Road pricing in Europe and its policy implications for Korea

Road pricing has attracted much attention and has become a major issue of debate in European transportation. After the establishment of the European Union (EU) in the early 1990s, the EU has recognized the necessity for a concerted effort to solve worsening transportation problems that include traffic congestion, accidents, prolong travel times, and the negative impact of transportation as a whole on the environment. This awakening has led to a change of approach to the use of roads, that is, the emergence of road pricing based on ‘polluter pays’ principle. This study first examines two EU road pricing cases by focusing on the London’s Congestion Charge Scheme (LCCS) and the Germany’s Heavy Goods Vehicles (HGVs) Charges, in order to draw policy implications for South Korea, a country in which roads are generally construed as public property and thus are provided for free and open to all with the exception of motorways. After discussing recent efforts by the South Korean government concerning road pricing, this paper explores key preconditions and possible solutions for EU-type road pricing schemes to be successfully implemented in South Korea.