SlideShare a Scribd company logo
1 of 8
Download to read offline
AN OVERVIEW OF THE IMPACT OF MOBILITY PRICING IN METRO
VANCOUVER
21-09-2018
Akash Behl
Inna Ilyantseva
Nidhi Pednekar
Though Metro Vancouver’s transportation authority has tried to tackle the problem of
congestion by utilising conventional measures such as toll pricing, improvement in the public
transport system, and entry restrictions on such ride-sharing transport network systems as Uber and
Lyft, it has failed to regulate congestion and that calls upon the proposed implementation of different
strategies.
TransLink, operating within Metro Vancouver, has helped implement a multi-modal transport
strategy including such municipal transportation services as Buses, Skytrains, West Coast Express
and Seabus. The travel patterns of consumers utilising these public transport facilities are complex
and they belong to the lower-middle class population, with 33.33% of all trips are to and from work
and the highest number of internal trips are made within Vancouver (75%) (Mobility Pricing
Independent Commission, 2018). TransLink utilises a contactless smart card payment system called
the Compass Card, processing differently for above mentioned forms of transit modes, with different
fares for adults, concessions, and employees of TransLink. (TransLink, 2018)
Transportation is a vital part of the ecosystem of any urban or non-urban area. With a growing
population, the need for efficient transport systems and effective pricing is significant. One of the
issues in Metro Vancouver is the growing population in the city. With people migrating from rural
areas to urban or metropolitan areas, the demand for organized, affordable and timely transportation
is also growing. The second issue is the increase in the number of vehicles per family because that
leads to further congestion and traffic, as well as air pollution. The next issue is the limitations
associated with building new infrastructure required to accommodate the growing population. For
instance, in North Vancouver, the road networks need to be rebuilt to account for the traffic and
prevent congestion. However, this isn’t a palatable option, as more land needs to be bought and more
networks to be built, which in the current market is extremely expensive. As for the bridges, widening
some of them is structurally not feasible. Rebuilding the bridges is counterproductive and not cost
effective as it would result in traffic overflow. To summarize, rebuilding road networks in areas where
infrastructure is already set in place is neither realistic nor recommendable. (Richter, 2018)
The vicious cycle of a growing population resulting in the need for building new
infrastructure, leading to even more congestion, needs to be addressed. Although the demand for
transport is high, the supply for the same has yet to catch up. An independent commission is currently
considering two options for Metro Vancouver. One is imposing charges on drivers for every kilometer
they drive, and the other is tolling congestion points. (Saltman, 2018)
Along with fuel prices being at an all-time high and insurance premium rising every year,
implementing additional charges would lead to dissatisfaction among the population. Given that the
demand for road use is elastic, individuals can choose other “substitute” modes of transportation to
avoid congested roads. However, supply for public roads starts out as elastic but changes slope and
becomes more and more inelastic as more people are using the roads. To combat this dissonance in
supply and demand, the Metro Vancouver Independent Mobility Pricing Commission has proposed
two pricing strategies that introduce decongestion pricing, aimed at reducing congestion throughout
the target area: Regional Congestion Point Charges and Multi-Zone Distance Based Charges. (See
Appendix Figure 2) (TransLink, 2018)
Congestion pricing is an efficiency pricing strategy that requires the users to pay more for that
public good, thus increasing the welfare gain or net benefit for society. This strategy is somewhat
related to the concept of price discrimination, where individuals are charged a different price based
on their demand. For example, if one person’s demand for a certain highway is more inelastic than
another’s, this person will be willing to pay a higher price for the use of this highway, resulting in the
transportation authority withdrawing this customer surplus from the market.
Transportation is heavily influenced by public policy in Metro Vancouver, and in Canada in
general. All plans presented by TransLink, British Columbia’s organization responsible for public
transit, major roads, and bridges, must be approved by Metro Vancouver’s Mayor’s Council
consisting of 21 mayors and the Chief of Tsawwassen First Nation. Regional transportation
executives often have multiple options to choose from when making decisions on how to improve
transportation for the population, and often there is not a clear agreement amongst politicians on
which option is better. They consider trade-offs between building or extending subway systems,
adding more bus lines, and expanding roads. For example, Metro Vancouver’s politicians regularly
debate over building a $3 billion subway extension to UBC as opposed to increasing the frequency
of the 99 B line buses that currently service the Broadway/ UBC corridor at a fraction of the cost.
Another common suggestion to implement a two-year trial of bus rapid transit - creating bus-only
lanes - from Broadway and Commercial westward to UBC. The bus systems could be up and running
within a few months, although some claim that due to differing political agendas it is difficult to agree
on a certain plan and put it into motion (Roderick, 2018). With regards to a proposal to implement
mobility pricing in Vancouver and surrounding areas, there are several factors that would need to be
thoroughly assessed by Mayors’ Council and TransLink before any funding can be released. In fact,
Vancouver Sun reported that the study alone, which was carried out by an independent commission
of consultants, required TransLink to invest over $2 million in just ten months (Saltman, 2018).
In evaluating mobility pricing, policy makers must consider how to make the charges fair but
profitable for the organization, without causing a public outcry over the new rules. To determine the
equilibrium price that can be charged to individuals, the Mobility Pricing Independent Commission
employed the economic theory of marginal social cost, which is a cost to society for using the
roads. The purpose of examining marginal social cost is to find an equilibrium price for congested
