Maximizing Transit Benefits Using Mobility Demand Management

Todd LitmanVictoria Transport Policy Institute

Presented IETT Professional Development Workshop

Istanbul15 June 2015

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Move People EfficientlyMove People Efficiently

An efficient urban transport system encourages people to use the most efficient mode for each trip:

• Walking and cycling for local travel.

• Public transit for travel on busy corridors.

• Driving only when necessary.

Latent DemandLatent Demand

Experience indicates that there is significant latent demand for walking, cycling and public transit, and for living in multimodal communiuties:

•When walking and cycling conditions are improved, with better sidewalks, crosswalks and bicycle parking, walking and cycling activity increase significantly. In a major U.S. study, community-wide increases of 22% for walking and 49% for bicycling occurred between 2007 and 2010.

•When cities improve public transit services, such as building rail lines or BRT systems, ridership often increases significantly.

•Market surveys indicate that most households want to live in walkable neighborhoods with local shops and transit services.

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Travel DemandsTravel Demands

“Demand” refers to how and how much do people want to travel, and the factors that affect those decisions.

“Transportation Demand Management” (TDM also called Mobility Management) refers to various strategies that affect travel behavior in order to increase efficiency and achieve various planning objectives.

TDM is increasingly used in cities around the world.

TDM StrategiesTDM StrategiesImproves Transport

Options IncentivesLand Use

ManagementImplementation

Programs

Transit improvements and fare reductions

Walking & cycling improvements

Rideshare programs

HOV priority

Flextime

Car- and bikesharing

Telework

Taxi service improvements

Guaranteed ride home

Vehicle purchase or registration fees

Distance-based fees

Commuter financial incentives

Fuel tax increases

Parking pricing

Parking regulations

Road Tolls/ Congestion pricing

Driving restrictions

Complete streets

Smart growth/New Urbanism

Transit oriented development

Location-efficient development

Parking management

Carfree planning

Traffic calming

Campaigns and events

Commute trip reduction programs

School and campus transport management

Freight transport management

Tourist transport management

Transport planning reforms

Transport Demand Transport Demand ManagementManagement

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A Recipe for ChangeA Recipe for Change

TDM strategies tend to have synergistic effects (their impacts and benefits are larger if they are implemented together) and so should usually be implemented as an integrated program with a combination of improvements and incentives.

Sustainable Transport Sustainable Transport Hierarchy Hierarchy

1. Walking2. Cycling3. Public Transit4. Service & Freight5. Automobile Travel6. Automobile Parking

04/18/23

Mode ShiftsMode Shifts

How do we convince people who drive luxury cars to shift mode?

Public Transit ImprovementsPublic Transit Improvements

• Increase service (routes and frequency)

• Grade separation (bus lanes)

• Better customer service (e.g., nicer drivers)

• Nicer vehicles

• Nicer stops

• Better walking and cycling access

• Reduced fares

• More convenient information

• Amenities (attractive stations, on-board wifi, etc.)

• Positive Image

Transit PriorityTransit Priority

Transit passengers requires far less road space than automobile travel. A bus lane that carries 20 buses or more during peak hours carries more people than a general traffic lane.

It is therefore more efficient and fair to give buses priority in traffic.

Walking and Cycling Walking and Cycling ImprovementsImprovements

• More investment in sidewalks, crosswalks, paths and bike lanes.

• Improved roadway shoulders.

• More traffic calming.

• Bicycle parking and changing facilities.

• Encouragement, education and enforcement programs.

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Istanbul: Accessible City – A City for Istanbul: Accessible City – A City for PeoplePeople

Impacts and BenefitsImpacts and Benefits

Bicycling Is EfficientBicycling Is Efficient

Bicycling is the most resource-efficient travel mode:

•Faster than walking.

•Bicycles are inexpensive to own and operate.

•Requires less space for travel and parking than cars.

•Consumes no fuel and produces no pollution.

•Is healthy and enjoyable.

•Is a good complement to public transit.

Establishing a Cycling CultureEstablishing a Cycling Culture

Many cities are now working to develop a bicycle culture. This requires suitable facilities, so bicycling is convenient and safe, plus programs that encourage people to try cycling for recreation and daily travel.

Safe Cycling Design Manual for Safe Cycling Design Manual for IstanbulIstanbul

EMBARQ Turkey's Safe Cycling Design Manual for] Istanbul  examines three topics:

•The social, economic, and environmental benefits of urban cycling.

