A toll road , also known as a turnpike or tollway , is a public or private road for which a fee (or toll ) is assessed for passage. It is a form of road pricing typically implemented to help recoup the costs of road construction and maintenance .
120-539: Puerto Rico Highway 66 ( PR-66 ) is a main tollway which parallels Puerto Rico Highway 3 going from the city of Carolina, Puerto Rico via a 3 loops cloverleaf interchange with PR-26 and PR-3, a major exit in the form of a Trumpet interchange in Canóvanas, Puerto Rico and ending in the municipality of Río Grande, Puerto Rico with an intersection of PR-3. It is only 19.5 kilometres (12.1 mi) long and has very few exits, which work mainly to minimize traffic in
240-599: A US$ 6 toll from 5 a.m. to 10 a.m. and 3 p.m. to 7 p.m., Monday through Friday. During weekends cars pay US$ 5 . The toll remained at the previous toll of US$ 4 at all other times on weekdays. According to the Bay Area Toll Authority fewer users are driving during the peak hours and more vehicles are crossing the Bay Bridge before and after the 5–10 a.m. period in which the congestion toll goes into effect. The agency also reported that commute delays in
360-423: A fuel economy of at least 45 miles per gallon are eligible to receive a Port Authority Green Pass, which allows for a 50% discount during off-peak hours as compared to the regular full toll. In January 2009, variable tolls were implemented at Sydney Harbour Bridge , two weeks after upgrading to 100% free-flow electronic toll collection . The highest fees are charged during the morning and afternoon peak periods;
480-581: A 40-50 Baht congestion charge for motorists who enter streets in inner Bangkok . The funds would be used to subsidize a 20 Baht fare for all railway lines in Greater Bangkok . The plans were supported by Governor of Bangkok Chadchart Sittipunt , who advocated for an expansion of Bangkok's transit network, including electric train and bus service along with pedestrian infrastructure. Congestion pricing has also been implemented in urban freeways. Between 2004 and 2005, Santiago de Chile implemented
600-605: A cap on the maximum daily tax, while in Singapore the charge is based on a pay-as-you-use principle, and rates are set based on traffic conditions at the pricing points, and reviewed on a quarterly basis. Through this policy, the Land Transport Authority (LTA) reports that the electronic road pricing "has been effective in maintaining an optimal speed range of 45 to 65 km/h for expressways and 20 to 30 km/h for arterial roads". In an effort to improve
720-633: A congested road. The first implementation of such a scheme was Singapore Area Licensing Scheme in 1975, together with a comprehensive package of road pricing measures, stringent car ownership rules and improvements in mass transit. Thanks to technological advances in electronic toll collection , electronic detection, and video surveillance technology, collecting congestion fees has become easier. Singapore upgraded its system in 1998, and similar pricing schemes were implemented in Rome in 2001, London in 2003 with extensions in 2007; Stockholm in 2006, as
840-524: A congestion charge. The Gothenburg congestion tax was implemented in January 2013 and it was modeled after the Stockholm scheme. Singapore and Stockholm charge a congestion fee every time a user crosses the cordon area, while London charges a daily fee for any vehicle driving in a public road within the congestion charge zone, regardless of how many times the user crosses the cordon. Stockholm has put
960-606: A consequence. There are no plans to change the cost. The current toll fees are $ 1.50 and $ 1.00, respectively. This makes this small freeway the second most expensive tollway in the US (excluding bridges and tunnels), after the Dulles Greenway in Virginia in terms of its small length, about 30 cents per mile (19 ¢/km). The result is that PR-66 has low traffic most all the time, including during rush hours. As of December 2011,
1080-425: A cordon area around a city center, with charges for passing the cordon line; area wide congestion pricing, which charges for being inside an area; a city center toll ring, with toll collection surrounding the city; and corridor or single facility congestion pricing, where access to a lane or a facility is priced. Congestion pricing is a concept from market economics regarding the use of pricing mechanisms to charge
1200-602: A flat fee either when they enter or when they exit the toll road. In a variant of the closed toll system, mainline barriers are present at the two endpoints of the toll road, and each interchange has a ramp toll that is paid upon exit or entry. In this case, a motorist pays a flat fee at the ramp toll and another flat fee at the end of the toll road; no ticket is necessary. In addition, with most systems, motorists may pay tolls only with cash or change; debit and credit cards are not accepted. However, some toll roads may have travel plazas with ATMs so motorists can stop and withdraw cash for
1320-464: A general fund by local governments, not being earmarked for transport facilities. This is sometimes limited or prohibited by central government legislation. Also, road congestion pricing schemes have been implemented in a limited number of urban areas as a transportation demand management tool to try to reduce traffic congestion and air pollution . Toll roads have existed for at least the last 2,700 years, as tolls had to be paid by travellers using
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#17327838116661440-527: A majority of 74.4% rejecting the proposal. Councils from across the West Midlands in the United Kingdom, including Birmingham and Coventry , rejected the idea of imposing congestion pricing schemes on the area in 2008, despite promises from central government of transport project funding in exchange for the implementation of a road pricing pilot scheme. In 2007, New York City shelved
1560-423: A marked increase of 34% in non-residential cars visiting the city for an hour or less. Hong Kong conducted a pilot test on an electronic congestion pricing system between 1983 and 1985 with positive results. However, public opposition against this policy stalled its permanent implementation. In 2002 Edinburgh , United Kingdom, initiated an implementation process; a referendum was conducted in 2005, with
1680-587: A means to better manage the demand for the service, and whether to avoid expensive new investments just to satisfy peak demand, or because it is not economically or financially feasible to provide additional capacity to the service. Congestion pricing has been widely used by telephone and electric utilities , metros , railways and autobus services, and has been proposed for charging internet access . It also has been extensively studied and advocated by mainstream transport economists for ports , waterways , airports and road pricing , though actual implementation
