The U.S. Transportation Department has approved New York's plan to impose a $9 congestion charge for driving in Manhattan starting on Jan. 5, a move aimed at raising billions for mass transit and cutting traffic.

Supporters of New York City’s congestion pricing plan to charge $9 to drive into Lower Manhattan got a major victory Friday when federal officials approved the new rate structure, clearing the way for a Jan.

The Federal Highway Administration has approved NYC’s congestion pricing plan, set to begin January 5. Drivers entering Manhattan below 60th Street will pay a $9 toll, increasing to $12 by 2028 and $15 by 2031.

Federal officials have approved a plan that would allow New York City to implement a $9 toll on cars that are driving into Manhattan as part of an effort to reduce traffic congestion and improve air quality.

The U.S. Transportation Department has approved New York's plan to impose a $9 congestion charge for driving in Manhattan starting on Jan. 5, a move aimed at raising billions for mass transit and cutting traffic.