IDEAS home Printed from https://ideas.repec.org/a/eee/transa/v105y2017icp79-94.html
   My bibliography  Save this article

Road to price: User perspectives on road pricing in transition country

Author

Listed:
  • Glavic, Drazenko
  • Milos, Mladenovic
  • Luttinen, Tapio
  • Cicevic, Svetlana
  • Trifunovic, Aleksandar

Abstract

Bosnia and Herzegovina (BiH), a country in transition, is currently implementing motorway pricing schemes due to the financial constraints. Considering the importance of user perspectives for a successful implementation of a road pricing scheme, and a lack of research in the South East Europe (SEE), drivers in BiH were surveyed. Total sample includes 15,321 respondents. Results indicate that 19% of respondents are unwilling to pay for road pricing, including a low average estimate for road tolls. In addition, the results provide comprehensive analysis of willingness-to-pay and willingness-to-accept, accounting for day of the week, vehicle origin, trip purpose, roadway use frequency, and income. The results are further interpreted in the context of a transition country, with high percentage of low income citizens, and lack of trust in public institutions. Planners can use the findings to determine the road toll price by relying on both willingness-to-pay and willingness-to-accept values, while also aiming for financial sustainability. In order to provide recommendations for planning and policy learning in SEE, discussion provides recommendations for further analysis that should account for both economic and socio-political aspects. Recommendations include questions such as how should the burden of charges be allocated, how should the toll revenue be used, and what actions planners and politicians should take.

Suggested Citation

  • Glavic, Drazenko & Milos, Mladenovic & Luttinen, Tapio & Cicevic, Svetlana & Trifunovic, Aleksandar, 2017. "Road to price: User perspectives on road pricing in transition country," Transportation Research Part A: Policy and Practice, Elsevier, vol. 105(C), pages 79-94.
  • Handle: RePEc:eee:transa:v:105:y:2017:i:c:p:79-94
    DOI: 10.1016/j.tra.2017.08.016
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0965856416305638
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.tra.2017.08.016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Roberto Belloni, 2001. "Civil Society and Peacebuilding in Bosnia and Herzegovina," Journal of Peace Research, Peace Research Institute Oslo, vol. 38(2), pages 163-180, March.
    2. Elvik, Rune, 2013. "Paradoxes of rationality in road safety policy," Research in Transportation Economics, Elsevier, vol. 43(1), pages 62-70.
    3. Langmyhr, Tore, 1997. "Managing equity : The case of road pricing," Transport Policy, Elsevier, vol. 4(1), pages 25-39, January.
    4. Lam, Terence C. & Small, Kenneth A., 2003. "The Value of Time and Reliability: Measurement from a Value Pricing Experiment," University of California Transportation Center, Working Papers qt47s4z7z5, University of California Transportation Center.
    5. Brownstone, David & Ghosh, Arindam & Kazimi, Camilla & Van Amelsfort, Dirk, 2002. "Drivers' Willingness-to-Pay to Reduce Travel Time: Evidence from the San Diego I-15 Congestion Pricing Project," University of California Transportation Center, Working Papers qt8q7331mz, University of California Transportation Center.
    6. Yusuf, Juita-Elena (Wie) & O’Connell, Lenahan & Anuar, Khairul A., 2014. "For whom the tunnel be tolled: A four-factor model for explaining willingness-to-pay tolls," Transportation Research Part A: Policy and Practice, Elsevier, vol. 59(C), pages 13-21.
    7. Pahaut, Serge & Sikow, Catharina, 2006. "History of thought and prospects for road pricing," Transport Policy, Elsevier, vol. 13(2), pages 173-176, March.
    8. Vonk Noordegraaf, Diana & Annema, Jan Anne & van Wee, Bert, 2014. "Policy implementation lessons from six road pricing cases," Transportation Research Part A: Policy and Practice, Elsevier, vol. 59(C), pages 172-191.
    9. Brownstone, David & Ghosh, Arindam & Golob, Thomas F & Kazimi, Camilla & Van Amelsfort, Dirk, 2002. "Drivers' Willingness-to-Pay to Reduce Travel Time: Evidence from the San Diego I-15 Congestion Pricing Project," University of California Transportation Center, Working Papers qt3mx1d1k4, University of California Transportation Center.