1800-482: A price that reflected its cost. Hence, congestion pricing is premised on a basic economic concept: charge a price in order to allocate a scarce resource to its most valuable use, as evidenced by users' willingness to pay for the resource". Practical implementations of road congestion pricing are found almost exclusively in urban areas, because traffic congestion is common in and around city centers. Congestion pricing can be fixed (the same at all times of day and days of
1920-637: A proposal for a three-year pilot program for implementation in Manhattan , and a new proposition was denied in 2008, with potential federal grants of US$ 354 million being reallocated to other American cities. Greater Manchester , United Kingdom, was considering a scheme with two cordons, one covering the main urban core of the Greater Manchester Urban Area and another covering the Manchester city centre . The measure
2040-403: A seven-month trial, and then on a permanent basis. In January 2008 Milan began a one-year trial program called Ecopass , charging low emission standard vehicles and exempting cleaner and alternative fuel vehicles . The Ecopass program was extended until December 31, 2011, and on January 16, 2012, was replaced by Area C , a trial program that converted the scheme from a pollution-charge to
2160-442: A specific infrastructure (e.g. roads, bridges). These concepts were widely used until the last century. However, the evolution in technology made it possible to implement road tolling policies based on different concepts. The different charging concepts are designed to suit different requirements regarding purpose of the charge, charging policy, the network to the charge, tariff class differentiation, et cetera: Some toll roads charge
2280-508: A toll 25% lower applies for the shoulder periods; and a toll lower than the previously existing is charged at nights, weekends, and public holidays. This is Australia 's first road congestion pricing scheme, and has had only a very minor effect on traffic levels, reducing them by 0.19%. In July 2010 congestion tolls were implemented at the San Francisco–Oakland Bay Bridge . The Bay Bridge congestion pricing scheme charges
2400-604: A toll in only one direction. Examples include the Sydney Harbour Bridge , Sydney Harbour Tunnel , and Eastern Distributor (these all charge tolls city-bound) in Australia, in the United States, crossings between Pennsylvania and New Jersey operated by Delaware River Port Authority and crossings between New Jersey and New York operated by Port Authority of New York and New Jersey . This technique
2520-741: A variable rate parking meter system in Chicago plus Metro ExpressLanes in Los Angeles County, which replaced New York City after it left the program in 2008. San Francisco transport authorities began a feasibility study in 2006 to evaluate the introduction of congestion pricing. The charge would be combined with other traffic reduction implementations, allowing money to be raised for public transit improvements and bike and pedestrian enhancements. The initial pricing scenarios were presented in public meetings conducted in December 2008, and
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#17327838116662640-455: Is a consensus among economists that congestion pricing in crowded transportation networks, and subsequent use of the proceeds to lower other taxes, makes the average citizen better off. Economists disagree over how to set tolls, how to cover common costs, what to do with any excess revenues, whether and how "losers" from tolling previously free roads should be compensated, and whether to privatize highways. Four general types of systems are in use:
2760-496: Is a fee or tax paid by users to enter a restricted area, usually within a city center, as part of a demand management strategy to relieve traffic congestion within that area. The economic rationale for this pricing scheme is based on the externalities or social costs of road transport, such as air pollution , noise, traffic accidents , environmental and urban deterioration, and the extra costs and delays imposed by traffic congestion upon other drivers when additional users enter
2880-458: Is called AutoPASS and is part of the joint venture EasyGo . Congestion pricing has also been applied to specific roadways. The first of this kind of specific schemes allowed users of low or single-occupancy vehicles to use a high-occupancy vehicle lanes (HOV) if they pay a toll. This scheme is known as high-occupancy toll lanes (HOT) lanes , and it has been introduced mainly in the United States and Canada . The first practical implementations
3000-456: Is considered a negative externality by economists. An externality occurs when a transaction causes costs or benefits to a third party, often, although not necessarily, from the use of a public good: for example, if manufacturing or transportation cause air pollution imposing costs on others when making use of public air. Congestion pricing is an efficiency pricing strategy that requires the users to pay more for that public good, thus increasing
3120-482: Is expected to allow variable pricing, together with improved overall traffic management, including the provision of information in advance to alert drivers about conditions ahead, and the prices being charged at that moment. In 2010 the Land Transport Authority began exploring the potential of Global Navigation Satellite System as a technological option for a second generation ERP. LTA objective
3240-511: Is no need to take an exit to enter the other expressway, much like PR-18 and PR-52). PR-66 was assigned that number after U.S. Route 66 in the United States. PR-66 is very close to the El Yunque National Forest and at the start of construction there were problems between developers and environmental activists. Several acts of disobedience took place, including removing beams which had already been installed. The expressway
3360-603: Is practical where the detour to avoid the toll is large or the toll differences are small. Traditionally, tolls were paid by hand at a toll gate. Although payments may still be made in cash, it is more common now to pay using an electronic toll collection system. In some places, payment is made using transponders which are affixed to the windscreen. Three systems of toll roads exist: open (with mainline barrier toll plazas ); closed (with entry/exit tolls); and open road (no toll booths, only electronic toll collection gantries at entrances and exits or at strategic locations on
3480-451: Is rather limited due to the controversial issues subject to debate regarding this policy, particularly for urban roads, such as undesirable distribution effects, the disposition of the revenues raised, and the social and political acceptability of the congestion charge. Congestion pricing is one of a number of alternative demand side (as opposed to supply side ) strategies offered by economists to address traffic congestion . Congestion
