Skip to main content

Easing congestion in Latin America

According to transport planning consultancy Steer Davies Gleave (SDG), the experiences of European cities like London, Milan and Stockholm show that implementing a congestion charging scheme has a positive effect on road user behaviour leading to a better quality of life for residents. However, it also poses challenges for decision makers, technicians, the private sector and users. In Latin America, where congestion levels are high and continuing to rise in its major cities, there is an opportunity to le
January 28, 2015 Read time: 3 mins
According to transport planning consultancy 801 Steer Davies Gleave (SDG), the experiences of European cities like London, Milan and Stockholm show that implementing a congestion charging scheme has a positive effect on road user behaviour leading to a better quality of life for residents. However, it also poses challenges for decision makers, technicians, the private sector and users.

In Latin America, where congestion levels are high and continuing to rise in its major cities, there is an opportunity to learn from European methods to help reduce and manage the problem.

Members of SDG’s Latin American division recently took part in a fact finding mission in London to see what lessons could be learned.

While London was not the first city in the world to introduce road pricing in urban areas, it was certainly one of the first to apply it across a large area. Deliberately conceived as a simple scheme, it now delivers a 20 per cent reduction in traffic levels inside the charging zone.

Report author Alejandro Obregon says some key lessons can be drawn from the London scheme:

The London Congestion Charge (CC) is part of a package of measures - not a stand-alone policy. Other measures need to be considered and implemented in parallel.

The CC was not primarily developed as a new source of revenue. The aim of the scheme was to reduce congestion, and all the potential revenue needs to be reinvested to support this goal. Communicating and handling this well is crucial to gain support for the project.

The CC, at least in its first phase, had broad public support. Public acceptance is very important. The introduction of CC will always be controversial and will have some strong opposition.  

It is important to remember that London had a number of advantages which might not be available in other cities. Crucially, the zone which was later covered by the charge already had a very extensive highly used public transport.  At the same time, the developers of the scheme in London were pragmatic. Knowing that the scheme had to be popular and easy to use, they introduced a single flat charge levied across the working day – to be paid without discount by the great majority of users. While they knew that varying the charge by time of day and day of the week to reflect real congestion conditions might be more effective at reducing the number of road users, they rejected it for the advantages of simplicity.

Implementing a congestion charging scheme was relatively easy, but other cities might face a more challenging environment which could lead to higher costs.

“The London example certainly does set a precedent but, since its introduction, travel behaviour and technology have evolved, bringing new opportunities and challenges for transport planners and policy makers,” says Obregon. “While some of the principles are still valid, fresh thinking is required to take the London experience forward for implementation in Latin American cities.”

For more information on companies in this article

Related Content

  • Road user charging - replacing the gas tax with a mileage based fee
    January 19, 2012
    Oregon Department of Transportation's James Whitty discusses his state's progress with VMT fee-based charging. Back in 2001, the state of Oregon stole a lead on the rest of the US when it decided to address the need to do something about the gas tax and its decreasing ability to fund highway construction and upkeep. Recognising that a dwindling pot of money could only shrink further as vehicles became more fuelefficient, Oregon's Legislative Assembly passed laws which led to the setting up, by the state's g
  • Authorities look to MaaS for new solutions and cost savings
    July 18, 2017
    The structure of society and the way in which our cities work will be completely transformed by Mobility as a Service (MaaS), Finland’s minister of transport and communications Anne Berner, told ITS International’s recent MaaS Market conference 2017 in London. In her keynote address, Berner told a packed audience of more than 200 ITS professionals that MaaS has the potential to help governments around the world meet their big city targets such as the rate of employment, the environment, the efficient use of
  • It’s official: 20 (or 30) really is plenty
    April 30, 2025
    A study has looked at what 20mph (30 km/h) speed limits mean in terms of road safety – and the answers are encouraging. Alan Dron speaks to transport researcher Aud Tennøy…
  • Cost benefit goes under the microscope
    August 21, 2017
    Conventional cost benefit analysis (CBA) of plans for urban smart mobility initiatives needs serious rethinking, according to a recently-completed European study. The three-year Evidence Project (the Project) emerged in response to concerns about the availability and quality of documented research – including CBA – required to prove that investment in sustainable urban mobility plans (SUMPs) can be economically beneficial. Covering 22 sectors ranging from electric vehicles to shared spaces, the Project clai