    10. Hensher, David A. & Puckett, Sean M., 2005. "Road user charging: The global relevance of recent developments in the United Kingdom," Transport Policy, Elsevier, vol. 12(5), pages 377-383, September.
    11. Rothengatter, Werner, 2003. "How good is first best? Marginal cost and other pricing principles for user charging in transport," Transport Policy, Elsevier, vol. 10(2), pages 121-130, April.
    12. Li, Zheng & Hensher, David A. & Rose, John M., 2010. "Willingness to pay for travel time reliability in passenger transport: A review and some new empirical evidence," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 46(3), pages 384-403, May.
    13. Harrington, Winston & Krupnick, Alan J. & Alberini, Anna, 2001. "Overcoming public aversion to congestion pricing," Transportation Research Part A: Policy and Practice, Elsevier, vol. 35(2), pages 87-105, February.
    14. Margaret Grieco & Peter M. Jones, 1994. "A Change in the Policy Climate? Current European Perspectives on Road Pricing," Urban Studies, Urban Studies Journal Limited, vol. 31(9), pages 1517-1532, November.
    15. Rouhani, Omid M. & Oliver Gao, H. & Richard Geddes, R., 2015. "Policy lessons for regulating public–private partnership tolling schemes in urban environments," Transport Policy, Elsevier, vol. 41(C), pages 68-79.
    16. Calfee, John & Winston, Clifford, 1998. "The value of automobile travel time: implications for congestion policy," Journal of Public Economics, Elsevier, vol. 69(1), pages 83-102, July.
    17. Ison, S., 2000. "Local authority and academic attitudes to urban road pricing: a UK perspective," Transport Policy, Elsevier, vol. 7(4), pages 269-277, October.
    18. Tore Langmyhr, 1999. "Understanding innovation: The case of road pricing," Transport Reviews, Taylor & Francis Journals, vol. 19(3), pages 255-271, January.
    19. Lam, Terence C. & Small, Kenneth A., 0. "The value of time and reliability: measurement from a value pricing experiment," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 37(2-3), pages 231-251, April.
    20. S. Jaensirisak & M. Wardman & A. D. May, 2005. "Explaining Variations in Public Acceptability of Road Pricing Schemes," Journal of Transport Economics and Policy, University of Bath, vol. 39(2), pages 127-154, May.
    21. Deakin, Elizabeth & Harvey, Greig & Pozdena, Randall & Yarema, Geoffrey, 1996. "Transportation Pricing Strategies for California: An Assessment of Congestion, Emissions, Energy. And Equity Impacts," University of California Transportation Center, Working Papers qt723002kt, University of California Transportation Center.
    22. Jakobsson, C. & Fujii, S. & Gärling, T., 2000. "Determinants of private car users' acceptance of road pricing," Transport Policy, Elsevier, vol. 7(2), pages 153-158, April.
    23. Kockelman, Kara M. & Kalmanje, Sukumar, 2005. "Credit-based congestion pricing: a policy proposal and the public's response," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(7-9), pages 671-690.
    24. Chorus, Caspar G. & Annema, Jan Anne & Mouter, Niek & van Wee, Bert, 2011. "Modeling politicians' preferences for road pricing policies: A regret-based and utilitarian perspective," Transport Policy, Elsevier, vol. 18(6), pages 856-861, November.
    25. Small, Kenneth A., 2001. "The Value of Pricing," University of California Transportation Center, Working Papers qt0rm449sx, University of California Transportation Center.
    26. Tomasz Komornicki, 2003. "Factors of development of car ownership in Poland," Transport Reviews, Taylor & Francis Journals, vol. 23(4), pages 413-431, July.
    27. Emile Quinet & Roger Vickerman, 2004. "Principles of Transport Economics," Books, Edward Elgar Publishing, number 2581.
    28. Brenck, Andreas & Beckers, Thorsten & Heinrich, Maria & von Hirschhausen, Christian, 2005. "Public-private partnerships in new EU member countries of Central and Eastern Europe: An economic analysis with case studies from the highway sector," EIB Papers 10/2005, European Investment Bank, Economics Department.
