Road Pricing in London, Stockholm and Singapore a Way Forward for New York City Introduction
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ROAD PRICING IN LONDON, STOCKHOLM AND SINGAPORE A WAY FORWARD FOR NEW YORK CITY INTRODUCTION to enter the CBD. Nevertheless, nearly three- We examine congestion pricing programs quarters of drivers entering the Manhattan in three cities around the world: London, core—those crossing over the four City-owned Stockholm, and Singapore. In each, several bridges on the East River and those crossing patterns have emerged that hold lessons for 60th Street southbound—enjoy a free ride. New York City as state and local governments Meanwhile, transit users, whether via subway, consider congestion pricing. In these cities, bus, commuter rail, ferry, or CitiBike, pay fares pricing has rationalized the cost of entering the and fees for the cost of their travel. In total, 96% tolled area and fairly charged drivers for some of people entering the CBD on a daily basis pay of the negative externalities of their decision to some fare or fee (excepting those arriving on foot travel by car into the zone. This has encouraged or personal bicycle); a mere 4%, those using more efficient travel decisions, sped up traffic cars or trucks, do not. flow, improved journey time reliability, and— of special importance for New York—raised The Manhattan CBD south of 60th Street is annual revenue streams of over one hundred the most transit-rich area of the city, and most million dollars. Each city also employed auxiliary commuters into the CBD do not do so via a improvements complementary to congestion motor vehicle. However, those who drive or pricing that enabled alternate transit modes to take for-hire vehicles into this area increase handle the overflow from the roads. congestion and impose severe delays on other street-level travel. In particular, the failure to toll Each city’s scheme was established and has Image: Matthias Rhomberg/Flickr, 2007 the East River bridges and auto travel across evolved based on localized problems, goals, 60th Street encourages bridge shopping and social norms and innovative solutions, and New Congestion Relief Pricing: A Key the Manhattan central business district (CBD) the resulting excess vehicle miles traveled. This York would be no different. However, in all three Part of a Comprehensive Urban below 60th Street, tolls on the four East River incentivizes congestion and greenhouse gas cases, city officials knew road pricing would Transportation Strategy bridges (the Manhattan, Brooklyn, Williamsburg, emissions, especially in gridlocked zones near enable them to avoid the traditional approach and Queensboro bridges), and for-hire-vehicle the entrances and exits to the bridges. of highway widening to increase road capacity, surcharges. Now with endemic gridlock both at which is significantly more costly and has been The debate over congestion pricing in New The recent rise in congestion in New York City street level and below ground, congestion pricing shown to be ineffective at reducing congestion. York City has been decades in the making. has multiple causes: repeated subway failures, is back on the political agenda—this time with Mayor Michael Bloomberg introduced an unregulated app-based for-hire vehicles, The matrix on the following pages summarizes support from Governor Cuomo, who earlier this implementation plan for congestion pricing population growth, increased freight movement, each city’s population, congestion pricing year called congestion pricing “an idea whose on Earth Day in 2007, but the concept has construction activity, and increased tourism scheme, operation, payment system, as well as time has come” and in his 2018 State of the been well known for many years, with Tri-State and pedestrian volumes. All of these have put costs and revenues. Case studies of London, State address referenced “an exclusive zone in Transportation Campaign (TSTC) analyzing growing demands on the transportation system’s Stockholm, and Singapore follow the matrix. Manhattan where additional charges could be and advocating for congestion pricing as capacity, and it is past time to implement This report concludes with a discussion of key paid.” Now, as we await the work of the “Fix early as 1993 in its Citizens Action Plan. solutions. To do so, we should look globally. A lessons for a future New York City congestion NYC” advisory panel, whose mission is to find However, despite gaining wide support from number of international cities have successfully relief pricing scheme. While congestion pricing solutions to public transit funding shortfalls and leading transportation and environmental implemented congestion pricing as a part of a by itself won’t solve every transportation crippling congestion in Manhattan’s CBD, we can groups, Mayor Bloomberg’s plan failed in larger transportation