road use, where anything above that price will inadvertently cause some people to travel using another
route (TransLink, 2018). In Figure 1 (see Appendix) (TransLink, 2018), the original individual
demand for road use with no decongestion charges is indicated by point A for a certain amount of
traffic congestion. As travel costs rise, the demand for road use is decreased, causing a leftward
movement along the demand curve to point B at which the cost to society is optimized (TransLink,
2018).
Taking a step back into TransLink’s history, the transportation authority has been known to
use what some would consider unconventional methods to fund public transport. For instance, in
2001 TransLink introduced a gas tax to finance the Millennium SkyTrain line, followed by a property
tax increase, in addition to hiking fares to help fund transit (Sinoski & Shaw, 2014). In mid-2000s
heavy parking taxes were also levied onto the public who in turn protested the decision but could not
get TransLink to cut the taxes. In strictly competitive markets, an increase in tax causes the supply
curve to shift to the left and equilibrium to move down, however since TransLink can be considered
a monopoly within the scope of public transit, adding more taxes will only result in unhappy
customers. Given that mobility pricing only affects those users who use the congested roads, it can
be argued that mobility pricing should be better received by the public than a blanket increase in
taxes.
The transportation market of Metro Vancouver is expected to evolve significantly in the next
5-10 years since the technology encompassing different aspects of the system is proposed to be more
robust than what it is in the present. (Sotra, 2017)
Firstly, Predictive and Real-time Traffic Monitoring using drones could be introduced. These
drones will be linked to the central system of decongestion pricing, displaying not only traffic patterns
but respective mobility prices based on the then traffic congestion strength. This IOT (Internet of
Things) enabled system of drones, pricing structure and vehicles will enable consumers to not only
access real-time maps but also help them take an informative decision whether to pursue the same
route or change it. Secondly, self-driven vehicles are the future of transport, inclusion of which will
not only help reduce commute time but also reduce accidents and minor mishaps which usually lead
to hours of traffic jams. (Cheney, 2018). Thirdly, Vehicle to Vehicle (V2V) and Vehicle to
Infrastructure (V2I) Technologies are the future of adaptive transport behaviours wherein vehicle can
not only communicate with other vehicle in their vicinity but also with traffic lights and weather alert
systems to exchange relevant traffic data and accurately predict the path of least traffic. (Sotra, 2017)
Building on the concept of Compass Card, the future of payment methods is combining transit
fares, parking, decongestion charges, bike and car shares, taxis and services under one Contactless
Integrated Mobility Payment System.
In addition, there is a huge room for the strategy inclusion of such ride-sharing and ride-
hailing transport network companies as Uber and Lyft that will fill the void of cost-effective
transportation. It is imperative for the public regulation policies to be such that the additional vehicles
do not increase congestion and that calls for such strategic restrictions as cab fare price
differentiations for long and short distance customers, such that it favours public transport for short-
distance travellers. A substitute good is a good with a positive cross elasticity of demand. So, as the
price of the primary product increases, the demand for the substitute product increase. Therefore, if
ride hailing companies increase the prices for short-distance routes, the demand for public
transportation will automatically increase.
Across the world there are examples of successful use of congestion pricing in industries such
as electricity, buses and railway. London, Stockholm and Singapore have all implemented mobility
pricing within their transportation systems, which has proven to be very cost-effective in shortening
travel times and reducing environmental effects. (Lee, 2018) Therefore, mobility pricing can be an
effective way of reducing delays, improving travel time reliability and reducing emissions. With
rapidly evolving technology there are other viable options that come into play for improving the
population’s experience with transportation, so pricing strategies will have to be reviewed regularly
to remain relevant.
APPENDICES
Figure 1: Graph depicting marginal social cost
Figure 2: Comparison chart of dominant pricing strategies
Evaluation Criteria Regional Congestion Point
Charges
Multi-zone Distance Based
Charges
Cost to average household per
day
5-8 $ 3-5 $
Congestion 20-25% 20-25%
Travel-time Reliability 17-20% 18-23%
Capital costs 150-350 M $ 400-700 M$
Average Net Revenues 1-1.5 B$ 1-1.6 B$
Total Net Economic Benefits
per year
220-290 M$ 180-350 M$
REFERENCES
Cheney, P. (2018, May 11). How self-driving cars will ease traffic congestion. Retrieved from
www.theglobeandmail.com: https://www.theglobeandmail.com/globe-
drive/culture/commuting/how-self-driving-cars-will-ease-traffic-
congestion/article15876882/
Kelly Sinoski, R. S. (2014, Febraury 15). Evolution of a transit authority. Vancouver, British
Columbia, Canada.
Lee, M. (2018, April 30). Mobility pricing in practice: A look at London, Stockholm and Singapore.
Retrieved from www.policynote.ca: https://www.policynote.ca/mobility-pricing-in-practice-
a-look-at-london-stockholm-and-singapore/
Mobility Pricing Independent Commission. (2018). Metro Vancouver Mobility Pricing Study.
Vancouver: Translink.
Richter, B. (2018, September 14). How can we escape gridlock's grip?; New plan aims to get North
Shore people moving. North Vancouver, British Columbia, Canada.
Roderick, L. (2018, September 14). Adding B line buses is better than pricey subway. Burnaby,
British Columbia, Canada.
Saltman, J. (2018, August 3). Commission spent just over $2 million to study mobility pricing in
Metro Vancouver. Vancouver, British Columbia, Canada.
Saltman, J. (2018, January 16). Mobility pricing commission considers congestion, distance tolling.
Vancouver, British Columbia, Canada.
Sotra, M. (2017, November 16). 7 Smart City Solutions to Reduce Traffic Congestion. Retrieved from
www.geotab.com: https://www.geotab.com/blog/reduce-traffic-congestion/
TransLink. (2018, September 21). TransLink. Retrieved from www.translink.ca: www.translink.ca