•The governance of cycling infrastructure and user preferences.

•Solutions for implementing safe, sustainable cycling infrastructure.

Based on these findings, the manual recommends three new cycling routes in Istanbul.  

The Safe Cycling Design Manual for Istanbul is supported by funding from the Istanbul Development Agency (İSTKA).

Proposed Cycling NetworkProposed Cycling Network

The proposed cycling network would help create a cycling culture in Istanbul.

Ridesharing (Van- and Ridesharing (Van- and Carpooling)Carpooling)

Market studies suggest that a third of suburban automobile commuters would consider vanpooling, if it had:• Flexibility.• High Occupant Vehicle priority lanes and parking.• Financial incentives.• Integration with public transit.• Employer support.

Vehicle RestrictionsVehicle Restrictions

Rome and Milan Traffic Restricted Zones

Many cities are now restricting the number and types of vehicles that may enter central areas to reduce traffic and pollution problems.

Redesigning City Centers Redesigning City Centers

The Cheonggyecheon Riverin Seoul (South Korea) before (top) and after (bottom) the project. Claiming back urban space from road vehicles can dramatically improve the liveability of cities.

Photos by Seoul Development Institute

Employee Trip Reduction ProgramsEmployee Trip Reduction Programs

Employers encourage employees to walk, bicycle, carpool, ride transit and telework rather than drive to work.

School & Campus Transport School & Campus Transport ManagementManagement

Programs that encourage parents and students to use alternative modes to travel to schools, colleges and universities.

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CarsharingCarsharing

Automobile rental services intended to substitute for private vehicle ownership.

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BikesharingBikesharing

Bicycle rental services distributed around a city so travelers can pick up a bike in one location and drop it off at another.

Pricing ReformsPricing Reforms

• Increase vehicle registration fees.

• Predictable, regular fuel tax increases.

• Require motorists to have an off-street parking space before they can register a vehicle.

• Efficient parking pricing.

• Parking cash out and unbundling.

• Congestion pricing.

• Pay-as-you-drive insurance and registration fees.

• Improve enforcement of vehicle registration, fuel tax and parking fees collection.

Motorists Must Pay Either Time or Motorists Must Pay Either Time or MoneyMoney

Something must limit peak-period traffic volumes:

• Either congestion becomes self-limiting (motorists spend time).

• Or efficient pricing encourages some travelers who could drive to choose alternatives (motorists spend money).

Pricing Increases EfficiencyPricing Increases Efficiency

• Pricing allows higher value trips and more efficient modes to outbid lower-value trips and less efficient modes for scarce road space.

• Pricing creates transparency. It explicitly tests motorists’ willingness-to-pay for infrastructure expansion.

• It also generates revenues that can be used to improve transport (sidewalks, roads and public transit) or other useful public services.

Efficient PricingEfficient Pricing

• Either the price needed to reduce traffic congestion and raise traffic speeds to optimal levels.

or

• The price needed to finance both roadway operations (ongoing repairs and maintenance) and capacity expansion to accommodate additional peak-period traffic volumes (typically $0.25 to $1.00 per additional vehicle-kilometer).

““Raise My Prices, Please!Raise My Prices, Please!””

Of course, consumers do not like to pay more for roads and parking, but unpriced facilities are not really free, consumers ultimately pay through higher taxes and retail prices. The choice is actually between paying directly or indirectly.

Paying Directly Returns Savings To Paying Directly Returns Savings To MotoristsMotorists

Motorist Reduces Mileage

Reduced Congestion,

Road & Parking Facility Costs,

Reduced Crashes, etc.

Economic Savings

Paying directly is more equitable and efficient, since users pay in proportion to the costs they impose. “Free” facilities force everybody to pay, including non-drivers and motorists who reduce their vehicle use. Paying directly gives individual consumers the savings that result when they drive less, providing a new opportunity to save money.

Vehicle Travel Price Vehicle Travel Price Sensitivity Sensitivity

Recent experience indicates that vehicle travel is often quite price sensitive: even modest tolls (such as $0.10 per vehicle-kilometer) can significantly reduce vehicle travel demand (by 20-40%). As a result, many toll roads have not achieved their projected traffic volumes and revenues.

In other words, many motorists want additional roadway capacity only if somebody else pays. This suggests it is generally more economically efficient to price existing urban roadways to reduce demand, rather than to build costly new urban highways.

