via CityNews.

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