More Related Content

What's hot

Columbus Smart City Challenge
Columbus Smart City Challenge Columbus Smart City Challenge
Columbus Smart City Challenge Urban SDK
 
Transportation Summit08 Tom Prendergast
Transportation Summit08 Tom PrendergastTransportation Summit08 Tom Prendergast
Transportation Summit08 Tom PrendergastCrooky
 
The need for a multi-faceted appraisal framework for major public transport i...
The need for a multi-faceted appraisal framework for major public transport i...The need for a multi-faceted appraisal framework for major public transport i...
The need for a multi-faceted appraisal framework for major public transport i...Tristan Wiggill
 
Strategies to Foster a Multimodal Transportation System
Strategies to Foster a Multimodal Transportation SystemStrategies to Foster a Multimodal Transportation System
Strategies to Foster a Multimodal Transportation SystemAASHTO
 
Public Vs Private Transportation Systems
Public Vs Private Transportation SystemsPublic Vs Private Transportation Systems
Public Vs Private Transportation Systemssdeep20
 
Special Remarks José Viegas
Special Remarks José ViegasSpecial Remarks José Viegas
Special Remarks José ViegasOECD Environment
 
6.14 Web Version
6.14 Web Version6.14 Web Version
6.14 Web Versiontransalt
 
TransLink Overview and the Public Consultation Process
TransLink Overview and the Public Consultation ProcessTransLink Overview and the Public Consultation Process
TransLink Overview and the Public Consultation ProcessSouth Fraser Blog
 
Making cities more competitive the economic case for public transport
Making cities more competitive the economic case for public transportMaking cities more competitive the economic case for public transport
Making cities more competitive the economic case for public transportTristan Wiggill
 
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...TheLastMile
 
Alternative BART Fares TRB - Miller Schabas - v7F
Alternative BART Fares TRB - Miller Schabas - v7FAlternative BART Fares TRB - Miller Schabas - v7F
Alternative BART Fares TRB - Miller Schabas - v7FRuth Miller
 
Multimodal in rail development: popularity and reaping benefits
Multimodal in rail development: popularity and reaping benefitsMultimodal in rail development: popularity and reaping benefits
Multimodal in rail development: popularity and reaping benefitsAtkins
 
Urban transportation planning africa
Urban transportation planning  africaUrban transportation planning  africa
Urban transportation planning africaSteven Apell (Ph.D)
 
Encouraging public transport as a feasible option to passenger mobility
Encouraging public transport as a feasible option to passenger mobilityEncouraging public transport as a feasible option to passenger mobility
Encouraging public transport as a feasible option to passenger mobilityTristan Wiggill
 
Transport for Cape Town’s role in encouraging public transport
Transport for Cape Town’s role in encouraging public transportTransport for Cape Town’s role in encouraging public transport
Transport for Cape Town’s role in encouraging public transportTristan Wiggill
 

What's hot (20)

Columbus Smart City Challenge
Columbus Smart City Challenge Columbus Smart City Challenge
Columbus Smart City Challenge
 
Transportation Summit08 Tom Prendergast
Transportation Summit08 Tom PrendergastTransportation Summit08 Tom Prendergast
Transportation Summit08 Tom Prendergast
 
The need for a multi-faceted appraisal framework for major public transport i...
The need for a multi-faceted appraisal framework for major public transport i...The need for a multi-faceted appraisal framework for major public transport i...
The need for a multi-faceted appraisal framework for major public transport i...
 
Strategies to Foster a Multimodal Transportation System
Strategies to Foster a Multimodal Transportation SystemStrategies to Foster a Multimodal Transportation System
Strategies to Foster a Multimodal Transportation System
 
Public Vs Private Transportation Systems
Public Vs Private Transportation SystemsPublic Vs Private Transportation Systems
Public Vs Private Transportation Systems
 
Special Remarks José Viegas
Special Remarks José ViegasSpecial Remarks José Viegas
Special Remarks José Viegas
 
6.14 Web Version
6.14 Web Version6.14 Web Version
6.14 Web Version
 
TransLink Overview and the Public Consultation Process
TransLink Overview and the Public Consultation ProcessTransLink Overview and the Public Consultation Process
TransLink Overview and the Public Consultation Process
 
Making cities more competitive the economic case for public transport
Making cities more competitive the economic case for public transportMaking cities more competitive the economic case for public transport
Making cities more competitive the economic case for public transport
 
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...
Transportation Planning for Car Free Living: The Evolution of Zurich, Switzer...
 
Autonomous vehicles and impact on cities
Autonomous vehicles and impact on citiesAutonomous vehicles and impact on cities
Autonomous vehicles and impact on cities
 
Alternative BART Fares TRB - Miller Schabas - v7F
Alternative BART Fares TRB - Miller Schabas - v7FAlternative BART Fares TRB - Miller Schabas - v7F
Alternative BART Fares TRB - Miller Schabas - v7F
 
Transport Planning Society Manifesto General Election 2015
Transport Planning Society Manifesto General Election 2015Transport Planning Society Manifesto General Election 2015
Transport Planning Society Manifesto General Election 2015
 
Multimodal in rail development: popularity and reaping benefits
Multimodal in rail development: popularity and reaping benefitsMultimodal in rail development: popularity and reaping benefits
Multimodal in rail development: popularity and reaping benefits
 
Urban transportation planning africa
Urban transportation planning  africaUrban transportation planning  africa
Urban transportation planning africa
 
Masters Dissertation Posters 2017
Masters Dissertation Posters 2017Masters Dissertation Posters 2017
Masters Dissertation Posters 2017
 
Frequently asked questions
Frequently asked questionsFrequently asked questions
Frequently asked questions
 
Encouraging public transport as a feasible option to passenger mobility
Encouraging public transport as a feasible option to passenger mobilityEncouraging public transport as a feasible option to passenger mobility
Encouraging public transport as a feasible option to passenger mobility
 
Transport for Cape Town’s role in encouraging public transport
Transport for Cape Town’s role in encouraging public transportTransport for Cape Town’s role in encouraging public transport
Transport for Cape Town’s role in encouraging public transport
 
Masters Dissertation Posters 2014
Masters Dissertation Posters 2014 Masters Dissertation Posters 2014
Masters Dissertation Posters 2014
 

