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Congestion pricing acceptability among commuters: An Indian perspective

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  • Marazi, Naveed Farooz
  • Majumdar, Bandhan Bandhu
  • Sahu, Prasanta K.
  • Potoglou, Dimitris

Abstract

Congestion pricing can be an efficient instrument to internalize the congestion externality and reduce traffic-related problems. However, commuters' acceptability, especially commuters' acceptability, is often a barrier that prevents its implementation. The acceptability of congestion pricing by Asian commuters has not been studied much, except for the cases of Singapore and Hong Kong. In the present study, a comprehensive approach to identify the key attributes affecting the acceptability of congestion pricing by Indian commuters was used. A survey was carried out at major shopping areas and workplaces in Hyderabad, India's fastest-growing city. Using binary logit and ordered probit models, the survey data were analyzed to identify the key attributes influencing commuters' acceptability of congestion pricing. Results indicate that higher income and education were associated with a higher likelihood of accepting congestion pricing. Age was also found to have a positive association with congestion pricing acceptability. Reduction in travel time and increased public transport satisfaction were found to be the two major perceived benefits (motivators) associated with congestion pricing. Based on the findings, the policy recommendation is that the generated revenue from congestion pricing is used to improve the public transport infrastructure and safety standards of the urban road network.

Suggested Citation

  • Marazi, Naveed Farooz & Majumdar, Bandhan Bandhu & Sahu, Prasanta K. & Potoglou, Dimitris, 2022. "Congestion pricing acceptability among commuters: An Indian perspective," Research in Transportation Economics, Elsevier, vol. 95(C).
    • Handle: RePEc:eee:retrec:v:95:y:2022:i:c:s0739885922000038
    DOI: 10.1016/j.retrec.2022.101180
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    More about this item

    Keywords

    Congestion pricing; Road pricing; Commuters' acceptability; Binary logit; Ordered probit; Traffic congestion;
    All these keywords.

    JEL classification:

    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy

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