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Evaluating strategic freight transport corridors including external costs

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  • Luis Márquez
  • Víctor Cantillo

Abstract

A relevant issue for the strategic modeling of interregional freight transport networks is to include external costs as part of a policy that supports the mechanisms for managing and pricing to achieve the social optimum. In this paper, a freight transport model, including external cost, is developed and applied to the Colombian intercity intermodal strategic network involving equilibrium between the phases of distribution and traffic assignment. Each link on the network includes internal costs: time and operation, and external costs: congestion, accidents, air pollution and CO 2 emissions. Marginal costs on the freight transport network are calculated using two approaches. First, it is assumed that an additional unit of demand does not affect the equilibrium of the transport network, and then the marginal cost is estimated as the sum of marginal costs on the shortest path links. The second approach assumes that an additional unit of demand changes the network equilibrium and, consequently, the marginal costs are estimated by calculating the difference between the two equilibrium scenarios. Both approaches are applied to seven selected route corridors covering the most important national freight transport corridors. It was found that both methods produce similar results. Average external costs were rated equal to 0.014 US$/ton-km for highways, 0.000105 US$/ton-km for inland waterway transport and 0.0016 US$/ton-km for rail. In highways, external costs are equivalent to 37% of internal costs, in railways 12%, and in inland waterways they represent only 1%.

Suggested Citation

  • Luis Márquez & Víctor Cantillo, 2013. "Evaluating strategic freight transport corridors including external costs," Transportation Planning and Technology, Taylor & Francis Journals, vol. 36(6), pages 529-546, August.
  • Handle: RePEc:taf:transp:v:36:y:2013:i:6:p:529-546
    DOI: 10.1080/03081060.2013.830892
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    Cited by:

    1. Florian Hofbauer & Lisa-Maria Putz, 2020. "External Costs in Inland Waterway Transport: An Analysis of External Cost Categories and Calculation Methods," Sustainability, MDPI, vol. 12(14), pages 1-19, July.
    2. Demir, Emrah & Huang, Yuan & Scholts, Sebastiaan & Van Woensel, Tom, 2015. "A selected review on the negative externalities of the freight transportation: Modeling and pricing," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 77(C), pages 95-114.
    3. Vega, Laura & Cantillo, Víctor & Arellana, Julián, 2019. "Assessing the impact of major infrastructure projects on port choice decision: The Colombian case," Transportation Research Part A: Policy and Practice, Elsevier, vol. 120(C), pages 132-148.
    4. Victor Cantillo & Luis F. Macea & Miguel Jaller, 2019. "Assessing Vulnerability of Transportation Networks for Disaster Response Operations," Networks and Spatial Economics, Springer, vol. 19(1), pages 243-273, March.
    5. Márquez, Luis & Cantillo, Víctor & Arellana, Julián, 2014. "How are comfort and safety perceived by inland waterway transport passengers?," Transport Policy, Elsevier, vol. 36(C), pages 46-52.
    6. Cristea Viorela-Georgiana & Dragan Cristian & Berescu Serban, 2014. "The impact of external costs in transport. Case study in maritime transport," Constanta Maritime University Annals, Constanta Maritime University, vol. 21(1), pages 165-168.

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