Similar to The Impact of Mobility Pricing in Metro Vancouver

Charging Ahead | Making Road User Pricing Work
Charging Ahead | Making Road User Pricing WorkCharging Ahead | Making Road User Pricing Work
Charging Ahead | Making Road User Pricing WorkTexxi Global
 
Ppp for solving public transport woes in india
Ppp for solving public transport woes in indiaPpp for solving public transport woes in india
Ppp for solving public transport woes in indiaAmit Jain
 
Possibilities for Bus Lane System
Possibilities for Bus Lane SystemPossibilities for Bus Lane System
Possibilities for Bus Lane Systemguestf2886b
 
Bike Sharing for Multi-modal Transit - oBike
Bike Sharing for Multi-modal Transit - oBikeBike Sharing for Multi-modal Transit - oBike
Bike Sharing for Multi-modal Transit - oBikeIan Goh
 
Possibilities For Bus Lane System
Possibilities For Bus Lane SystemPossibilities For Bus Lane System
Possibilities For Bus Lane SystemNaveen Chandra
 
Global Challenge Porjct Report -Coursework of University of Bristol
Global Challenge Porjct Report -Coursework of University of Bristol Global Challenge Porjct Report -Coursework of University of Bristol
Global Challenge Porjct Report -Coursework of University of Bristol ssusera0a3b6
 
Road Pricing And The Reduction...Powerpoint
Road Pricing And The Reduction...PowerpointRoad Pricing And The Reduction...Powerpoint
Road Pricing And The Reduction...PowerpointHayford Adjavor
 
Smart City-Scale Taxi Ridesharing
Smart City-Scale Taxi RidesharingSmart City-Scale Taxi Ridesharing
Smart City-Scale Taxi RidesharingIRJET Journal
 
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docxRAJU852744
 
Future of Urban Mobility
Future of Urban MobilityFuture of Urban Mobility
Future of Urban MobilityBoyd Cohen
 
Smart Connections Policy Brief
Smart Connections Policy BriefSmart Connections Policy Brief
Smart Connections Policy BriefJerel Constantino
 
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...John Crocker
 
foresight-47-congestion-charging-north-america
foresight-47-congestion-charging-north-americaforesight-47-congestion-charging-north-america
foresight-47-congestion-charging-north-americaClark Savolaine
 
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015jjenk
 
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...Smart Commute
 
Benchmarking municipal public transport operators in the netherlands
Benchmarking municipal public transport operators in the netherlandsBenchmarking municipal public transport operators in the netherlands
Benchmarking municipal public transport operators in the netherlandsEric Trel
 
Providing Transportation Choices: The Region of Durham Experience
Providing Transportation Choices: The Region of Durham ExperienceProviding Transportation Choices: The Region of Durham Experience
Providing Transportation Choices: The Region of Durham ExperienceSmart Commute
 
22.02, Group 4 — Concept of sustainable development in built environment
22.02, Group 4 — Concept of sustainable development in built environment22.02, Group 4 — Concept of sustainable development in built environment
22.02, Group 4 — Concept of sustainable development in built environmentWDC_Ukraine
 

Similar to The Impact of Mobility Pricing in Metro Vancouver (20)

Charging Ahead | Making Road User Pricing Work
Charging Ahead | Making Road User Pricing WorkCharging Ahead | Making Road User Pricing Work
Charging Ahead | Making Road User Pricing Work
 
Ppp for solving public transport woes in india
Ppp for solving public transport woes in indiaPpp for solving public transport woes in india
Ppp for solving public transport woes in india
 
Possibilities for Bus Lane System
Possibilities for Bus Lane SystemPossibilities for Bus Lane System
Possibilities for Bus Lane System
 
Bike Sharing for Multi-modal Transit - oBike
Bike Sharing for Multi-modal Transit - oBikeBike Sharing for Multi-modal Transit - oBike
Bike Sharing for Multi-modal Transit - oBike
 
Possibilities For Bus Lane System
Possibilities For Bus Lane SystemPossibilities For Bus Lane System
Possibilities For Bus Lane System
 
Global Challenge Porjct Report -Coursework of University of Bristol
Global Challenge Porjct Report -Coursework of University of Bristol Global Challenge Porjct Report -Coursework of University of Bristol
Global Challenge Porjct Report -Coursework of University of Bristol
 
Road Pricing And The Reduction...Powerpoint
Road Pricing And The Reduction...PowerpointRoad Pricing And The Reduction...Powerpoint
Road Pricing And The Reduction...Powerpoint
 
Smart City-Scale Taxi Ridesharing
Smart City-Scale Taxi RidesharingSmart City-Scale Taxi Ridesharing
Smart City-Scale Taxi Ridesharing
 
Transportasi kota malang
Transportasi kota malangTransportasi kota malang
Transportasi kota malang
 
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx
1Intermodal Autonomous Mobility-on-DemandMauro Salazar1,.docx
 
Future of Urban Mobility
Future of Urban MobilityFuture of Urban Mobility
Future of Urban Mobility
 
Smart Connections Policy Brief
Smart Connections Policy BriefSmart Connections Policy Brief
Smart Connections Policy Brief
 
Get to Work
Get to WorkGet to Work
Get to Work
 
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...
121808 - FINAL Report on the Potential Impact of Regional Transit on Metropol...
 
foresight-47-congestion-charging-north-america
foresight-47-congestion-charging-north-americaforesight-47-congestion-charging-north-america
foresight-47-congestion-charging-north-america
 
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015
Justin jenk theory and practice taxi wars uber_ raktas_case study_march 2015
 
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...
Smart Commute Initiative: Establishment of a Multijurisdictional Workplace-ba...
 
