Market instruments to change city transportation

One of the most well covered experiments in transportation is probably the test with congestion charges in Stockholm. The idea is basically the same as in London but somewhat differently executed. The trial period is very short (6 months) which will be followed by a referendum in September among the citizens of Stockholm.

The evaluation (full report only available in Swedish, but summary in English) shows that traffic to the city has been reduced by 20-25%, emission of carbon dioxide with 13%. There is also significant reduction in emission of harmful particles in the city.

But the great surprise to many is probably that trade has not been negatively affected. A topic that has taken a great proportion in the political debate. On the contrary! The positive effects on the economy are huge and the project has a payback time of some 4 years which is short for a transportation project. The benefits come largely from shorter travel time and predictable arrivals! Especially business' short transports and deliveries have been improved.