3600-564: Is the largest ETC system in the U.S., and is used for both fully tolled highways and tolled express lanes. Maryland Route 200 and the Triangle Expressway in North Carolina were the first toll roads built without toll booths, with drivers charged via ETC or by optical license plate recognition and are billed by mail. In addition, many older toll roads are also being upgraded to an all-electronic tolling system, abandoning
3720-594: Is to evaluate if the latest technologies available in the market today are accurate and effective enough for use as a congestion charging tool, especially taking into consideration the dense urban environment in Singapore. Implementation of such system is not expected in the short term. A proposal by former Mayor of London Ken Livingstone would have resulted in a new pricing structure based on potential CO 2 emission rates by October 2008. Livingstone's successor as Mayor of London, Boris Johnson , announced in July 2008 that
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3840-975: The Maine Turnpike in 1947, the Blue Star Turnpike in 1950, the New Jersey Turnpike in 1951, the Garden State Parkway in 1952, the West Virginia Turnpike and New York State Thruway in 1954, the Massachusetts Turnpike in 1957, and the Chicago Skyway and Indiana Toll Road in 1958. Other toll roads were also established around this time. With the establishment of the Interstate Highway System in
3960-714: The Port Authority of New York and New Jersey (PANYNJ) implemented a discount on regular toll fees during off-peak hours for those vehicles paying electronically with an E-ZPass issued in New York State. These discount toll was implemented at several tunnels and bridges connecting New York City and New Jersey , including the George Washington Bridge , Lincoln Tunnel , and Holland Tunnel , and at some other bridges administered by PANYNJ. Since March 2008, qualified low-emission automobiles with
4080-695: The Susa – Babylon highway under the regime of Ashurbanipal , who reigned in the seventh century BC. Aristotle and Pliny refer to tolls in Arabia and other parts of Asia. In India, before the fourth century BC, the Arthashastra notes the use of tolls. Germanic tribes charged tolls to travellers across mountain passes . Most roads were not freely open to travel on in Europe during the Middle Ages, and
4200-556: The United States Congress Joint Economic Committee in 2003: "congestion is considered to arise from the mispricing of a good; namely, highway capacity at a specific place and time. The quantity supplied (measured in lane-miles) is less than the quantity demanded at what is essentially a price of zero. If a good or service is provided free of charge, people tend to demand more of it—and use it more wastefully—than they would if they had to pay
4320-591: The West African kingdom of Dahomey , toll booths were also established with the function of collecting yearly taxes based on the goods carried by the people of Dahomey and their occupation. In some cases, officials imposed fines for public nuisance before allowing people to pass. Industrialisation in Europe needed major improvements to the transport infrastructure which included many new or substantially improved roads, financed from tolls. The A5 road in Britain
4440-503: The toll was one of many feudal fees paid for rights of usage in everyday life. Some major European "highways", such as the Via Regia and Via Imperii , offered protection to travelers in exchange for paying the royal toll. Many modern European roads were originally constructed as toll roads in order to recoup the costs of construction and maintenance, and to generate revenue from passing travelers. In 14th-century England, some of
4560-416: The "closed motorway system" (km travelled) or through the "open motorway system" (flat-rate toll). Given the multiplicity of operators, the toll is only requested when exiting the motorway and not when the motorway operator changes. This system was made possible following article 14 of law 531 of 12 August 1982. From a technical point of view, however, the mixed barrier/free-flow system is active where, at
4680-474: The 19th century. Roads radiating from Toronto required users to pay at toll gates along the street ( Yonge Street , Bloor Street , Davenport Road , Kingston Road ) but the toll gates disappeared after 1895. In the eastern United States of the 18th and 19th century, hundreds of private turnpikes were created to facilitate travel between towns and cities, typically outside built-up areas. 19th-century plank roads were usually operated as toll roads. One of
4800-893: The BOT arrangement, a few of the older toll roads in these states are still operated by public authorities. In France, some toll roads are operated by private or public companies, with specific taxes collected by the state. Road congestion pricing Congestion pricing or congestion charges is a system of surcharging users of public goods that are subject to congestion through excess demand , such as through higher peak charges for use of bus services , electricity , metros , railways , telephones , and road pricing to reduce traffic congestion ; airlines and shipping companies may be charged higher fees for slots at airports and through canals at busy times. Advocates claim this pricing strategy regulates demand, making it possible to manage congestion without increasing supply . According to
4920-528: The BOT methodology for future highway projects. The more traditional means of managing toll roads in the United States is through semi-autonomous public authorities . Kansas , Maryland , Massachusetts , New Hampshire , New Jersey , New York , North Carolina , Ohio , Oklahoma , Pennsylvania , and West Virginia manage their toll roads in this manner. While most of the toll roads in California, Delaware, Florida, Texas, and Virginia are operating under
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5040-693: The Congestion Charge Zone (CCZ). On 8 April 2019, the T-charge was expanded into the Ultra Low Emission Zone (ULEZ). The Ecopass pollution charge ended on December 31, 2011, and was replaced by the Area C scheme, which went into effect on January 16, 2012, initially as an 18-month pilot program. The Area C scheme is a conventional congestion pricing scheme and is based on the same Ecopass geographic area. Vehicles entering
5160-597: The MTA to begin setting toll rates for the proposed congestion zone. Implementation was scheduled for 30 June 2024, but in an announcement by Governor Kathy Hochul on 5 June 2024, the plan was indefinitely postponed. In November 2024, Hochul announced an intent for the toll to go forward with a planned implementation in January 2025, at a reduced rate. In September 2011, local officials announced plans to introduce congestion pricing in Beijing . No details were provided regarding
5280-793: The South to the North. The road connects the southwest of the city, including the Sea Port area, with the Ring Road, Vasilievsky Island, Kurortny district and the Scandinavia motorway. The WHSD is divided into three sections: Southern, Central and Northern. The entire stretch of the WHSD was opened for traffic in 2016. There are 16 toll plazas on the WHSD. Paying toll by transponder is mostly recommended for frequent drivers. The Flow+ toll collection system