Benchmarking municipal public transport operators in the netherlands
Benchmarking municipal public transport operators in the netherlandsBenchmarking municipal public transport operators in the netherlands
Benchmarking municipal public transport operators in the netherlands
 
Providing Transportation Choices: The Region of Durham Experience
Providing Transportation Choices: The Region of Durham ExperienceProviding Transportation Choices: The Region of Durham Experience
Providing Transportation Choices: The Region of Durham Experience
 
22.02, Group 4 — Concept of sustainable development in built environment
22.02, Group 4 — Concept of sustainable development in built environment22.02, Group 4 — Concept of sustainable development in built environment
22.02, Group 4 — Concept of sustainable development in built environment
 

More from Akash Behl

Helping retailers achieve digital convenience with physical experience
Helping retailers achieve digital convenience with physical experienceHelping retailers achieve digital convenience with physical experience
Helping retailers achieve digital convenience with physical experienceAkash Behl
 
Westlake Lanes : Business Strategy Case Analysis
Westlake Lanes : Business Strategy Case AnalysisWestlake Lanes : Business Strategy Case Analysis
Westlake Lanes : Business Strategy Case AnalysisAkash Behl
 
Chizel - Organisational Culture and Best Practices
Chizel - Organisational Culture and Best Practices Chizel - Organisational Culture and Best Practices
Chizel - Organisational Culture and Best Practices Akash Behl
 
Fighting corruption at Siemens
Fighting corruption at Siemens Fighting corruption at Siemens
Fighting corruption at Siemens Akash Behl
 
Analysis of business model of Alibaba as a multi sided platform
Analysis of business model of Alibaba as a multi sided platform Analysis of business model of Alibaba as a multi sided platform
Analysis of business model of Alibaba as a multi sided platform Akash Behl
 
The dynamic analysis of railway coaches against crash - Akash Behl
The dynamic analysis of railway coaches against crash - Akash BehlThe dynamic analysis of railway coaches against crash - Akash Behl
The dynamic analysis of railway coaches against crash - Akash BehlAkash Behl
 
The Effective Executive | Presentation by Akash Behl
The Effective Executive | Presentation by Akash Behl The Effective Executive | Presentation by Akash Behl
The Effective Executive | Presentation by Akash Behl Akash Behl
 
Differences between NEFT, RTGS & IMPS
Differences between NEFT, RTGS & IMPSDifferences between NEFT, RTGS & IMPS
Differences between NEFT, RTGS & IMPSAkash Behl
 
3D printing in Architecture/ Real Estate_ Chizel Prints
3D printing in Architecture/ Real Estate_ Chizel Prints 3D printing in Architecture/ Real Estate_ Chizel Prints
3D printing in Architecture/ Real Estate_ Chizel Prints Akash Behl
 
design and analysis of heat exchanger
design and analysis of heat exchangerdesign and analysis of heat exchanger
design and analysis of heat exchangerAkash Behl
 

More from Akash Behl (10)

Helping retailers achieve digital convenience with physical experience
Helping retailers achieve digital convenience with physical experienceHelping retailers achieve digital convenience with physical experience
Helping retailers achieve digital convenience with physical experience
 
Westlake Lanes : Business Strategy Case Analysis
Westlake Lanes : Business Strategy Case AnalysisWestlake Lanes : Business Strategy Case Analysis
Westlake Lanes : Business Strategy Case Analysis
 
Chizel - Organisational Culture and Best Practices
Chizel - Organisational Culture and Best Practices Chizel - Organisational Culture and Best Practices
Chizel - Organisational Culture and Best Practices
 
Fighting corruption at Siemens
Fighting corruption at Siemens Fighting corruption at Siemens
Fighting corruption at Siemens
 
Analysis of business model of Alibaba as a multi sided platform
Analysis of business model of Alibaba as a multi sided platform Analysis of business model of Alibaba as a multi sided platform
Analysis of business model of Alibaba as a multi sided platform
 
The dynamic analysis of railway coaches against crash - Akash Behl
The dynamic analysis of railway coaches against crash - Akash BehlThe dynamic analysis of railway coaches against crash - Akash Behl
The dynamic analysis of railway coaches against crash - Akash Behl
 
The Effective Executive | Presentation by Akash Behl
The Effective Executive | Presentation by Akash Behl The Effective Executive | Presentation by Akash Behl
The Effective Executive | Presentation by Akash Behl
 
Differences between NEFT, RTGS & IMPS
Differences between NEFT, RTGS & IMPSDifferences between NEFT, RTGS & IMPS
Differences between NEFT, RTGS & IMPS
 
3D printing in Architecture/ Real Estate_ Chizel Prints
3D printing in Architecture/ Real Estate_ Chizel Prints 3D printing in Architecture/ Real Estate_ Chizel Prints
3D printing in Architecture/ Real Estate_ Chizel Prints
 
design and analysis of heat exchanger
design and analysis of heat exchangerdesign and analysis of heat exchanger
design and analysis of heat exchanger
 

Recently uploaded

Gender and caste discrimination in india
Gender and caste discrimination in indiaGender and caste discrimination in india
Gender and caste discrimination in indiavandanasingh01072003
 
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...Amil baba
 
The AES Investment Code - the go-to counsel for the most well-informed, wise...
The AES Investment Code -  the go-to counsel for the most well-informed, wise...The AES Investment Code -  the go-to counsel for the most well-informed, wise...
The AES Investment Code - the go-to counsel for the most well-informed, wise...AES International
 
Kempen ' UK DB Endgame Paper Apr 24 final3.pdf
Kempen ' UK DB Endgame Paper Apr 24 final3.pdfKempen ' UK DB Endgame Paper Apr 24 final3.pdf
Kempen ' UK DB Endgame Paper Apr 24 final3.pdfHenry Tapper
 
Liquidity Decisions in Financial management
Liquidity Decisions in Financial managementLiquidity Decisions in Financial management
Liquidity Decisions in Financial managementshrutisingh143670
 
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...Amil baba
 
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...Amil baba
 
Market Morning Updates for 16th April 2024
Market Morning Updates for 16th April 2024Market Morning Updates for 16th April 2024
Market Morning Updates for 16th April 2024Devarsh Vakil
 
