Cost Benefit Analysis Using Benefit Incidence Table for a Transport Policy with Pricing-The Case of the London Road Pricing Scheme

Utilisation d'un tableau d'incidence des avantages pour analyser les couts/avantages d'une politique tarifaire en transport-Cas du peage routier a Londres

The authors examine an evaluation method including road pricing that can be used as part of a transportation policy package, with London pricing scheme applications. Making a benefit incidence table (BIT), in which the benefit/cost origin, transfer and incidence is expressed for each impact(s) category and affected agent, is involved in the evaluation methodology. This enables evaluation of both the efficiency of the overall scheme and the distribution issue, key to the equity issue, thus being acceptable (Morisugi and Ohno, 1992, 1995; Morisugi, Ohno and Miyagi, 1993). The authors conclude that in this study using the BIT to consistently express net benefit distribution across economic sectors (affected agents), which straightforwardly relates with public acceptability and the equity issues. Since the BIT expresses each benefit/cost item's origin, transfer, and incidence for each affected agent within the economic equilibrium framework. The net disbenefit of car users was shown to be quite small due to the large congestion relief that almost compensates for the charge payment while net gains are enjoyed by the implementing agency (TfL) and bus users, through the London road pricing scheme BIT construction on the TfL's CBA report basis. Bus service improvements encouraging many users of cars to switch to buses is also worked out by this result. Finally, explanation of high public acceptance may be made, in comparison to many cases of pricing opposition by car users who suffer a big loss.


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  • Accession Number: 01055408
  • Record Type: Publication
  • Files: TRIS, ATRI
  • Created Date: Aug 16 2007 11:46AM