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Conference Proceedings 34: International Perspectives on Road Pricing (2005)
Technical Activities Division (TAD)

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Transportation Research Board. "Facility Pricing in the United States Versus Area Pricing in Europe." Conference Proceedings 34: International Perspectives on Road Pricing. Washington, DC: The National Academies Press, 2005.

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CONFERENCE PROCEEDINGS 34 (1-2)
International Perspectives on Road Pricing (3-6)
Contents (7-10)
ACKNOWLEDGMENTS (11-11)
OECD WORKING GROUP FOR THE INTERNATIONAL ROAD PRICING SYMPOSIUM (12-12)
Background and Terminology (13-14)
KEY FINDINGS (15-16)
RECOMMENDED ACTIVITIES TO PROMOTE INTERNATIONAL COOPERATION (17-18)
Setting the Stage (19-20)
Welcoming Remarks and Charge to the Conference (21-22)
THEN AND NOW: THE EVOLUTION OF TRANSPORT PRICING AND WHERE WE ARE TODAY Martin Wachs (23-23)
ONE STEP FORWARD, TWO STEPS BACK? AN OVERVIEW OF ROAD PRICING APPLICATIONS AND RESEARCH OUTSIDE THE UNITED STATES Anthony May (24-26)
Keynote Addresses (27-28)
Central London's Congestion Charging Scheme Has It Achieved Its Objectives? (29-29)
Out on a Limb Pricing Futures (30-30)
Special Topics (31-32)
HOW POLITICS AFFECTS EVEN GOOD PROJECTS Eric Schreffler (33-33)
WHAT DO POLITICIANS REALLY NEED TO KNOW? Jan A. Martinsen (34-35)
TOLL ROAD APPLICATIONS: PERSPECTIVES FROM THE PORT AUTHORITY OF NEW YORK AND NEW JERSEY Mark Muriello (36-36)
PLANS FOR VARIABLE PRICING BY FLORIDA'S TURNPIKE ENTERPRISE Jim Ely (37-37)
NEW LANE APPLICATIONS: CALIFORNIA STATE ROUTE 91 Ellen Burton (38-39)
COSTS AND BENEFITS OF PRICING SCHEMES FOR THE NETHERLANDS Erna Schol (40-40)
AN EXPLORATION OF MOTOR VEHICLE CONGESTION CHARGES IN NEW YORK Jeffrey Zupan and Alexis Perrotta (41-41)
RELEVANCE OF PRICING TO EXTERNAL COST CALCULATION: RECENT RESULTS Andrea Ricci (42-43)
LORD OF THE RINGS, TRONDHEIM, NORWAY Erik Amdal (44-44)
TOLLING THE A-86 TUNNEL IN VERSAILLES, FRANCE Dario D'Annunzio (45-45)
TESTING THE REAL-WORLD ACCEPTANCE AND EFFECTIVENESS OF URBAN PRICING Marcel Rommerts (46-46)
EVALUATION OF SINGAPORE'S ELECTRONIC ROAD PRICING SYSTEM Gopinath Menon (47-47)
E-407 PROJECT IN TORONTO, ONTARIO, CANADA Imad Nassereddine (48-48)
TECHNOLOGY AND PRICING: CAUSE OR EFFECT? Harold Worrall (49-49)
ELECTRONIC TOLL COLLECTION IN JAPAN: A WIDE VARIETY OF TOLLING APPLICATIONS Kuniaki Nakamura and Nihon Doro Kodan (50-50)
LESSONS LEARNED FROM PAYING FOR PARKING Donald Shoup (51-51)
URBAN TOLLS IN OSLO, NORWAY: EXPERIENCES AND CONDITIONS FOR IMPLEMENTATION Kristian Wrsted (52-53)
MANAGING THE STREETS OF LONDON Derek Turner (54-54)
FAILED SCHEMES IN PRICING Stephen Ison (55-55)
OVERVIEW OF STUDIES ON HEAVY VEHICLE CHARGES Tony Wilson (56-56)
EFFECTS OF PRICING ON TRUCKS IN THE UNITED STATES Darrin Roth (57-57)
TOLLING HEAVY GOODS VEHICLES ON GERMANY'S AUTOBAHNEN Andreas Kossak (58-59)
WELFARE AND DISTRIBUTIONAL EFFECTS OF ALTERNATIVE ROAD PRICING POLICIES FOR METROPOLITAN WASHINGTON, D.C. Peter Nelson (60-60)
IMPACTS OF PRICING ON INCOME CLASSES Douglass Lee (61-62)
MOVING THE GOODS IN LOS ANGELES Mark Griffin (63-63)
ROAD PRICING AND URBAN FREIGHT IN EUROPE: PRACTICES AND DEVELOPMENTS FROM THE BESTUFS PROJECT Martin Ruesch (64-65)
INNOVATIVE FINANCING'S ROLE IN PRICING PROJECTS Genevieve Giuliano (66-66)
INTERSTATE 680 AND OTHER CALIFORNIA PROJECTS Jim Bourgart (67-67)
PRICE DEMAND ELASTICITIES AND USAGE OF HOUSTON'S HOT LANES Mark Burris (68-68)
PUBLIC ACCEPTANCE OF PRICING SCHEMES FOR THE NETHERLANDS Yvonne Need (69-69)
PRICING TRAFFIC, PACING GROWTH Robert Dunphy (70-70)
Responses to Findings The Future of Pricing (71-72)
Resource Papers (73-74)
EVOLUTION OF ARGUMENTS FOR CONGESTION PRICING IN THE UNITED STATES (75-75)
Pigou and Knight on Congestion Pricing (76-77)
THE CURBING GRIDLOCK STUDY (78-78)
Facility Pricing in the United States Versus Area Pricing in Europe (79-79)
Recommendations from CURBING GRIDLOCK (80-80)
HOT Lanes as a Road Pricing Innovation (81-81)
Growing Traffic, Financial Pressures, and an Emphasis on Management (82-82)
REFERENCES (83-84)
One Step Forward, Two Steps Back? An Overview of Road Pricing Applications and Research Outside the United States (85-85)
United Kingdom (86-86)
Norway (87-87)
Sweden (88-88)
Germany (89-89)
Singapore (90-91)
Other Asian Developments (92-92)
IMPLICATIONS (93-93)
Acceptability (94-94)
Equity (95-95)
Economic Impacts (96-96)
Technology (97-97)
Scheme Design and Integrated Strategies (98-98)
CONCLUSIONS (99-99)
REFERENCES (100-103)
Committee Member Biographical Information (104-107)
Participants (108-112)