5400-464: The U.S. saw large road building projects in major urban areas. Electronic toll collection, first introduced in the 1980s, reduces operating costs by removing toll collectors from roads. Tolled express lanes, by which certain lanes of a freeway are designated "toll only", increases revenue by allowing a free-to-use highway to collect revenue by allowing drivers to bypass traffic jams by paying a toll. The E-ZPass system, compatible with many state systems,
5520-497: The beltways around some larger cities ( tangenziali ) which are not part of a thoroughfare motorway, and the Autostrada A2 between Salerno and Reggio di Calabria which is operated by the government-owned ANAS . Both are toll free. On Italian motorways, the toll applies to almost all motorways not managed by Anas . The collection of motorway tolls, from a tariff point of view, is managed mainly in two ways: either through
5640-766: The brand I-Pass in Illinois ) is accepted on almost all toll roads. Similar systems include SunPass in Florida , FasTrak in California , Good to Go in Washington state , and ExpressToll in Colorado . The systems use a small radio transponder mounted in or on a customer's vehicle to deduct toll fares from a pre-paid account as the vehicle passes through the toll barrier. This reduces manpower at toll booths and increases traffic flow and fuel efficiency by reducing
5760-486: The central area using a toll road, so that the effect is similar to a congestion charge. Though initially intended only to raise revenues to finance road infrastructure, the urban toll ring at Oslo created an unintended congestion pricing effect, as traffic decreased by around 5%. The Trondheim Toll Scheme also has congestion pricing effects, as charges vary by time of day. The Norwegian authorities pursued authorization to implement congestion charges in cities, and legislation
5880-461: The centre of the city tolled. In the United States, as states looked for ways to construct new freeways without federal funding again, to raise revenue for continued road maintenance, and to control congestion, new toll road construction saw significant increases during the first two decades of the 21st century. Spurred on by two innovations, the electronic toll collection system, and the advent of high-occupancy and express lane tolls , many areas of
6000-482: The charges. In December 2015, the Beijing Municipal Commission of Transport announced plans to introduce congestion charges in 2016. According to city's motor vehicle emission control plan 2013–2017, the congestion charge will be a real-time variable pricing scheme based on actual traffic flows and emissions data, and allow the fee to be charged for different vehicles and varying by time of
6120-565: The charging zone each month, and the drivers of these vehicles will pay a reduced £9 daily charge. In November 2012 Transport for London (TfL) presented a proposal to abolish the Greener Vehicle Discount, and the Ultra Low Emission Discount (ULED) went into effect on 1 July 2013, limiting the free access to the congestion charge zone to selected vehicles. There has been criticism because during
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#17327838116666240-484: The charging zone incur a charge of €5 regardless of their pollution level. However, residents inside the area have 40 free entries per year and then a discounted charge of €2 . Electric vehicles , public utility vehicles, police and emergency vehicles, buses and taxis are exempted from the charge. Hybrid electric and bi-fuel natural gas vehicles ( CNG and LPG ) were exempted until January 1, 2013, Exemption has been postponed until December 31, 2016. The scheme
6360-817: The city's environmental and transport departments are working together on a congestion pricing proposal. In January 2012, the federal government of Brazil enacted the Urban Mobility Law that authorizes municipalities to implement congestion pricing to reduce traffic flows. The law also seeks to encourage the use of public transportation and reduce air pollution. According to the law, revenues from congestion charges should be destined exclusively to urban infrastructure for public transportation and non-motorized modes of locomotion (such as walking and cycling ), and to finance public subsidies to transit fares. The law went into effect in April 2013. In April 2012, one of
6480-510: The committees of the São Paulo city council approved a bill to introduce congestion pricing within the same area as the existing road space rationing ( Portuguese : Rodízio veicular ) by the last digit of the license plate, which has been in force 1996. The proposed charge is R$ 4 (~ US$ 2 ) per day and it is expected to reduce traffic by 30% and raise about R$ 2.5 billion (~ US$ 1.25 billion) per year, most of which will be destined to
6600-493: The congested Carolina area of PR-3. The highway is called the Roberto Sánchez Vilella Expressway , which is also the name given to the much larger PR-2 freeway segment from Hormigueros to Ponce. The second phase of PR-66 from Canóvanas to Río Grande was opened on 1 October 2012. PR-66 is, in reality, an extension of older expressway PR-26, as both expressways are attached (that is, there
6720-533: The congestion tax was introduced on Essingeleden motorway . This was the first increase of the tax since it was introduced permanently in 2007. The congestion tax is being introduced at the access and exit ramps of two interchanges on Essingeleden in order to reduce traffic jams in peak periods, and with shorter traffic jams on Essingeleden, the surrounding roads are expected to have shorter tailbacks. The transport agencies involved expected to reduce traffic on Essingeleden by some 10% in peak hours. One week after
6840-483: The context of climate change has recently created greater interest in congestion pricing. Implementation of congestion pricing has reduced congestion in urban areas, reduced pollution, reduced asthma, and increased house values, but has also sparked criticism and public discontent. Critics maintain that congestion pricing is not equitable, places an economic burden on neighboring communities, and adversely affects retail businesses and general economic activity. There
6960-418: The day and for different districts. The Dongcheng and Xicheng are among the districts that are most likely to firstly implement congestion charge. Vehicle emissions account for 31% of the city's smog sources, according to Beijing Environmental Protection Bureau. The local government has implemented already several policies to address air quality and congestion, such as a driving restriction scheme based upon
7080-410: The distance travelled. Motorway barriers are arranged along the route (however not at every junction), at which the user pays a fixed sum, depending only on the class of the vehicle. The user can therefore travel along sections of the motorway without paying any toll as the barriers may not be present on the section travelled. Road tolls were levied traditionally for a specific access (e.g. city) or for
