Intervention Policies for Private Car Ownership in Megacities of Developing Countries: Choices and Implications from Mainland China

With rapid growth in urbanization and motorization, many Chinese megacities are suffering severe traffic congestion and air pollution. To alleviate this worsening situation, some megacities in China have implemented a license quota system (an intervention) to limit car ownership. In this paper, different license allocation schemes are presented: the lottery system in Beijing, the auction system in Shanghai, and the hybrid system in Guangzhou. The practices in Chinese cities are compared with those in Singapore and Hong Kong, China, which provide representative examples of car ownership interventions throughout the world. In addition, the possible impacts and problems of these three types of allocation methods are analyzed. The result shows that intervention policies play a significant role in controlling rapid motorization in megacities that are experiencing a transformation from low to middle-high income. Even though the restraints cannot resolve traffic congestion, the restraints slow the motorization process and provide longer time for development of high-quality public transit systems. Moreover, both fairness and effectiveness should be taken into account when strong administrative interventions are being implemented. The auction system would result in an unacceptably high bidding price, while the lottery system might stimulate unnecessary demand and provide incentives for people to purchase a car before the lottery. Therefore, the hybrid system of an auction combined with a lottery seems to be a better choice. In addition, complementary policies that restrain car usage and improve door-to-door public transit are strongly recommended in the long run.

Language

  • English

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 01515444
  • Record Type: Publication
  • ISBN: 9780309295437
  • Report/Paper Numbers: 14-4100
  • Files: TRIS, TRB, ATRI
  • Created Date: Feb 24 2014 8:42AM