strategy. This report aims challenge our city faces, it is an integral part of look to other cities to assess the success of their the legislature in 2008. Since then, the to shed light on those cities’ congestion pricing a holistic strategy to make urban transportation congestion pricing schemes. MoveNY coalition has developed and fought systems, and outline lessons from which state more efficient, sustainable and equitable. for a proposal to establish a congestion Currently, some drivers—those traveling via Port and local decision-makers can learn. pricing system, including tolling travel into Authority and MTA tunnels—already pay tolls 2 3 ROAD PRICING MATRIX Metropolitan Population Pricing Scheme Payments, Costs and Revenues Year Scheme % Change Ancillary Transportation & Policy Initial Annual Annual In 2016 Description Primary Goals Payment Hours Launched Since Launch Improvements Investment Operating Cost Net Revenue • Reduce congestion 7:00am- 6:00pm • Improve air • 300 new buses The cordon pricing scheme uses automatic Monday-Friday quality and public • Updated bus routes Flat daily fee of £11.50 number plate recognition in an 8 mi2 area health • Improved frequency (US $15.21) There is no charge 7.3 million 8.7 million 19% (21 km2 zone). Vehicles are registered £161.7 £130 £137 London • Improve journey of buses on weekends, Bank in 2003 automatically by cameras that photograph Payments can be made by million million million/year time reliability • 8,500 park-and-ride Holidays, or the days the number plates. The system consists of telephone, text message, (USD $214 (USD $172 (USD $182 for car users spaces between Transport overhead gantries, cameras at all entrance online, by post, or via million) million) million) • Create a long- • Bike/pedestrian Christmas Day and for London points, pavement markings, and street registering for auto pay. term funding infrastructure New Year’s Day, signage. source for nor during nights public transit (6:00pm to 6:59am). improvements The cordon congestion tax scheme uses • Reduce Variable pricing based on 6:30am- 6:30pm • 197 new buses automatic number plate recognition, in a congestion time of day. Highest peak Monday-Friday 2 2 • 16 new bus routes period cost per passage is 13 mi area (35 km zone). Vehicles are • Improve air There is no charge Stockholm 1.9 million 2.1 million 10% • 2,800 new regional 35 krona (US $4.14). registered automatically by cameras that quality and public on weekends, public 2 100 1.3 billion in 2007 park-and-ride spaces photograph the number plates. The system health billion krona million krona krona/year • Bike/pedestrian The owner of the car is holidays or the consists of overhead gantries, cameras at • Improve journey (USD $236.7 (USD $11.8 (USD $155 Swedish infrastructure sent a monthly invoice for day before public all entrance points, pavement markings, time reliability million) million) million) Transport • Taxis and for-hire the total charge incurred. holidays, nor during Administration and street signage. The scheme was for car users Vehicles, such as Payments can be made by nights (6:30pm – launched in 2007 after a successful trial in • Uber, also pay the tax mail, online or by direct 06:29am), nor during 2006. debit from a bank account. the month of July. The electronic road pricing (ERP) scheme is fully automatic on specific routes, • Parking fees inside the $0 -$4.00 (US $0 - $3.00) times of day, and directions, with variable restriction zone were are collected on a per-pass pricing designed to respond to congestion doubled basis at over 50 points 7:00am-8:00pm in real-time. Vehicles are required to have • Reduce • Buses and bus within and surrounding the Monday-Saturday S $200 S $25 S $150 central business district. an in-vehicle unit on the dashboard and a congestion frequency increased There is no charge million million million/year Singapore 3.9 million Rates vary for different 5.6 million 44% smart card with fare stored on it. Overhead • Improve journey • HOV+4 lanes were on Sundays, public (USD $110 (USD $18.5 (USD $100 in 1998 roads and time periods gantries detect the type of vehicle, the time reliability established holidays, or after 1pm million) million) million) depending on local traffic Land congestion of the route at specific times, for car users • 15,000 park-and- the day before a public conditions. Transport and deduct the variable fee from the smart ride spaces were holiday. Authority card. The ERP scheme was launched in established outside of The in-vehicle unit costs 1998, replacing a cordon pricing scheme the restriction zone $150.00 (US $111.00). that was first implemented in 1975. 4 5 A A L H B R G Y A R O A D C ROV N R Y O A B R D O E E S E D DALSTON N V D L I W R LONDON E L E E A L R E R O CHALK T R O A D BRONDESBURY O R G B O T A F O R E S E N D E A A N U R C EN D O V E R A FARM OA D F E D E ON R M K S ET RD A C FO T .