IDEAS home Printed from https://ideas.repec.org/a/eee/trapol/v12y2005i6p525-536.html
   My bibliography  Save this article

A vehicle quota integrated with road usage pricing: A mechanism to complete the phase-out of high fixed vehicle taxes in Singapore

Author

Listed:
  • Barter, Paul A.

Abstract

This expository paper suggests a way to integrate a vehicle quota with usage based charging, including road pricing. It thereby challenges assumptions that ownership control requires high fixed vehicle costs. It focuses on Singapore, which famously has high purchase taxes and a Vehicle Quota System. These are effective but as a result of arguments against high fixed vehicle taxes, Singapore's authorities are gradually relaxing ownership control and increasing reliance on usage charges. This paper proposes a mechanism to 'variabilise' fixed taxes, including the vehicle permit price, in a way that is compatible with the vehicle quota. In particular, it proposes to integrate the vehicle quota with a new generation of electronic road pricing. This could make Singapore's shift to usage-based charging more efficient, complete and flexible while retaining the option to control vehicle numbers precisely.

Suggested Citation

  • Barter, Paul A., 2005. "A vehicle quota integrated with road usage pricing: A mechanism to complete the phase-out of high fixed vehicle taxes in Singapore," Transport Policy, Elsevier, vol. 12(6), pages 525-536, November.
  • Handle: RePEc:eee:trapol:v:12:y:2005:i:6:p:525-536
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0967-070X(05)00072-7
    Download Restriction: Full text for ScienceDirect subscribers only

    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. E Verhoef & P Nijkamp & P Rietveld, 1997. "Tradeable Permits: Their Potential in the Regulation of Road Transport Externalities," Environment and Planning B, , vol. 24(4), pages 527-548, August.
    2. Phang, Sock-Yong & Wong, Wing-Keung & Chia, Ngee-Choon, 1996. "Singapore's experience with car quotas : Issues and policy processes," Transport Policy, Elsevier, vol. 3(4), pages 145-153, October.
    3. Fullerton, Don & West, Sarah E., 2002. "Can Taxes on Cars and on Gasoline Mimic an Unavailable Tax on Emissions?," Journal of Environmental Economics and Management, Elsevier, vol. 43(1), pages 135-157, January.
    4. Piet Rietveld & Kenneth Button & Peter Nijkamp (ed.), 2003. "Urban Transport," Books, Edward Elgar Publishing, number 2266.
    5. De Borger, Bruno, 2001. "Discrete choice models and optimal two-part tariffs in the presence of externalities: optimal taxation of cars," Regional Science and Urban Economics, Elsevier, vol. 31(4), pages 471-504, July.
    6. Stefan Suter & Felix Walter, 2001. "Environmental Pricing-Theory and Practice: The Swiss Policy of Heavy Vehicle Taxation," Journal of Transport Economics and Policy, University of Bath, vol. 35(3), pages 381-397, September.
    7. Willoughby, C., 2001. "Singapore's motorization policies 1960-2000," Transport Policy, Elsevier, vol. 8(2), pages 125-139, April.
    8. Chin, Anthony & Smith, Peter, 1997. "Automobile ownership and government policy: The economics of Singapore's vehicle quota scheme," Transportation Research Part A: Policy and Practice, Elsevier, vol. 31(2), pages 129-140, March.
    9. Small, Kenneth A., 1992. "Using the Revenues from Congestion Pricing," University of California Transportation Center, Working Papers qt32p9m3mm, University of California Transportation Center.
    10. Levine, Jonathan & Garb, Yaakov, 2002. "Congestion pricing's conditional promise: promotion of accessibility or mobility?," Transport Policy, Elsevier, vol. 9(3), pages 179-188, July.
    11. Hyman, Geoffrey & Mayhew, Les, 2002. "Optimizing the benefits of urban road user charging," Transport Policy, Elsevier, vol. 9(3), pages 189-207, July.
    12. De Jong, G. C., 1990. "An indirect utility model of car ownership and private car use," European Economic Review, Elsevier, vol. 34(5), pages 971-985, July.
    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. Attard, Maria & Enoch, Marcus, 2011. "Policy transfer and the introduction of road pricing in Valletta, Malta," Transport Policy, Elsevier, vol. 18(3), pages 544-553, May.
    2. Hensher, David A. & Bliemer, Michiel C.J., 2014. "What type of road pricing scheme might appeal to politicians? Viewpoints on the challenge in gaining the citizen and public servant vote by staging reform," Transportation Research Part A: Policy and Practice, Elsevier, vol. 61(C), pages 227-237.
    3. Chu, Singfat, 2015. "Car restraint policies and mileage in Singapore," Transportation Research Part A: Policy and Practice, Elsevier, vol. 77(C), pages 404-412.
    4. Zhu, Shanjiang & Du, Longyuan & Zhang, Lei, 2013. "Rationing and pricing strategies for congestion mitigation: Behavioral theory, econometric model, and application in Beijing," Transportation Research Part B: Methodological, Elsevier, vol. 57(C), pages 210-224.
    5. Santos, Georgina & Behrendt, Hannah & Maconi, Laura & Shirvani, Tara & Teytelboym, Alexander, 2010. "Part I: Externalities and economic policies in road transport," Research in Transportation Economics, Elsevier, vol. 28(1), pages 2-45.
    6. Chu, Singfat, 2012. "Allocation flexibility and price efficiency within Singapore’s Vehicle Quota System," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(10), pages 1541-1550.
    7. Singfat Chu, 2011. "Sealed v/s open bids for certificates of entitlement under the vehicle quota system in Singapore," Transportation, Springer, vol. 38(2), pages 215-226, March.
    8. Muthukrishnan, Subhashini, 2010. "Vehicle ownership and usage charges," Transport Policy, Elsevier, vol. 17(6), pages 398-408, November.

    More about this item

    Statistics

    Access and download statistics

    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:trapol:v:12:y:2005:i:6:p:525-536. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/30473/description#description .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.