People the world over are choking on traffic gridlock. In Western Europe, for instance, it is forecast that gridlock will rise 188 percent on urban roads by 2010. The cost of congestion in OECD countries alone amounts to nearly 3 percent of GDP, or about US$810 billion. A new study from Deloitte Research, "Combating Gridlock: How Road User Pricing Can Ease Congestion," suggests a possible remedy — pricing road use in the same way as utilities, food and other goods. The study details the success road user pricing has achieved in reducing congestion in London, Singapore, Oslo and other cities around the world.

This year London launched the largest and most extensive road pricing project in the world. Vehicles were electronically charged a flat fee between the hours of 7 a.m. and 6:30 p.m. during weekdays. The project is now considered a successful example of how area road pricing can effectively reduce overcrowded roads. According to the study, traffic speeds have increased 37%, congestion has dropped 40% during charging hours, and round-trip journey times have reduced 13%. The results have prompted Paris, Stockholm, Sydney and other major cities to explore the possibility of adopting the London model.

This new Deloitte study is the first to offer detailed lessons for successfully implementing road user pricing from London and other leading cities. Some of the recommended tips include achieving buy-in from local businesses, citizens and consumer groups, and creating convenient alternative transportation options so commuters who choose not to drive and pay the charges still have a way to get to work.

Read the press release, or learn more from our 12-page Executive Summary or 16-page publication, "Going the Extra Mile," which features the Top 10 tips on how road user charges can ease road congestion. These two items as well as the complete, 44-page report are available as PDF file attachments below. Questions? Email Us.

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