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Sydney tolls to drop on several motorways as government unveils pricing overhaul

The New South Wales government announced modest cuts to tolls on the Lane Cove Tunnel, M2 and Cross City Tunnel, while WestConnex and NorthConnex will stay unchanged.

Sydney’s toll network will undergo its first price reductions after years of negotiations with private operators. Effective July 1 2027, the Lane Cove Tunnel and long-haul M2 journeys will be 10 percent cheaper, while a 20 percent cut to the Cross City Tunnel will take effect when the Western Harbour Tunnel opens in 2028. Motorcyclists will benefit from a 50 percent discount on all tollways beginning the same date.

The M7 distance-cap reduction, also 10 percent, is slated for January 1 2028 but hinges on an $850 million widening of the M2 and M7 funded by the state. WestConnex and NorthConnex are excluded, as the government could not secure a deal with operator Transurban. Transport Minister John Graham highlighted the historic nature of any toll decrease, and Premier Chris Minns stressed that concession contracts will not be extended. Opposition critic Natalie Ward called the measures a half-finished reform.

Why it matters

Drivers in Sydney will see lower road fees, affecting commuting costs and state transport budgeting.

In this story

toll reductionsLane Cove TunnelM2Cross City TunnelWestConnexmotorcycle discountWestern Harbour TunnelNSW governmenttransport pricing