Very Appropriate In Developing Very Appropriate In Developing CitiesCities

Efficient road pricing is very appropriate in developing country cities because:

• Traffic congestion is particularly intense.

• Vehicle ownership rates are low, so pricing benefits most residents and is progressive with respect to income.

• There is insufficient money to significantly expand roadways.

• It can help prevent automobile dependency and sprawl. It helps preserve walking, cycling and public transit use.

• They can adopt new pricing technologies at relatively low costs.

Cost-Based PricingCost-Based Pricing

Rank Category Examples

BestTime- and location-

specific road and parking pricing

Variable road pricing, location-specific parking management, location-specific emission charges.

Second Best

Mileage-pricing Weight-distance charges, distance-based vehicle insurance and registration fees, mileage based emission charges.

Third Best

Fuel charges Increase fuel tax, pay-at-the-pump insurance, carbon tax, increase Hazardous Sub. Tax.

Bad Fixed vehicle charges Current MVET, vehicle purchase and ownership fees.

Worst External costs(not charged to

motorists)

General taxes paying for roads and traffic services, parking subsidies, uncompensated external costs.

Parking PricingParking Pricing

• Charge motorists for using parking facilities.

• Expand when and where parking is priced (e.g., evenings and Sundays, residential streets).

• Congestion pricing, with higher rates at times and locations with higher demand to encourage more efficient use of parking facilities.

• Reduce long-term discounts and “early bird” specials. Shift to shorter time periods (e.g, hourly rather than daily).

Unbundling and Cash OutUnbundling and Cash Out• Unbundling – Parking is rented separately

from building space, so for example, rather than paying $1,000 per month for an apartment with a “free” parking space, residents pay $900 per month for the apartment and $100 per month for each parking space they use. This prevents residents from paying for parking spaces they do not need.

• Cash out – Employees who are offered a subsidized parking space can choose instead to receive its cash equivalent if they use another commute mode. This is more equitable and encourages use of alternative modes.

Vehicle Purchase and Ownership Vehicle Purchase and Ownership FeesFees

• High fees or auctions to limit total vehicle purchases.

• Higher fees for larger or more polluting vehicles.

• Higher annual registration fees.

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New Pricing SystemsNew Pricing Systems

GPS-based vehicle tracking is now quite precise and reliable. As a result, new electronic system can make road and parking pricing convenient and cost-effective to operate if widely implemented, but have high initial costs and raise privacy concerns.

Travel Options Affect PricingTravel Options Affect Pricing

The quality of transport options affects pricing effectiveness. If alternatives are inferior a relatively high price is needed to reduce vehicle traffic volumes and congestion delays. If alternatives are convenient, comfortable and affordable, a smaller price is needed to reduce automobile travel demand and consumers are less harmed.

Comparing BenefitsComparing BenefitsPlanning Objectives

Expand Roadways

Efficient and Alt. Fuel

Improve

Transit

Efficient Pricing

Vehicle Travel Impacts Increased Increased Reduced Reduced

Improve travel experience

Reduce traffic congestion

Roadway cost savings

Parking cost savings

Consumer financial savings

Improve mobility options

Improve traffic safety

Energy conservation

Pollution reduction

Land use objectives

Economic development ?

Public fitness & health

Example: LondonExample: London

Since 2003 London has charged for driving private automobiles in its central area during weekdays. This significantly reduces congestion in that area, improved bus and taxi service, and generates substantial revenues (although more than a third are used to finance the payment system). The program expanded to new areas in 2007 but was reduced back to its original size in 2011.

Motorists pay by Internet or at kiosks. License numbers of vehicles driving in the area are tracked using roadside cameras.

Example: StockholmExample: Stockholm

Since 2006 Stockholm has charged a tax for driving vehicle into our out of its central area during weekdays. After a six-month trail it was approved by a referendum. The tax varies, with higher rates during peak hours and no charge evenings, nights and weekends.

Vehicles entering the charge area are recorded electronically and sent a bill at the end of each month. Funds are used to improve local roads.

Example: SingaporeExample: Singapore

• Singapore first implement cordon-based congestion pricing in 1975. An ERP (Electronic Road Pricing) system introduced in 1998 now charges for different roads at different times automatically as vehicle passes under gantries.

• The charge has been successful in reducing peak-period traffic volumes an estimated 13%, which increases traffic speeds by 22%.

