Congestion Charges for Urban Transport
GOOD PRACTICES IN CITY ENERGY EFFICIENCY London, United Kingdom – Congestion Charges for Urban Transport Energy Sector Management Assistance Program (ESMAP) reports are published to communicate the results of ESMAP’s work to the development community. This document has not been prepared in accordance with the procedures appropriate to formal documents. Some sources cited in this paper may be informal documents that are not readily available. The findings, interpretations, and conclusions expressed in this report are entirely those of the author(s) and should not be attributed in any manner to the World Bank, or its affiliated organizations, or to members of its board of executive directors for the countries they represent, or to ESMAP. London Transportation Case Study August 2011 Project title London Congestion Charges for Urban Transport Sector Urban Transport Type of project Congestion Charges City and country London, United Kingdom City population 8.59 million (in 2008) Capital Cost US$242.8 million (Phase 1, 2002/3) US$189.5 million (Phase 2, 2006/7)1 Annual % of energy reduction 3% (44-48 million liters annually) Project status Ongoing; Phase 1 completed 2003, Phase 2 completed 2007 Project Summary In February 2003, London, the capital city of the United Kingdom (U.K.), introduced a daily congestion fee for vehicles travelling in the city’s central district during weekdays. This fee was meant to ease traffic congestion, improve travel time and reliability, and make central London more attractive to businesses and visitors. According to analysis by the City, the program has largely met its objectives. After four years of operation, traffic entering the charge zone was reduced by 21 percent; congestion, measured as a travel rate (minutes per kilometer), was 8 percent lower; and annual fuel consumption fell by approximately 44-48 million liters or about 3 percent.
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