    29. Brownstone, David & Ghosh, Arindam & Golob, Thomas F. & Kazimi, Camilla & Van Amelsfort, Dirk, 2003. "Drivers' willingness-to-pay to reduce travel time: evidence from the San Diego I-15 congestion pricing project," Transportation Research Part A: Policy and Practice, Elsevier, vol. 37(4), pages 373-387, May.
    30. Viegas, José M., 2001. "Making urban road pricing acceptable and effective: searching for quality and equity in urban mobility," Transport Policy, Elsevier, vol. 8(4), pages 289-294, October.
    31. Adnan Efendic & Geoff Pugh & Nick Adnett, 2011. "Confidence in formal institutions and reliance on informal institutions in Bosnia and Herzegovina," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 19(3), pages 521-540, July.
    32. Hensher, David A. & Goodwin, Phil, 2004. "Using values of travel time savings for toll roads: avoiding some common errors," Transport Policy, Elsevier, vol. 11(2), pages 171-181, April.
    33. Abrantes, Pedro A.L. & Wardman, Mark R., 2011. "Meta-analysis of UK values of travel time: An update," Transportation Research Part A: Policy and Practice, Elsevier, vol. 45(1), pages 1-17, January.
    34. Charles Raux & Stéphanie Souche, 2004. "The Acceptability of Urban Road Pricing: A Theoretical Analysis Applied to Experience in Lyon," Journal of Transport Economics and Policy, University of Bath, vol. 38(2), pages 191-215, May.
    35. Hensher, David A. & Rose, John M. & Ortúzar, Juan de Dios & Rizzi, Luis I., 2009. "Estimating the willingness to pay and value of risk reduction for car occupants in the road environment," Transportation Research Part A: Policy and Practice, Elsevier, vol. 43(7), pages 692-707, August.
    36. Satoshi Fujii & Tommy Gärling & Cecilia Jakobsson & Rong-Chang Jou, 2004. "A cross-country study of fairness and infringement on freedom as determinants of car owners' acceptance of road pricing," Transportation, Springer, vol. 31(3), pages 285-295, August.
    37. King, David & Manville, Michael & Shoup, Donald, 2007. "The political calculus of congestion pricing," University of California Transportation Center, Working Papers qt9js9z8gz, University of California Transportation Center.
    38. Jou, Rong-Chang & Huang, Guei-Lang, 2014. "Willingness to pay price for tolls and on-board units for short-distance freeway users who normally avoid toll boots," Transport Policy, Elsevier, vol. 31(C), pages 10-18.
    39. Short, Jack & Kopp, Andreas, 2005. "Transport infrastructure: Investment and planning. Policy and research aspects," Transport Policy, Elsevier, vol. 12(4), pages 360-367, July.
    40. F. H. Knight, 1924. "Some Fallacies in the Interpretation of Social Cost," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 38(4), pages 582-606.
    41. Deakin, Elizabeth, 1989. "Toll Roads: A New Direction for U.S. Highways?," University of California Transportation Center, Working Papers qt4qv8q1ht, University of California Transportation Center.
    42. Jou, Rong-Chang & Chiou, Yu-Chiun & Chen, Ke-Hong & Tan, Hao-I, 2012. "Freeway drivers’ willingness-to-pay for a distance-based toll rate," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(3), pages 549-559.
    43. Small, Kenneth A., 1992. "Using the Revenues from Congestion Pricing," University of California Transportation Center, Working Papers qt32p9m3mm, University of California Transportation Center.
    44. Schade, J. & Baum, M., 2007. "Reactance or acceptance? Reactions towards the introduction of road pricing," Transportation Research Part A: Policy and Practice, Elsevier, vol. 41(1), pages 41-48, January.
    45. King, David & Manville, Michael & Shoup, Donald, 2007. "The political calculus of congestion pricing," Transport Policy, Elsevier, vol. 14(2), pages 111-123, March.
    46. Georgina Santos & Laurent Rojey, 2004. "Distributional impacts of road pricing: The truth behind the myth," Transportation, Springer, vol. 31(1), pages 21-42, February.
    47. Cesar Queiroz & Nevena Vajdic & Goran Mladenovic, 2013. "Public--private partnerships in roads and government support: trends in transition and developing economies," Transportation Planning and Technology, Taylor & Francis Journals, vol. 36(3), pages 231-243, April.
