Congestion pricing is used to good effect in London and Singapore, but most other cities have shied away from the idea. Yet congestion is costing our economies more by the year, so there needs to be some policy changes to stop this problem getting worse.
Philip Manners, senior economist at the Centre for International Economics, says there are several factors that need to be in place for congestion pricing to work. One of them is to get public support — and that means ensuring it’s not seen as just another tax.
He says that congestion could be costing Australia up to $20 billion a year and that’s likely to double over the next decade.
With faster broadband, now more than ever there’s the incentive to influence work behaviour, so some form of congestion pricing is a no-brainer, surely.