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THEN AND NOW 67 BOX 3 Findings from Curbing Gridlock · Congestion pricing would cause some motorists · Congestion pricing would reduce air pollution to change their behavior. and save energy. · Congestion pricing would result in a net benefit · The political feasibility of congestion pricing is to society. uncertain. · Congestion pricing is technically feasible. · Evaluation of early projects is crucial. · Institutional issues are complex but can be re- · An incremental approach is appropriate. solved. · All income groups can come out ahead given an Source: Transportation Research Board and appropriate distribution of revenues. Commission on Behavioral and Social Sciences and · Some motorists would lose. Education 1994, Vol. 1, pp. 4­9. dence. It indicated that the potential of road pricing to extensive evaluations of experimental programs, and contribute to the lessening of congestion in urban areas provide matching development funds to local govern- was significant but largely untested at the time. It con- ments have not been enacted. Most of the recommenda- centrated on urging further study, research, experimen- tions aimed at state and local governments and those tation, and evaluation of field experiments and on that specifically enumerated research opportunities have recommending governmental programs that would not been undertaken. Despite this, as will be shown in make them possible. It concluded that most evidence the following sections, there have been important suggested that road pricing could make a significant changes in attitudes toward congestion pricing, and it is contribution to the alleviation of worsening traffic con- reasonable to say that public policy makers appears gestion. Yet the report simultaneously acknowledged more receptive to the concept than was the case at the great uncertainty with regard to distributional issues: time the study was completed. Could such programs be carried out without harming lower-income travelers, women, and members of minor- ity groups? The report also acknowledged that as a com- RECENT PRICING TRENDS IN THE munity of interest we have less insight than we would UNITED STATES like into the economic development and environmental outcomes of road pricing as well as the implications for Facility Pricing in the United States Versus land use and urban form. Area Pricing in Europe It is interesting to note that the majority of the recom- mendations from Curbing Gridlock have not been imple- Although road pricing in the United States remains con- mented, although some important ones have been. troversial and vulnerable to organized opposition, it has Consistent with the recommendations, when the federal actually advanced dramatically since the publication of government reauthorized the surface transportation pro- Curbing Gridlock, probably to a greater extent than gram by enacting the Transportation Equity Act for the had been envisioned when the report was published. As 21st Century in 1997, the congestion pricing demonstra- more fully described in the companion resource paper tion program was included and renamed "value pricing" by two European authors, the complexion of pricing in to reflect a larger scope including, for example, high- the United States is noticeably different from that in occupancy toll (HOT) lanes. The program, however, is Europe. Most of the highly publicized applications of not slated for inclusion in the Bush administration's cur- road pricing in Europe are area pricing schemes, similar rent proposal for reauthorization in 2003 or 2004. In to the original application of pricing in Singapore, and addition, a variety of approaches have been considered involve cordons about central city locations. Fees are to remove the prohibition on the charging of tolls on the paid, as in London or Trondheim, to cross the cordon in Interstate system, and this restriction no longer seems to order to enter a central congested area during peak peri- be binding in the long term. And, consistent with the rec- ods. In America, by contrast, there are few applications ommendations of the study, Congress has acted to treat of area pricing schemes. Instead, most applications are employer subsidies of public transit and employee park- located on highway facilities, where fees are required to ing more equally than was the case previously. However, enter certain lanes during periods of congestion. the report's suggestions that Congress provide incentives In part, the prominent difference between the growth to fund major programs in metropolitan areas, fund of area schemes elsewhere and facility-based schemes in