    48. Hanemann, W Michael, 1991. "Willingness to Pay and Willingness to Accept: How Much Can They Differ?," American Economic Review, American Economic Association, vol. 81(3), pages 635-647, June.
    49. Elmar Fürst & Maria Dieplinger, 2014. "The acceptability of road pricing in Vienna: the preference patterns of car drivers," Transportation, Springer, vol. 41(4), pages 765-784, July.
    50. Hensher, David A. & Li, Zheng, 2013. "Referendum voting in road pricing reform: A review of the evidence," Transport Policy, Elsevier, vol. 25(C), pages 186-197.
    51. Welch, Timothy F. & Mishra, Sabyasachee, 2014. "A framework for determining road pricing revenue use and its welfare effects," Research in Transportation Economics, Elsevier, vol. 44(C), pages 61-70.
    52. Small, Kenneth A., 2012. "Valuation of travel time," Economics of Transportation, Elsevier, vol. 1(1), pages 2-14.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mohamad Shatanawi & Fatma Abdelkhalek & Ferenc Mészáros, 2020. "Urban Congestion Charging Acceptability: An International Comparative Study," Sustainability, MDPI, vol. 12(12), pages 1-15, June.
    2. Ježek Jindřich & Nožička Jiří & Török Árpád, 2018. "Using of Sensitivity Analysis in Road Transport Pricing," LOGI – Scientific Journal on Transport and Logistics, Sciendo, vol. 9(1), pages 32-39, May.
    3. Li, Zheng & Hensher, David A. & Rose, John M., 2010. "Willingness to pay for travel time reliability in passenger transport: A review and some new empirical evidence," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 46(3), pages 384-403, May.
    4. Kębłowski, Wojciech & Dobruszkes, Frédéric & Boussauw, Kobe, 2022. "Moving past sustainable transport studies: Towards a critical perspective on urban transport," Transportation Research Part A: Policy and Practice, Elsevier, vol. 159(C), pages 74-83.
    5. Mohamad Shatanawi & Mohammed Hajouj & Belal Edries & Ferenc Mészáros, 2022. "The Interrelationship between Road Pricing Acceptability and Self-Driving Vehicle Adoption: Insights from Four Countries," Sustainability, MDPI, vol. 14(19), pages 1-32, October.
    6. Milenković, Marina & Glavić, Draženko & Maričić, Milica, 2019. "Determining factors affecting congestion pricing acceptability," Transport Policy, Elsevier, vol. 82(C), pages 58-74.
    7. Virginia Petraki & Panagiotis Papantoniou & Asimina Korentzelou & George Yannis, 2022. "Public Acceptability of Environmentally Linked Congestion and Parking Charging Policies in Greek Urban Centers," Sustainability, MDPI, vol. 14(15), pages 1-15, July.
    8. Pablo González-Aliste & Iván Derpich & Mario López, 2023. "Reducing Urban Traffic Congestion via Charging Price," Sustainability, MDPI, vol. 15(3), pages 1-21, January.
    9. Mehrdad Bagheri & Miloš N. Mladenović & Iisakki Kosonen & Jukka K. Nurminen, 2020. "Analysis of Potential Shift to Low-Carbon Urban Travel Modes: A Computational Framework Based on High-Resolution Smartphone Data," Sustainability, MDPI, vol. 12(15), pages 1-26, July.
    10. Shilpa Dogra & Nicholas O’Rourke & Michael Jenkins & Daniel Hoornweg, 2021. "Integrated Urban Mobility for Our Health and the Climate: Recommended Approaches from an Interdisciplinary Consortium," Sustainability, MDPI, vol. 13(22), pages 1-12, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kobayashi, Kiyoshi & Do, Myungsik, 2005. "The informational impacts of congestion tolls upon route traffic demands," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(7-9), pages 651-670.
    2. Li, Xun & Rey, David & Dixit, Vinayak V., 2018. "An axiomatic characterization of fairness in transport networks: Application to road pricing and spatial equity," Transport Policy, Elsevier, vol. 68(C), pages 142-157.