7200-466: The economic theory behind congestion pricing, the objective of this policy is to use the price mechanism to cover the social cost of an activity where users otherwise do not pay for the negative externalities they create (such as driving in a congested area during peak demand). By setting a price on an over-consumed product, congestion pricing encourages the redistribution of the demand in space or in time, leading to more efficient outcomes. Singapore
7320-406: The entrance and exit from the motorways, there are lanes dedicated to the collection of a ticket (on entry) and the delivery of the ticket with simultaneous payment (on exit) and other lanes where, during transit without the need to stop, an electronic toll system present in the vehicles records the data and debits the toll, generally into the bank account previously communicated by the customer, to
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#17327838116667440-642: The event includes the first quarter collected at its toll booths. The first major deployment of an RFID electronic toll collection system in the United States was on the Dallas North Tollway in 1989 by Amtech (see TollTag ). The Amtech RFID technology used on the Dallas North Tollway was originally developed at Sandia Labs for use in tagging and tracking livestock. In the same year, the Telepass active transponder RFID system
7560-578: The expansion of the São Paulo Metro system and bus corridors. The bill still needs approval by two other committees before going for a final vote at the city council. Since 1995, 11 bills have been presented in the city council to introduce congestion pricing. Opinion surveys have shown that the initiative is highly umpopular. A survey by Veja magazine found that 80% of drivers are against congestion pricing, and another survey by Exame magazine found that only 1% of São Paulo's residents support
7680-402: The expenses by introducing a toll. It was followed by Greece, which made users pay for the network of motorways around and between its cities in 1927. Later in the 1950s and 1960s, France, Spain, and Portugal started to build motorways largely with the aid of concessions, allowing rapid development of this infrastructure without massive state debts. Since then, road tolls have been introduced in
7800-635: The feasibility of congestion pricing, organized in late 2017, found that a congestion pricing scheme could benefit New York City. Cuomo's congestion pricing plan was approved in March 2019, though congestion pricing in New York City would not go into effect until 2022 at the earliest. New York City's congestion pricing zone will be the first in North America. The Federal Highway Administration gave its final approval on June 26, 2023, allowing
7920-578: The final study results were announced in November 2010, proposing modified alternatives based on the public's feedbacks, and the updated proposal calls for implementing a six-month to one-year trial in 2015. Governor Andrew Cuomo reintroduced a congestion pricing proposal for New York City in 2017 in response to the New York City Subway 's state of emergency , a proposal that Mayor Bill de Blasio opposed. A commission to investigate
8040-454: The first 100% non-stop urban toll for a freeway passing through a downtown area, charging by the distance traveled. Congestion pricing has been used since 2007 during rush hours in order to maintain reasonable speeds within the city core. Norway pioneered the implementation of electronic urban tolling in the main corridors of Norway's three major cities: Bergen (1986), Oslo (1990), and Trondheim (1991). In Bergen cars can only enter
8160-549: The first US motor roads, the Long Island Motor Parkway (which opened on October 10, 1908) was built by William Kissam Vanderbilt II, the great-grandson of Cornelius Vanderbilt . The road was closed in 1938 when it was taken over by the state of New York in lieu of back taxes. The first toll road in St. Petersburg appeared in the 2000s. The Western High-Speed Diameter (WHSD) is a multilane motorway running from
8280-513: The first built in the world, connecting Milan to Lake Como and Lake Maggiore , and now parts of the Autostrada A8 and Autostrada A9 , was devised by Piero Puricelli and was inaugurated in 1924. Piero Puricelli, a civil engineer and entrepreneur, received the first authorization to build a public-utility fast road in 1921, and completed the construction (one lane in each direction) between 1924 and 1926. Piero Puricelli decided to cover
8400-533: The first system was put in place in Singapore. Also, it was considered by the Smeed Report , published by the British Ministry of Transport in 1964, but its recommendations were rejected by successive British governments. The transport economics rationale for implementing congestion pricing on roads, described as "one policy response to the problem of congestion", was summarized in testimony to
8520-450: The first ten years since the scheme was implemented, gross revenue reached about £2.6 billion, but only £1.2 billion has been invested, meaning that 54% of gross revenues have been spent in operating the system and administrative expenses. A new toxicity charge, known as T-charge was introduced from 23 October 2017. Older and more polluting cars and vans that do not meet Euro 4 standards will have to pay an extra £10 charge within
8640-715: The form of variable tolls by time-of-the-day have also been implemented in bridges and tunnels providing access to the central business districts of several major cities. In most cases there was a toll already in existence. Dynamic pricing is relatively rare compared to variable pricing . One example of dynamic tolling is the Custis Memorial Parkway in the Washington, D.C., metro area, where at times of severe congestion tolls can reach almost US$ 50 . However, on average, round trip prices are much lower: $ 11.88 (2019), $ 5.04 (2020), $ 4.75 (2021). In March 2001,
8760-515: The highest increase took place at the two busiest rush hour periods, 7:30 to 8:29, and 16:00 to 17:29, from SEK 20 to SEK 30. The objective was to steer the traffic towards other times of the day and public transport, and in this way reduce congestion in the Inner City area. Also the maximum amount levied was raised to SEK 105 per day and vehicle. Several cities in Norway have tolled entrances to
8880-467: The highway the first all-automated toll highway in the world. A bill is mailed monthly for usage of the 407. Lower charges are levied on frequent 407 users who carry electronic transponders in their vehicles. The approach has not been without controversy: In 2003 the 407 ETR settled a class action with a refund to users. Throughout most of the East Coast of the United States, E-ZPass (operated under