2024 Q1 Crypto Industry Report | CoinGecko
2024 Q1 Crypto Industry Report | CoinGecko2024 Q1 Crypto Industry Report | CoinGecko
2024 Q1 Crypto Industry Report | CoinGeckoCoinGecko
 
Banking: Commercial and Central Banking.pptx
Banking: Commercial and Central Banking.pptxBanking: Commercial and Central Banking.pptx
Banking: Commercial and Central Banking.pptxANTHONYAKINYOSOYE1
 
Financial Preparation for Millennia.pptx
Financial Preparation for Millennia.pptxFinancial Preparation for Millennia.pptx
Financial Preparation for Millennia.pptxsimon978302
 
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书rnrncn29
 
Money Forward Integrated Report “Forward Map” 2024
Money Forward Integrated Report “Forward Map” 2024Money Forward Integrated Report “Forward Map” 2024
Money Forward Integrated Report “Forward Map” 2024Money Forward
 
PMFBY , Pradhan Mantri Fasal bima yojna
PMFBY , Pradhan Mantri  Fasal bima yojnaPMFBY , Pradhan Mantri  Fasal bima yojna
PMFBY , Pradhan Mantri Fasal bima yojnaDharmendra Kumar
 
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...Amil baba
 
Overview of Inkel Unlisted Shares Price.
Overview of Inkel Unlisted Shares Price.Overview of Inkel Unlisted Shares Price.
Overview of Inkel Unlisted Shares Price.Precize Formely Leadoff
 
Role of Information and technology in banking and finance .pptx
Role of Information and technology in banking and finance .pptxRole of Information and technology in banking and finance .pptx
Role of Information and technology in banking and finance .pptxNarayaniTripathi2
 
INTERNATIONAL TRADE INSTITUTIONS[6].pptx
INTERNATIONAL TRADE INSTITUTIONS[6].pptxINTERNATIONAL TRADE INSTITUTIONS[6].pptx
INTERNATIONAL TRADE INSTITUTIONS[6].pptxaymenkhalfallah23
 
10 QuickBooks Tips 2024 - Globus Finanza.pdf
10 QuickBooks Tips 2024 - Globus Finanza.pdf10 QuickBooks Tips 2024 - Globus Finanza.pdf
10 QuickBooks Tips 2024 - Globus Finanza.pdfglobusfinanza
 
The Inspirational Story of Julio Herrera Velutini - Global Finance Leader
The Inspirational Story of Julio Herrera Velutini - Global Finance LeaderThe Inspirational Story of Julio Herrera Velutini - Global Finance Leader
The Inspirational Story of Julio Herrera Velutini - Global Finance LeaderArianna Varetto
 

Recently uploaded (20)

Gender and caste discrimination in india
Gender and caste discrimination in indiaGender and caste discrimination in india
Gender and caste discrimination in india
 
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...
NO1 Certified Amil Baba In Lahore Kala Jadu In Lahore Best Amil In Lahore Ami...
 
The AES Investment Code - the go-to counsel for the most well-informed, wise...
The AES Investment Code -  the go-to counsel for the most well-informed, wise...The AES Investment Code -  the go-to counsel for the most well-informed, wise...
The AES Investment Code - the go-to counsel for the most well-informed, wise...
 
Kempen ' UK DB Endgame Paper Apr 24 final3.pdf
Kempen ' UK DB Endgame Paper Apr 24 final3.pdfKempen ' UK DB Endgame Paper Apr 24 final3.pdf
Kempen ' UK DB Endgame Paper Apr 24 final3.pdf
 
Liquidity Decisions in Financial management
Liquidity Decisions in Financial managementLiquidity Decisions in Financial management
Liquidity Decisions in Financial management
 
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...
Uae-NO1 Pakistani Amil Baba Real Amil baba In Pakistan Najoomi Baba in Pakist...
 
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...
NO1 Certified Black Magic Removal in Uk kala jadu Specialist kala jadu for Lo...
 
Market Morning Updates for 16th April 2024
Market Morning Updates for 16th April 2024Market Morning Updates for 16th April 2024
Market Morning Updates for 16th April 2024
 
2024 Q1 Crypto Industry Report | CoinGecko
2024 Q1 Crypto Industry Report | CoinGecko2024 Q1 Crypto Industry Report | CoinGecko
2024 Q1 Crypto Industry Report | CoinGecko
 
Banking: Commercial and Central Banking.pptx
Banking: Commercial and Central Banking.pptxBanking: Commercial and Central Banking.pptx
Banking: Commercial and Central Banking.pptx
 
Financial Preparation for Millennia.pptx
Financial Preparation for Millennia.pptxFinancial Preparation for Millennia.pptx
Financial Preparation for Millennia.pptx
 
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书
『澳洲文凭』买科廷大学毕业证书成绩单办理澳洲Curtin文凭学位证书
 
Money Forward Integrated Report “Forward Map” 2024
Money Forward Integrated Report “Forward Map” 2024Money Forward Integrated Report “Forward Map” 2024
Money Forward Integrated Report “Forward Map” 2024
 
PMFBY , Pradhan Mantri Fasal bima yojna
PMFBY , Pradhan Mantri  Fasal bima yojnaPMFBY , Pradhan Mantri  Fasal bima yojna
PMFBY , Pradhan Mantri Fasal bima yojna
 
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...
NO1 Certified Black Magic Specialist Expert In Bahawalpur, Sargodha, Sialkot,...
 
Overview of Inkel Unlisted Shares Price.
Overview of Inkel Unlisted Shares Price.Overview of Inkel Unlisted Shares Price.
Overview of Inkel Unlisted Shares Price.
 