    3. Georgina Santos & Erik Verhoef, 2011. "Road Congestion Pricing," Chapters, in: André de Palma & Robin Lindsey & Emile Quinet & Roger Vickerman (ed.), A Handbook of Transport Economics, chapter 23, Edward Elgar Publishing.
    4. Button, Kenneth, 2004. "1. The Rationale For Road Pricing: Standard Theory And Latest Advances," Research in Transportation Economics, Elsevier, vol. 9(1), pages 3-25, January.
    5. Brownstone, David & Small, Kenneth A., 2003. "Valuing Time and Reliability: Assessing the Evidence from Road Pricing Demonstrations," University of California Transportation Center, Working Papers qt95z0p35k, University of California Transportation Center.
    6. Kockelman, Kara M. & Kalmanje, Sukumar, 2005. "Credit-based congestion pricing: a policy proposal and the public's response," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(7-9), pages 671-690.
    7. Patricia Yañez-Pagans & Daniel Martinez & Oscar A. Mitnik & Lynn Scholl & Antonia Vazquez, 2019. "Urban transport systems in Latin America and the Caribbean: lessons and challenges," Latin American Economic Review, Springer;Centro de Investigaciòn y Docencia Económica (CIDE), vol. 28(1), pages 1-25, December.
    8. Olszewski, Piotr & Xie, Litian, 2005. "Modelling the effects of road pricing on traffic in Singapore," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(7-9), pages 755-772.
    9. Brownstone, David & Small, Kenneth A., 2005. "Valuing time and reliability: assessing the evidence from road pricing demonstrations," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(4), pages 279-293, May.
    10. Steimetz, Seiji S.C. & Brownstone, David, 2005. "Estimating commuters' "value of time" with noisy data: a multiple imputation approach," Transportation Research Part B: Methodological, Elsevier, vol. 39(10), pages 865-889, December.
    11. Vonk Noordegraaf, Diana & Annema, Jan Anne & van Wee, Bert, 2014. "Policy implementation lessons from six road pricing cases," Transportation Research Part A: Policy and Practice, Elsevier, vol. 59(C), pages 172-191.
    12. Yacan Wang & Yu Wang & Luyao Xie & Huiyu Zhou, 2018. "Impact of Perceived Uncertainty on Public Acceptability of Congestion Charging: An Empirical Study in China," Sustainability, MDPI, vol. 11(1), pages 1-21, December.
    13. Smalkoski, Brian & Levinson, David, 2005. "Value of Time for Commercial Vehicle Operators," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 44(01).
    14. Stockton, Isabel & Bergemann, Annette & Brunow, Stephan, 2016. "There And Back Again: Women's Marginal Commuting Costs," VfS Annual Conference 2016 (Augsburg): Demographic Change 145919, Verein für Socialpolitik / German Economic Association.
    15. Dieplinger, Maria & Fürst, Elmar, 2014. "The acceptability of road pricing: Evidence from two studies in Vienna and four other European cities," Transport Policy, Elsevier, vol. 36(C), pages 10-18.
    16. Krabbenborg, Lizet & van Langevelde-van Bergen, Chris & Molin, Eric, 2021. "Public support for tradable peak credit schemes," Transportation Research Part A: Policy and Practice, Elsevier, vol. 145(C), pages 243-259.
    17. Xiangdong Xu & Anthony Chen & Lin Cheng, 2013. "Assessing the effects of stochastic perception error under travel time variability," Transportation, Springer, vol. 40(3), pages 525-548, May.
    18. Barahimi, Amir Hossein & Eydi, Alireza & Aghaie, Abdolah, 2021. "Multi-modal urban transit network design considering reliability: multi-objective bi-level optimization," Reliability Engineering and System Safety, Elsevier, vol. 216(C).
    19. Steimetz, Seiji S.C., 2008. "Defensive driving and the external costs of accidents and travel delays," Transportation Research Part B: Methodological, Elsevier, vol. 42(9), pages 703-724, November.
    20. Santos, Georgina & Bhakar, Jasvinder, 2006. "The impact of the London congestion charging scheme on the generalised cost of car commuters to the city of London from a value of travel time savings perspective," Transport Policy, Elsevier, vol. 13(1), pages 22-33, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:transa:v:105:y:2017:i:c:p:79-94. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/547/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.