CONGESTION PRICING: IMPLEMENTATION CONSIDERATIONS

Abstract

The concept of congestion pricing entails prices for road use set by mode or time of day in relation to variation in the congestion problem. For example, prices are highest when congestion is worst, and they are reduced or eliminated off peak. Or, prices for solo drivers are set higher than carpoolers, with transit provided free access. Congestion pricing may be imposed by toll booths, electronic devices such as automatic vehicle identification (AVI), or special permits. With AVI, each vehicle is fitted with an electronic tag carrying either a unique identifier or a prepaid debit card worth a certain dollar amount. Roadside electronic interrogators administer the road user charges. One reason for interest in congestion pricing is the Intermodal Surface Transportation Efficiency Act (ISTEA) of 1991, which provides funding for up to five congestion pricing pilot programs involving state and local governments. Eligible pilot projects can involve single facilities, such as a bridge, tunnel, highway, arterial, freeway or intersection, or broader projects covering a corridor or areawide system.

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