9000-405: The highway. In some cases, the ticket displays the toll to be paid on exit. Upon exit, the driver must pay the amount listed for the given exit. Should the ticket be lost, a driver must typically pay the maximum amount possible for travel on that highway. Short toll roads with no intermediate entries or exits may have only one toll plaza at one end, with motorists travelling in either direction paying
9120-732: The hybrid systems they adopted during the late 20th century. These include the Massachusetts Turnpike , one of the oldest American toll roads, which went all-electronic in 2016, and the Pennsylvania Turnpike , America's oldest toll freeway, which went all-electronic in 2020, along with the Illinois Tollway , which both accelerated their transitions to such due to the COVID-19 pandemic . Turnpike trusts were established in England and Wales from about 1706 in response to
9240-514: The initiative, while 30% find that extending the metro system is a better solution to reduce traffic congestion. São Paulo's strategic urban development plan "SP 2040", approved in November 2012, proposes the implementation of congestion pricing by 2025, when the density of metro and bus corridors is expected to reach 1.25 km/km . The Plan also requires ample consultation and even a referendum before beginning implementation. In October 2024, Thailand's Ministry of Transport announced plans for
9360-485: The last digits on their license plates. Also a vehicle quota system was introduced in 2011, awarding new car licenses through a lottery, with a ceiling of 6 million units set by the city authority for 2017. In May 2016, the Beijing city legislature announced it will consider to start levying traffic congestion charges by 2020 as part of a package of measures to reform the vehicle quota system. As of June 2016 ,
9480-467: The late 1950s, toll road construction in the U.S. slowed down considerably, as the federal government now provided the bulk of funding to construct new freeways, and regulations required that such Interstate highways be free from tolls. Many older toll roads were added to the Interstate System under a grandfather clause that allowed tolls to continue to be collected on toll roads that predated
9600-470: The magnitude of the congestion charges or the charge zone. The measure was initially proposed in 2010 and was recommended by the World Bank . A similar scheme was proposed for the city Guangzhou , Guangdong province, in early 2010. The city opened a public discussion on whether to introduce congestion charges. An online survey conducted by two local news outlets found that 84.4% of respondents opposed
9720-400: The mainline toll plazas (toll barriers). It is also possible for motorists to enter an 'open toll road' after one toll barrier and exit before the next one, thus travelling on the toll road toll-free. Most open toll roads have ramp tolls or partial access junctions to prevent this practice, known in the U.S. as " shunpiking ". With a closed toll system, vehicles collect a ticket when entering
9840-523: The maintenance and improvement of most of the main roads in England and Wales, which were used to distribute agricultural and industrial goods economically. The tolls were a source of revenue for road building and maintenance, paid for by road users and not from general taxation. The turnpike trusts were gradually abolished from the 1870s. Most trusts improved existing roads, but some new roads, usually only short stretches, were also built. Thomas Telford 's Holyhead road followed Watling Street from London but
9960-542: The majority of the EU member states. In the United States, prior to the introduction of the Interstate Highway System and the large federal grants supplied to states to build it, many states constructed their first freeways by floating bonds backed by toll revenues. The first major fully grade separated toll road was the Pennsylvania Turnpike in 1940. This was followed up by other toll roads, such as
10080-461: The manager of his device. In Italy, this occurs through the Autostrade per l'Italia interchange system. The Autostrada A36 , Autostrada A59 and Autostrada A60 are exclusively free-flow. On these motorways, those who do not have the electronic toll device on board must proceed with the payment by subsequently communicating the data to the motorway manager (by telephone, online or by going to
10200-409: The median of the road). Some toll roads use a combination of the three systems. On an open toll system, all vehicles stop at various locations along the highway to pay a toll. (This is different from "open road tolling", where no vehicles stop to pay a toll.) While this may save money from the lack of need to construct toll booths at every exit, it can cause traffic congestion while traffic queues at
10320-786: The more central urban areas, the first being Bergen in 1986. Starting with Trondheim in 2010, later in Kristiansand, Bergen and Oslo, time differing fees were introduced, so that rush hours (in Oslo 06.30 – 09.00 and 15.00 – 17.00) cost more. The price is (in 2020) typically NOK 28 (€2.37) per passage, but to enter Oslo to the inner city and leave means passing five stations which costs NOK 126 (€10,66). Around Europe several relatively small cities, such as Durham , England; Znojmo , Czech Republic; Riga , Latvia; and Valletta , Malta, have implemented congestion pricing to reduce traffic crowding, parking problems and pollution, particularly during
10440-473: The most heavily used roads were repaired with money raised from tolls by pavage grants. Widespread toll roads sometimes restricted traffic so much, by their high tolls, that they interfered with trade and cheap transportation needed to alleviate local famines or shortages. Tolls were used in the Holy Roman Empire in the 14th and 15th centuries. After significant road construction undertaken by
10560-423: The motorways subject to toll payment must only proceed at a maximum speed of 30 kilometres per hour (20 mph) without the need to stop. The amount is directly proportional to the distance travelled by the vehicle, the coefficient of its class and a variable coefficient from motorway to motorway, called the kilometre rate. Unlike the closed motorway system, in the open system, the road user does not pay based on
10680-549: The need for better roads than the few and poorly-maintained tracks then available. Turnpike trusts were set up by individual Acts of Parliament , with powers to collect road tolls to repay loans for building, improving, and maintaining the principal roads in Britain . At their peak, in the 1830s, over 1,000 trusts administered around 30,000 miles (48,000 km) of turnpike road in England and Wales, taking tolls at almost 8,000 toll-gates. The trusts were ultimately responsible for
10800-409: The need for complete stops to pay tolls at these locations. By designing a toll gate specifically for electronic collection, it is possible to carry out open-road tolling, where the customer does not need to slow at all when passing through the toll gate. The U.S. state of Texas is using a system that has no toll booths. Drivers without a TollTag have their license plate photographed automatically and
