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Synergistically addressing local and global environmental damages rather than optimizing a specific aspect of the policy conundrum helps to effectively foster climate action in road transport while maintaining public acceptance and socially fair outcomes.

While instruments to price congestion exist since the 1970s, less than a dozen cities around the world have a cordon or zone pricing scheme. Geneva, Switzerland, may be soon joining them. This paper builds on a detailed review of the existing schemes to identify a set of plausible design options for the Geneva congestion charge. In turn, it analyzes their acceptability, leveraging a large survey of residents of both Geneva and the surrounding areas of Switzerland and France. Our original approach combines a discrete choice experiment with randomized informational treatments. We consider an extensive set of attributes, such as perimeter, price and price modulation, use of revenues, and exemption levels and beneficiaries. The informational treatments address potential biased beliefs concerning the charge’s expected effects on congestion and pollution. We find that public support depends crucially on the policy design. We identify an important demand for exemptions, which, albeit frequently used in the design of environmental taxation, is underexplored in the analysis of public support. This demand for exemptions is not motivated by efficiency reasons. It comes mostly by local residents, for local residents. Further, people show a marked preference for constant prices, even if efficiency would point to dynamic pricing based on external costs. Hence, we highlight a clear trade-off between efficiency and acceptability. However, we also show, causally, that this gap can in part be closed, with information provision. Analyzing heterogeneity, we show that preferences vary substantially with where people live and how they commute. Even so, we identify several designs that reach majority support.

We investigate the convergence properties of a projected neural network for solving inverse variational inequalities. Under standard assumptions, we establish the exponential stability of the proposed neural network. A discrete version of the proposed neural network is considered, leading to a new projection method for solving inverse variational inequalities, for which we obtain the linear convergence. We illustrate the effectiveness of the proposed neural network and its explicit discretization by considering applications in the road pricing problem arising in transportation science. The results obtained in this paper provide a positive answer to a recent open question and improve several recent results in the literature.

We promote a view that more attention should be given to the freight sector in order to recognise that many initiatives designed to impact on passenger travel do also impact on the performance of the movement of freight vehicles and hence the ability to distribute commodities from the locations in which they are generated. This paper develops a practical freight demand model system and applies the models within an integrated passenger and freight model system for the Greater Sydney Metropolitan Area using a distance based charge for trucks and cars as a way of highlighting the importance of not ignoring truck traffic when assessing road pricing reform in the car passenger sector.

This study investigates the association between news exposure and attitudes/beliefs about a Dutch road pricing proposal (Kilometerheffing) with individual level data. We have combined the data from a public attitude survey (N = 705) with a content analysis of 280 news articles on the pricing proposal published in five leading Dutch newspapers. Our findings show that news exposure and attitudes/beliefs about road pricing policies are associated not only at the aggregate level, as shown by past research, but also at the individual level. The direction of attitudes/beliefs and tone of news change in the same direction (e.g., the higher the amount of negative news exposed, the more negative the attitudes towards Kilometerheffing). Our findings also show that the significance and direction of association (in parallel with or opposite to the tone of news—negative or positive) changes according to the issue featured in the news and the strength of the individual’s values. News exposure is not associated with beliefs about the impact of Kilometerheffing on one’s own financial situation but rather with beliefs about the impact of Kilometerheffing on the environment and congestion. Furthermore, the strength of the biospheric value (which concerns the quality of nature and environment) negatively moderates the relationship between news exposure and beliefs about the impact of Kilometerheffing on environment-congestion.

The call for a congestion charge is getting louder and more frequent in many countries as major metropolitan areas experience increasing levels of road congestion. This is often accompanied by a recognition that governments need to find new sources of revenue to maintain existing road networks and to invest in new transport infrastructure. Although reform of road pricing is almost certain to occur at some time in the future in a number of countries, a key challenge is in selling the idea to the community of road users as well as a whole raft of interest groups that influence the views of society and politicians. Simply announcing a need for a congestion charge (often misleadingly called a tax) does little to progress the reform agenda. What is required is a carefully structured demonstration of what might be done to progressively introduce adjustments in road user charges that are seen as reducing the costs to motorists while ensuring no loss of revenue to government. In this paper we show, in the context of Sydney (Australia), that this can be achieved by the reform of registration fees in the presence of a distance-based charging regime that can deliver financial gains to motorists, with prospects of revenue growth to the State Treasury.

