The simulation of a toll-ring scheme for Madrid: an efficiency and equity analysis.

Abstract

Among the interurban road pricing policies, the metropolitan road tolling policies need to be differently analyzed because of its specific characteristics. In fact, the urban and metropolitan areas intercept most of the daily journeys which contribute to congestion and which are very sensible to the toll because of their daily frequency. The mobility survey developed on the Madrid Metropolitan Area shows that from 1996 to 2004 the number of mechanized trips increased by 52%, whereas the population increased only by 14%. An efficient way to manage the increasing car travel demand could be the implementation of a metropolitan toll in the more congested road sections. One of the most popular “congestion pricing policies” is the toll-ring scheme used in Norwey (such as Trondheim and Bergen) and in Stockholm, where the vehicles are taxed when entering or exiting the city centre, especially during peak periods. In fact, a toll-ring scheme discourages orbital diversions, achieving higher efficiency and environmental benefits. A methodology to evaluate the implementation of a congestion pricing policy like a toll-ring scheme in a metropolitan area like Madrid during the peak hour will be defined. The main result of the paper is in terms of the equity effects. The comparison of two different road sections shows that in the wealthier metropolitan area, the north of the M40 ring, the burden of the toll is higher on the lower income users.