Congestion Pricing

Congestion pricing is a traffic management strategy that imposes fees on vehicles entering high-traffic zones during peak hours. It aims to reduce gridlock, improve air quality, and generate revenue for transit improvements. This market-based approach discourages unnecessary car trips by internalizing the societal costs of congestion, such as delays and pollution. 

Successful implementations include London’s Congestion Charge and Singapore’s Electronic Road Pricing, which have decreased traffic volumes while funding sustainable mobility options. 

Congestion pricing aligns with broader goals of equitable and efficient transportation systems, though it requires careful design to address potential regressive impacts on low-income drivers.