A dominant theme in the debate on road pricing (RP) reform is securing buy in from all key stakeholders as a pre-condition for gaining support from politicians. This paper explores the key influences and the extent to which particular RP schemes are acceptable to the community at large, and how this translates into support if a scheme were subject to a vote in a referendum. Using data collected in Sydney in 2012 from a sample of car users, we estimate a recursive simultaneous bivariate probit model that recognises the endogeneity effect of scheme acceptability on voting plans. We find that there is a very strong link between voting intentions and scheme acceptability, and provide a series of direct elasticity estimates of the influence that the cost elements of RP reform schemes have on the joint probability of accepting and voting for a scheme.

According to theory, road pricing may reduce welfare when labour supply is negatively distorted by an income tax. This effect particularly occurs when commuting costs reduce labour supply. We examine the hypothesis that commuting costs reduce labour supply in the short-run. In particular, we estimate the effect of commuting time on labour supply in the UK. We account for endogeneity of commuting time by employing exogenous changes in commuting time resulting from firm relocations and changes in infrastructure. Our results cast doubt on the idea that increases in commuting cost reduce labour supply, at least in the short-run. More precisely, we find that females' labour supply reacts positively to or is unaffected by increases in commuting time, whereas males' labour supply is unaffected.

Stated choice experiments are designed optimally in a statistical sense but not necessarily in a behavioural choice making sense. Statistical designs, and consequently model estimation, assume that the set of alternatives offered in the experiment are processed by respondents with a specific processing strategy. Much has been studied about attribute processing using discrete choice methods in travel choice studies, but this paper focuses more broadly on processing of alternatives in the choice set offered in the experiment. This paper is motivated by the primary idea that the distribution of predicted choice probabilities associated with a set of alternatives defining a given choice set might provide strong evidence on the strategies that agents appear to use when choosing a preferred alternative. In an empirical setting of a choice set of size three, four model specifications are considered including a model for the selection of the best alternative in the full choice set and three variants of a best–worst regime. Using state choice data on road pricing reform, the empirical analysis examines which model specification delivers the most accurate prediction of the chosen alternative. The results suggest which alternatives really matter in choice making and hence the alternatives that might be included in a choice set for model specification.

Road pricing is not a new concept—toll roads have existed in Australia since Governor Macquarie established one from Sydney to Parramatta in 1811—and distance-based charging schemes have been trialled and implemented with varying success overseas. But how would full market reform of roads look in a federation like Australia? In its responses to the 2016 Australian Infrastructure Plan and the 2015 Competition Policy Review, the Australian Government explicitly supported investigating cost-reflective road pricing as a long-term reform option, and has committed to establishing a study chaired by an eminent Australian to look into the potential impacts of road pricing reform on road users. The challenges we face in this space are manifold and complex, and we still have a long road ahead of us. However, with advocacy for reform coming from interest groups as diverse as governments, private transport companies, peak industry bodies, policy think tanks and state motoring clubs, there is now more support than ever before for changing the way we provide for and fund our roads. This book seeks to advance the road reform agenda by presenting some of the latest thinking on road pricing and provision from a variety of disciplinary approaches—researchers, economists and public sector leaders. It stresses the need for reform to ensure Australians can enjoy the benefits of efficient and sustainable transport infrastructure as our population and major metropolitan cities continue to grow. Traffic congestion is avoidable, but we must act soon. The works presented here all point to the need for change—the expertise and the technology are available, and the various reform options have been mapped out in some detail. It is time for the policy debate to shift to how, rather than if, road reform should progress.