WHY ROAD PRICING IN AUSTRALIA? CONTRASTS WITH INTERNATIONAL EXPERIENCE

The focus of this paper is on road pricing simply for demand management purposes (as distinct from the funding of road construction). Recognising that road pricing is difficult to justify to voters, the paper contrasts the contexts of Australian cities and cities internationally where road pricing is under consideration or has been implemented (in respect of factors like population density, levels of congestion, price of transport etc). Drawing on the results of road pricing studies in New Zealand, Australia and Europe, the paper considers the distribution of the benefits and disbenefits of road pricing and how this is likely to link with voter reaction. It also considers the economic and planning efficiency (and inefficiency) of practical road pricing mechanisms, the beneficial outcomes and those less easy to predict. It will also consider alternative, and arguably easier to implement, forms of restraint, and the evidence for their effective implementation in Australian cities. (a) For the covering entry of this conference, please see ITRD abstract no. E202540.