10920-412: The new CO 2 charging structure will no longer be implemented. Johnson decided to remove the 2007 Western Extension from the congestion charging zone beginning on January 4, 2011, to increase the basic charge to £10 , and also to introduce an automated payment system called Congestion Charging Auto Pay (CC Auto Pay), which will charge vehicles based on the number of charging days a vehicle travels within
11040-643: The northeastern United States, the InterCounty Connector ( Maryland Route 200 ) was partially opened to traffic in February 2011, and the final segment was completed in November 2014. The first section of another all-electronic toll road, the Triangle Expressway , opened at the beginning of 2012 in North Carolina. Some toll roads are managed under such systems as the Build-Operate-Transfer (BOT) system. Private companies build
11160-399: The offices dedicated to payment). The closed motorway system is applied to most Italian motorways. It requires the driver of the vehicle to collect a special ticket at the entrance to the motorway and pay the amount due upon exit. If equipped with an electronic toll system the two procedures are completely automatic and the driver on the detection lanes located at the entrances and exits from
11280-507: The original interstate system funding. Houston's outer beltway of interconnected toll roads began in 1983, and many states followed over the last two decades of the 20th century adding new toll roads, including the tollway system around Orlando, Florida , Colorado's E-470 , and Georgia State Route 400 . London, in an effort to reduce traffic within the city, instituted the London congestion charge in 2003, effectively making all roads within
11400-431: The peak demand, and that they should pay for the additional congestion they create, thus encouraging the redistribution of the demand in space or in time, or shifting it to the consumption of a substitute public good ; for example, switching from private transport to public transport. This pricing mechanism has been used in several public utilities and public services for setting higher prices during congested periods, as
11520-496: The peak tourism season. Durham introduced charges in October 2002, reducing vehicle traffic by 85% after a year; prior to this 3,000 daily vehicles had shared the streets with 17,000 pedestrians. Valletta has reduced daily vehicles entering the city from 10,000 to 7,900; making 400 readily available parking places in the center. There has been a 60% drop in car stays by non-residents of more than eight hours, but there has been
11640-416: The places where congestion occurs; or introducing a new usage tax or charge when peak demand exceeds available supply in the case of a tax-funded public good provided free at the point of usage. According to the economic theory behind congestion pricing, the objective of this policy is the use of the price mechanism to make users more aware of the costs that they impose upon one another when consuming during
11760-467: The pricing mechanism, and, to introduce real-time variable pricing , Singapore's LTA together with IBM , ran a pilot from December 2006 to April 2007, with a traffic estimation and prediction tool (TrEPS), which uses historical traffic data and real-time feeds with flow conditions from several sources, in order to predict the levels of congestion up to an hour in advance. By accurately estimating prevailing and emerging traffic conditions, this technology
11880-576: The registered owner will receive a monthly bill, at a higher rate than those vehicles with TollTags. A similar variation of automatic collection is the Toll Roads in Orange County, CA, US, wherein all entry or collection points are equipped with high-speed cameras which read license plates and users will have 7 calendar days to pay online using their plate number or else set up an account for automatic debits. The first all-electronic toll road in
12000-647: The roads and are given a limited franchise. Ownership is transferred to the government when the franchise expires. This type of arrangement is prevalent in Australia, Canada, Hong Kong, Indonesia, India, South Korea, Japan, and the Philippines . The BOT system is a fairly new concept that is becoming more popular in the United States, with California , Delaware , Florida , Illinois , Indiana , Mississippi , Texas , and Virginia already building and operating toll roads under this scheme. Pennsylvania , Massachusetts , New Jersey , and Tennessee are also considering
12120-842: The scheme was overwhelmingly rejected by 10 out of 10 councils by a public referendum. In August 2007, the United States Department of Transportation selected five metropolitan areas to initiate congestion pricing demonstration projects under the Urban Partnerships Congestion Initiative , for US$ 1 billion of federal funding. The five projects under this initiative are Golden Gate Bridge in San Francisco , State Route 520 serving downtown Seattle and communities to its east, Interstate 95 between Miami and Ft. Lauderdale , Interstate 35W serving downtown Minneapolis , and
12240-569: The system. Some of these such as the Connecticut Turnpike and the Richmond–Petersburg Turnpike later removed their tolls when the initial bonds were paid off. Many states, however, have maintained the tolling of these roads as a consistent source of revenue. As the Interstate Highway System approached completion during the 1980s, states began constructing toll roads again to provide new freeways which were not part of
12360-455: The tax began to be charged, traffic on the motorway had decreased by 22% compared to a normal day in mid-December. The tax increase was implemented not only to improve accessibility and the environment, but also to help develop the infrastructure. The additional funds will contribute to finance the extension of the Stockholm metro . As the Stockholm congestion tax varies by time of the day,
12480-631: The toll must be paid by pre-paid AutoExpreso. Toll road Toll roads have existed in some form since antiquity , with tolls levied on passing travelers on foot, wagon, or horseback; a practice that continued with the automobile, and many modern tollways charge fees for motor vehicles exclusively. The amount of the toll usually varies by vehicle type, weight, or number of axles , with freight trucks often charged higher rates than cars. Tolls are often collected at toll plazas, toll booths , toll houses , toll stations, toll bars, toll barriers, or toll gates. Some toll collection points are automatic, and
12600-515: The toll, and the cost of the toll booth operators—up to about one-third of revenue in some cases. Automated toll-paying systems help minimise both of these. Others object to paying "twice" for the same road, namely in fuel taxes and in tolls. In addition to toll roads, toll bridges and toll tunnels are also used by public authorities to generate funds to repay the cost of building the structures. Some tolls are set aside to pay for future maintenance or enhancement of infrastructure, or are applied as