Role of Information and technology in banking and finance .pptx
Role of Information and technology in banking and finance .pptxRole of Information and technology in banking and finance .pptx
Role of Information and technology in banking and finance .pptx
 
INTERNATIONAL TRADE INSTITUTIONS[6].pptx
INTERNATIONAL TRADE INSTITUTIONS[6].pptxINTERNATIONAL TRADE INSTITUTIONS[6].pptx
INTERNATIONAL TRADE INSTITUTIONS[6].pptx
 
10 QuickBooks Tips 2024 - Globus Finanza.pdf
10 QuickBooks Tips 2024 - Globus Finanza.pdf10 QuickBooks Tips 2024 - Globus Finanza.pdf
10 QuickBooks Tips 2024 - Globus Finanza.pdf
 
The Inspirational Story of Julio Herrera Velutini - Global Finance Leader
The Inspirational Story of Julio Herrera Velutini - Global Finance LeaderThe Inspirational Story of Julio Herrera Velutini - Global Finance Leader
The Inspirational Story of Julio Herrera Velutini - Global Finance Leader
 

The Impact of Mobility Pricing in Metro Vancouver

  • 1. AN OVERVIEW OF THE IMPACT OF MOBILITY PRICING IN METRO VANCOUVER 21-09-2018 Akash Behl Inna Ilyantseva Nidhi Pednekar
  • 2. Though Metro Vancouver’s transportation authority has tried to tackle the problem of congestion by utilising conventional measures such as toll pricing, improvement in the public transport system, and entry restrictions on such ride-sharing transport network systems as Uber and Lyft, it has failed to regulate congestion and that calls upon the proposed implementation of different strategies. TransLink, operating within Metro Vancouver, has helped implement a multi-modal transport strategy including such municipal transportation services as Buses, Skytrains, West Coast Express and Seabus. The travel patterns of consumers utilising these public transport facilities are complex and they belong to the lower-middle class population, with 33.33% of all trips are to and from work and the highest number of internal trips are made within Vancouver (75%) (Mobility Pricing Independent Commission, 2018). TransLink utilises a contactless smart card payment system called the Compass Card, processing differently for above mentioned forms of transit modes, with different fares for adults, concessions, and employees of TransLink. (TransLink, 2018) Transportation is a vital part of the ecosystem of any urban or non-urban area. With a growing population, the need for efficient transport systems and effective pricing is significant. One of the issues in Metro Vancouver is the growing population in the city. With people migrating from rural areas to urban or metropolitan areas, the demand for organized, affordable and timely transportation is also growing. The second issue is the increase in the number of vehicles per family because that leads to further congestion and traffic, as well as air pollution. The next issue is the limitations associated with building new infrastructure required to accommodate the growing population. For instance, in North Vancouver, the road networks need to be rebuilt to account for the traffic and prevent congestion. However, this isn’t a palatable option, as more land needs to be bought and more networks to be built, which in the current market is extremely expensive. As for the bridges, widening some of them is structurally not feasible. Rebuilding the bridges is counterproductive and not cost effective as it would result in traffic overflow. To summarize, rebuilding road networks in areas where infrastructure is already set in place is neither realistic nor recommendable. (Richter, 2018)
  • 3. The vicious cycle of a growing population resulting in the need for building new infrastructure, leading to even more congestion, needs to be addressed. Although the demand for transport is high, the supply for the same has yet to catch up. An independent commission is currently considering two options for Metro Vancouver. One is imposing charges on drivers for every kilometer they drive, and the other is tolling congestion points. (Saltman, 2018) Along with fuel prices being at an all-time high and insurance premium rising every year, implementing additional charges would lead to dissatisfaction among the population. Given that the demand for road use is elastic, individuals can choose other “substitute” modes of transportation to avoid congested roads. However, supply for public roads starts out as elastic but changes slope and becomes more and more inelastic as more people are using the roads. To combat this dissonance in supply and demand, the Metro Vancouver Independent Mobility Pricing Commission has proposed two pricing strategies that introduce decongestion pricing, aimed at reducing congestion throughout the target area: Regional Congestion Point Charges and Multi-Zone Distance Based Charges. (See Appendix Figure 2) (TransLink, 2018) Congestion pricing is an efficiency pricing strategy that requires the users to pay more for that public good, thus increasing the welfare gain or net benefit for society. This strategy is somewhat related to the concept of price discrimination, where individuals are charged a different price based on their demand. For example, if one person’s demand for a certain highway is more inelastic than another’s, this person will be willing to pay a higher price for the use of this highway, resulting in the transportation authority withdrawing this customer surplus from the market. Transportation is heavily influenced by public policy in Metro Vancouver, and in Canada in general. All plans presented by TransLink, British Columbia’s organization responsible for public transit, major roads, and bridges, must be approved by Metro Vancouver’s Mayor’s Council consisting of 21 mayors and the Chief of Tsawwassen First Nation. Regional transportation executives often have multiple options to choose from when making decisions on how to improve transportation for the population, and often there is not a clear agreement amongst politicians on which option is better. They consider trade-offs between building or extending subway systems,
  • 4. adding more bus lines, and expanding roads. For example, Metro Vancouver’s politicians regularly debate over building a $3 billion subway extension to UBC as opposed to increasing the frequency of the 99 B line buses that currently service the Broadway/ UBC corridor at a fraction of the cost. Another common suggestion to implement a two-year trial of bus rapid transit - creating bus-only lanes - from Broadway and Commercial westward to UBC. The bus systems could be up and running within a few months, although some claim that due to differing political agendas it is difficult to agree on a certain plan and put it into motion (Roderick, 2018). With regards to a proposal to implement mobility pricing in Vancouver and surrounding areas, there are several factors that would need to be thoroughly assessed by Mayors’ Council and TransLink before any funding can be released. In fact, Vancouver Sun reported that the study alone, which was carried out by an independent commission of consultants, required TransLink to invest over $2 million in just ten months (Saltman, 