Road charging regressive on poorer households

A study in Madrid, Spain has shown that road pricing and tolls have a large impact on low income households. A planned road pricing scheme on the M40 highway around Madrid would reduce traffic volume, but would result in a 17% increase in travel costs for poorer households, while costs for travelers living in more wealthy neighborhoods would only increase by 8%. The road pricing scheme would also hinder the unemployed from getting jobs outside their neighborhoods due to the high cost of travel. Many travelers in the region have limited alternatives, which is part of the cause of congestion on the M40 in the first place. The lead researcher for the study recommends that policy makers take potential negative social equity effects into account when planning for road pricing schemes.

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  • English

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  • Accession Number: 01528929
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Jun 22 2014 12:58AM