12720-597: The tolls. The toll is calculated by the distance travelled on the toll road or the specific exit chosen. In the United States, for instance, the Kansas Turnpike , Ohio Turnpike , New Jersey Turnpike , most of the Indiana Toll Road , New York State Thruway , and Florida's Turnpike currently implement closed systems. The Union Toll Plaza on the Garden State Parkway was the first ever to use an automated toll collection machine. A plaque commemorating
12840-425: The user deposits money in a machine which opens the gate once the correct toll has been paid. To cut costs and minimise time delay, many tolls are collected with electronic toll collection equipment which automatically communicates with a toll payer's transponder or uses automatic number-plate recognition to charge drivers by debiting their accounts. Criticisms of toll roads include the time taken to stop and pay
12960-426: The users of public goods for the negative externalities generated by the peak demand in excess of available supply. Its economic rationale is that, at a price of zero, demand exceeds supply, causing a shortage , and that the shortage should be corrected by charging the equilibrium price rather than shifting it down by increasing the supply. Usually this means increasing prices during certain periods of time or at
13080-435: The week), variable (set in advance to be higher at typically high-traffic times), or dynamic (varying according to actual conditions). As congestion pricing has been increasing worldwide, the schemes implemented have been classified into four different types: cordon area around a city center; area wide congestion pricing; city center toll ring; and corridor or single facility congestion pricing. Cordon area congestion pricing
13200-433: The welfare gain or net benefit for society. Nobel-laureate William Vickrey is considered by some to be the father of congestion pricing, as he first proposed adding a distance- or time-based fare system for the New York City Subway in 1952. In the road transportation arena these theories were extended by Maurice Allais , Gabriel Roth who was instrumental in the first designs and upon whose World Bank recommendation
13320-730: Was California 's private toll 91 Express Lanes , in Orange County in 1995, followed in 1996 by Interstate 15 in San Diego . There has been controversy over this concept, and HOT schemes have been called " Lexus " lanes, as critics see this new pricing scheme as a perk to the rich. According to the Texas A&;M Transportation Institute , by 2012 there were in the United States 722 corridor-miles of HOV lanes, 294 corridor-miles of HOT/Express lanes and 163 corridor-miles of HOT/Express lanes under construction. Congestion pricing in
13440-644: Was approved by Parliament in 2001. In October 2011 the Norwegian government announced the introduction of rules allowing congestion charging in cities. The measure is intended to cut greenhouse gas and air pollutant emissions, and relief traffic congestion. As of November 2015 , Norwegian authorities have implemented urban charging schemes that operates both on the motorways and for access into downtown areas in five additional cities or municipalities: Haugesund , Kristiansand , Namsos , Stavanger , and Tønsberg . The Norwegian electronic toll collection system
13560-457: Was built to provide a robust transport link between Britain and Ireland and had a toll house every few miles. In the 20th century, road tolls were introduced in Europe to finance the construction of motorway networks and specific transport infrastructure such as bridges and tunnels. Italy was the first country in the world to build motorways reserved for fast traffic and for motor vehicles only. The Autostrada dei Laghi ("Lakes Motorway"),
13680-809: Was exceptional in creating a largely new route beyond Shrewsbury , and especially beyond Llangollen . Built in the early 19th century, with many toll booths along its length, most of it is now the A5 . In the modern day, one major toll road is the M6 Toll , relieving traffic congestion on the M6 in Birmingham. A few notable bridges and tunnels continue as toll roads including the Dartford Crossing and Mersey Gateway bridge. Some cities in Canada had toll roads in
13800-451: Was implemented on the WHSD. The system was designed for automatic calculation of the driving distance of a vehicle equipped with a transponder. The system does not require constructing toll plazas at each entrance to or exit from the highway. Transponders mounted on vehicles are read by signal receivers installed at the entrance and exit ramps. In Italy the only toll roads are the autostrade (Italian for motorways ). Major exceptions are
13920-416: Was introduced across Italy. Several US states now use mobile tolling platforms to facilitate use of payment via smartphones. Highway 407 in the province of Ontario , Canada, has no toll booths, and instead reads a transponder mounted on the windshields of each vehicle using the road (the rear licence plates of vehicles lacking a transponder are photographed when they enter and exit the highway). This made
14040-437: Was made permanent in March 2013. All net earnings from Area C are invested to promote sustainable mobility and policies to reduce air pollution , including the redevelopment, protection and development of public transport , "soft mobility" (pedestrians, cycling , Zone 30 ) and systems to rationalize the distribution of goods. On 1 January 2016, congestion taxes were increased in the inner-city parts of Stockholm , and also
14160-426: Was planned to be extended to Fajardo but due to the close presence of the forest reserve, it was accorded to be extended to Río Grande and connect to PR-3 which has several exits between that municipality and Fajardo. It is possible PR-3 will be converted into a complete freeway, in that segment, as it approaches PR-53. The short expressway is very expensive in terms of toll fees and many people still go through PR-3 as
14280-439: Was supported by the government, but three local authorities rejected it ( Bury , Trafford and Stockport ); the support of two-thirds of Manchester's 10 local councils was needed for it to be implemented. A comprehensive transport investment package for Manchester, which included the congestion pricing element, was released for further public consultation and was to be subject of a referendum in December 2008. On 12 December 2008
14400-524: Was the first country to introduce congestion pricing on its urban roads in 1975 , and was refined in 1998 . Since then, it has been implemented in cities such as London , Stockholm , Milan , and Gothenburg . It has also been proposed in San Francisco , and was supposed to be implemented in New York City in June 2024. Greater awareness of the harms of pollution and emissions of greenhouse gases in
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