ImplicationsImplications• Without efficient pricing and improvements to

alternative modes, urban traffic congestion is virtually unavoidable.

• Motorists either spend time or money. Spending money is more efficient overall because it allows higher value trips to “outbid” lower-value trips, and generates revenue.

• Urban traffic congestion is increasingly severe in developing countries.

• Pricing reforms can reduce congestion and help achieve other planning objectives. Although road tolls are most effective at reducing congestion, other pricing strategies (parking pricing, higher fuel taxes, and distance-based fees) are easier to implement and may provide greater total benefits.

Parking ManagementParking Management

Various strategies that result in more efficient use of parking supply

Why Parking Management?Why Parking Management?

• Improves motorist convenience.

• Creates more attractive streetscapes.

• Housing affordability.

• Downtown redevelopment.

• More walkable communities.

• Economic development.

• Reduced pavement.

• Encourages walking, cycling and public transit use.

More efficient management is increasingly used to address parking problems, particularly in growing communities and downtowns areas.

Smart GrowthSmart Growth

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• Compact (higher density)

• Mixed use

• Diverse housing types

• Connected roads

• Multi-modal

• Good walking and cycling conditions

• Good public transit services

• Efficient parking management

• Emphasis on the public realm (public places where people interact)

Institutional ReformsInstitutional Reforms

• Comprehensive, multi-modal transport planning.

• Integrate transport and land use planning.

• Sustainable transport hierarchy.

• Set performance targets

• Interagency coordination.

• Improve user information.

• Improve enforcement.

• Identify best practices and appropriate innovations from other countries, including Northern Europe, Brazil, Korea and India.

04/18/23

Potential For Change

Some people would prefer to drive less and use alternatives more. Focus on them.

What would help these people change their travel behavior?

Public Transport Reform in Public Transport Reform in SeoulSeoul

In 2002 Seoul implemented various transport including a reduction in downtown road space, and a new BRT system with more than 5,000 high-quality buses operating on 107 km of median busways, and improved integration between buses and the already existing, extensive subway system.

As a result, public transit customer satisfaction has improved, bus accidents have declined and transit ridership has increased. Traffic congestion was reduced and liveability improved, particularly in the downtown core. On the three initial BRT corridors, bus speeds rose up to 85% in the morning rush hour and up to 99% in the afternoon. The express buses using the median lanes carry six times more passengers than other road lanes used by cars in the same corridor.

Road Pricing in SingaporeRoad Pricing in Singapore

Singapore first implemented an Area Licensing Scheme in 1975 and Electronic Road Pricing in 1998. It is designed to minimize traffic congestion and maintain optimal traffic speeds of 45 to 65 km/h for expressways and 20 to 30 km/h for arterial roads.

Several Studies have concluded that the ERP has reduced congestion and pollution significantly and, in conjunction with a comprehensive TDM strategy maintained high mobility. The establishment of the restricted zone (RZ) led to a reduction of 31% of traffic in the city area which is mainly due to motorists not using the CBD as a bypass.

Benefits CategoriesBenefits Categories

Improved Transport Options

Increased Use of Alt. Modes

Reduced Automobile Travel

More Compact Development

• Improved user convenience and comfort

• Improved travel options, particularly for non-drivers

• User cost savings

• User enjoyment

• Economic development benefits from increased access to education and employment

• Increased public fitness and health

• Reduced traffic and parking congestion

• Road and parking cost savings

• Consumer cost savings

• Reduced crash risk to others

• Air and noise pollution reductions

• Energy conservation

• Economic development benefits

• More livable communities

• Reduced land consumption, heritage and openspace preservation, and public service cost savings

• Improved accessibility, particularly for non-drivers

• Reduced vehicle ownership

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Discussion QuestionsDiscussion Questions

• What TDM strategies are being implemented in Istanbul?

• What additional TDM strategies could be implemented?

• What obstacles must be overcome for these to be implemented as much as justified?

• What policy reforms can help support TDM?• What partnerships can help implement TDM?

“Analysis of Public Policies that Unintentionally Encourage and Subsidize Sprawl”

“Evaluating Active Transport Benefits and Costs”

“Parking Pricing Implementation Guidelines”

“Transportation Cost and Benefit Analysis”

“Parking Management Best Practices”

“Evaluating Complete Streets”

“Online TDM Encyclopedia”

and more...

www.vtpi.org