2018). In evaluating mobility pricing, policy makers must consider how to make the charges fair but profitable for the organization, without causing a public outcry over the new rules. To determine the equilibrium price that can be charged to individuals, the Mobility Pricing Independent Commission employed the economic theory of marginal social cost, which is a cost to society for using the roads. The purpose of examining marginal social cost is to find an equilibrium price for congested road use, where anything above that price will inadvertently cause some people to travel using another route (TransLink, 2018). In Figure 1 (see Appendix) (TransLink, 2018), the original individual demand for road use with no decongestion charges is indicated by point A for a certain amount of traffic congestion. As travel costs rise, the demand for road use is decreased, causing a leftward movement along the demand curve to point B at which the cost to society is optimized (TransLink, 2018). Taking a step back into TransLink’s history, the transportation authority has been known to use what some would consider unconventional methods to fund public transport. For instance, in 2001 TransLink introduced a gas tax to finance the Millennium SkyTrain line, followed by a property tax increase, in addition to hiking fares to help fund transit (Sinoski & Shaw, 2014). In mid-2000s heavy parking taxes were also levied onto the public who in turn protested the decision but could not
  • 5. get TransLink to cut the taxes. In strictly competitive markets, an increase in tax causes the supply curve to shift to the left and equilibrium to move down, however since TransLink can be considered a monopoly within the scope of public transit, adding more taxes will only result in unhappy customers. Given that mobility pricing only affects those users who use the congested roads, it can be argued that mobility pricing should be better received by the public than a blanket increase in taxes. The transportation market of Metro Vancouver is expected to evolve significantly in the next 5-10 years since the technology encompassing different aspects of the system is proposed to be more robust than what it is in the present. (Sotra, 2017) Firstly, Predictive and Real-time Traffic Monitoring using drones could be introduced. These drones will be linked to the central system of decongestion pricing, displaying not only traffic patterns but respective mobility prices based on the then traffic congestion strength. This IOT (Internet of Things) enabled system of drones, pricing structure and vehicles will enable consumers to not only access real-time maps but also help them take an informative decision whether to pursue the same route or change it. Secondly, self-driven vehicles are the future of transport, inclusion of which will not only help reduce commute time but also reduce accidents and minor mishaps which usually lead to hours of traffic jams. (Cheney, 2018). Thirdly, Vehicle to Vehicle (V2V) and Vehicle to Infrastructure (V2I) Technologies are the future of adaptive transport behaviours wherein vehicle can not only communicate with other vehicle in their vicinity but also with traffic lights and weather alert systems to exchange relevant traffic data and accurately predict the path of least traffic. (Sotra, 2017) Building on the concept of Compass Card, the future of payment methods is combining transit fares, parking, decongestion charges, bike and car shares, taxis and services under one Contactless Integrated Mobility Payment System. In addition, there is a huge room for the strategy inclusion of such ride-sharing and ride- hailing transport network companies as Uber and Lyft that will fill the void of cost-effective transportation. It is imperative for the public regulation policies to be such that the additional vehicles do not increase congestion and that calls for such strategic restrictions as cab fare price
  • 6. differentiations for long and short distance customers, such that it favours public transport for short- distance travellers. A substitute good is a good with a positive cross elasticity of demand. So, as the price of the primary product increases, the demand for the substitute product increase. Therefore, if ride hailing companies increase the prices for short-distance routes, the demand for public transportation will automatically increase. Across the world there are examples of successful use of congestion pricing in industries such as electricity, buses and railway. London, Stockholm and Singapore have all implemented mobility pricing within their transportation systems, which has proven to be very cost-effective in shortening travel times and reducing environmental effects. (Lee, 2018) Therefore, mobility pricing can be an effective way of reducing delays, improving travel time reliability and reducing emissions. With rapidly evolving technology there are other viable options that come into play for improving the population’s experience with transportation, so pricing strategies will have to be reviewed regularly to remain relevant.
  • 7. APPENDICES Figure 1: Graph depicting marginal social cost Figure 2: Comparison chart of dominant pricing strategies Evaluation Criteria Regional Congestion Point Charges Multi-zone Distance Based Charges Cost to average household per day 5-8 $ 3-5 $ Congestion 20-25% 20-25% Travel-time Reliability 17-20% 18-23% Capital costs 150-350 M $ 400-700 M$ Average Net Revenues 1-1.5 B$ 1-1.6 B$ Total Net Economic Benefits per year 220-290 M$ 180-350 M$
  • 8. REFERENCES Cheney, P. (2018, May 11). How self-driving cars will ease traffic congestion. Retrieved from www.theglobeandmail.com: https://www.theglobeandmail.com/globe- drive/culture/commuting/how-self-driving-cars-will-ease-traffic- congestion/article15876882/ Kelly Sinoski, R. S. (2014, Febraury 15). Evolution of a transit authority. Vancouver, British Columbia, Canada. Lee, M. (2018, April 30). Mobility pricing in practice: A look at London, Stockholm and Singapore. Retrieved from www.policynote.ca: https://www.policynote.ca/mobility-pricing-in-practice- a-look-at-london-stockholm-and-singapore/ Mobility Pricing Independent Commission. (2018). Metro Vancouver Mobility Pricing Study. Vancouver: Translink. Richter, B. (2018, September 14). How can we escape gridlock's grip?; New plan aims to get North Shore people moving. North Vancouver, British Columbia, Canada. Roderick, L. (2018, September 14). Adding B line buses is better than pricey subway. Burnaby, British Columbia, Canada. Saltman, J. (2018, August 3). Commission spent just over $2 million to study mobility pricing in Metro Vancouver. Vancouver, British Columbia, Canada. Saltman, J. (2018, January 16). Mobility pricing commission considers congestion, distance tolling. Vancouver, British Columbia, Canada. Sotra, M. (2017, November 16). 7 Smart City Solutions to Reduce Traffic Congestion. Retrieved from www.geotab.com: https://www.geotab.com/blog/reduce-traffic-congestion/ TransLink. (2018, September 21). TransLink. Retrieved from www.translink.ca: www.translink.ca