1. The London Congestion Charge Past, present and future… Lauren Sager Weinstein Chief of Staff, Finance and Planning Transport for London

2. Congestion in central London: the context
Greater London population 7 million
Central London employment 1 million - all day congestion - vehicles spending 50% of time in queues - temporary gridlock - poor journey time reliability - 85%+ of travel to central London by public transportation
London’s Congestion: - the context to the problem
Greater London population 7 million
Central London employment 1 million
- all day congestion - vehicles spending 50% of time in queues - temporary gridlock - poor journey time reliability - ‘something had to be done’ - Government-sponsored study of central London congestion charging - 85%+ of travel to central London by public transport - Greater London has effective public transport - 9 million public transport trips per day

3. Enabling measures Business crying out for something to be done
Movement towards devolution
Enabling legislation enacted in 1999 & 2000
ROCOL Study – a Government plan for charging in Central London offered to Mayoral candidates
Overt political strategy
Ken Livingston running as independent candidate on platform of charging
Road congestion was costing the local economy - Businesses crying out for something to be done
Ken Livingstone, London’s first elected mayor, ran on a platform explicitly promoting the groundbreaking policy.
The new Mayor asked his transport authority, Transport for London, to consider a scheme along the lines proposed by the Government-sponsored Road Charging Options for London (ROCOL) study that was prepared for all of the mayoral candidates in the recent election.
The study examined the use of the charging powers provided to the Mayor and London Boroughs as part of new arrangements for the governance of Greater London.

4. Key Goal: Implement in the Mayor’s First Term
Choices:
Area based
Camera-based enforcement
Proven technology
Key Goal: Implement in the Mayor’s First Term
Choices:
Area based
Camera-based enforcement
Proven technology

5. How Does Congestion Charging Work?

6. Represents very small portion of London – but is the heart and soul of London - picks up all the visible things most people would associate with London
Encompasses London’s finance district, the West End theatres, Oxford Street shopping, and national landmarks such as Buckingham Palace and the Houses of Parliament.
Charging hours are 7.00 to 18.30, Monday to Friday. Certain categories of vehicle – notably taxis, motorcycles, pedal cycles and buses – are exempt from charges. Certain categories of vehicles can be registered for discounts: for example, residents of the congestion charging zone can register for a 90 percent discount; disabled persons and certain alternative fuelled vehicles are eligible for a 100 percent discount; and there are special arrangements for the operators of vehicle fleets.
For chargeable vehicles, payment of the charge can be made beforehand, on the day of travel or – a recent innovation – by midnight the following charging day. The standard charge was originally £5 (US$9) per day, regardless of the number of entries made by the vehicles. In July 2005 the charge was raised to £8 in order to maintain levels of de-congestion and to provide additional revenue to fund improvements to the public transport network.
Approximately 100,000 payments are mae per day
The penalty charge is £100 (US$189), reduced to £50 (US$95) for prompt payment. Persistent evaders are liable to have their vehicles clamped or impounded. Around 5,000 penalty charge notices are now being issued per day.

7. Camera Locations 688 fixed cameras
Cameras are located around the boundary of the charging zone and at critical locations inside the zone.
This network of cameras, fixed and mobile, reads your license plate as you enter or drive within the charging zone and checks it against the database. Once the vehicle registration number has been matched, showing that you have paid the charge, the photographic image of your vehicle is automatically wiped from the database, leaving only those vehicles whose owners have not paid the charge.
The system is controlled using the UK Government’s national database of car registration numbers and a network of license plate reading cameras. The network of cameras, similar to those used for ports, airports and the City of London’s anti-terrorist ‘ring of steel’, is sited on the boundary and throughout the zone. They cover all entry points to the charging zone providing high quality video-stream signals to an automatic number plate recognition computer system. Every single lane of traffic is monitored at exit and entry points to the charging zone. Tests show that there is an estimated ‘capture’ rate of over 90% within the charging zone. At midnight each day all paid accounts are deleted from the system and any vehicle recorded as having been in the zone during charging hours but with an unpaid account must pay a penalty charge.

8. What has it achieved?
Unprecedented beneficial effect on traffic conditions in Central London
Fewer four-wheeled vehicles entering charging zone during charging hours - 18% with £5 charge - 22% with £8 charge (provisional)
Congestion initially reduced by 30%; Autumn 2005 estimate 22%
Three years on
During 2005, congestion charging has continued to meet its principal traffic and transport objectives; and the scheme continues to operate well. Traffic patterns in and around the charging zone remained broadly stable during The changes to the scheme introduced in July 2005 were associated with small net reductions in traffic volumes, and overall traffic patterns are close to those of 2003 and 2004.
Reductions in congestion inside the charging zone over the whole period since the introduction of the scheme now average 26 percent. This reflects an apparent combined effect of some gains following the July 2005 changes, offset by the loss of decongestion benefits since late 2004.
However, measurements against a ‘static’ pre-charging baseline are increasingly inappropriate. In comparison with pre-charging trends, road users in 2005 were probably experiencing an effective 30 percent reduction in congestion, comparable to that in 2003 and early Although a full analysis is not yet available, it is clear that traffic conditions inside and outside the charging zone are being influenced by the reallocation of network capacity to meet other policy objectives, such as improved pedestrian safety and amenity. The effect of the charging scheme therefore needs to be assessed in this context.
The results need to be understood in the context of longer-term trends to congestion in central and inner London. These suggest that competing demands on road network capacity have meant continuing adjustments to capacity, leading to increasing delays for traffic inside and outside the charging zone. Inside the zone these adjustments would have had a broadly similar effect on network traffic speeds with or without congestion charging.
These adjustments, in pursuit of other Mayoral transport priorities, have resulted in, for example, improved safety and amenity and increased priority for buses, taxis and cyclists. In simple terms, the moving-motor vehicle capacity of the network has been adjusted in favour of the people moving capacity of the network.
Therefore, comparison against a ‘static’ baseline for 2002 is increasingly inappropriate. Comparisons based on a projection to 2005 of the long-term trend, in the notional absence of congestion charging, suggest that road users in the charging zone are probably still experiencing reduced congestion of the order of 30 percent.

9. Vehicles entering the charging zone
The patern of change – this slide shows volumes of vehicles entering the zone.
The £5 charge marks change from red/pink bars to blue/purple bars
The £8 charge marks the change to from blue/purple to orange/yellow bars

10. Congestion inside the zone
Congestion is measured as the inverse of network traffic speeds, in minutes per kilometre, after allowing for the speed that applies when traffic levels are very light. Broadly speaking conmgestion represents the time spent by vehiles in traffic queues.
Imporatnt to note that the efficient solution does not get rid of all congestion – only that in excess of economic optimum.
In practice the optimum, with no vehicles exempt, might be around a 50% reduction in congestion.

11. Longer-term trends in network speeds
Taken again from the FourthnAnnual Monitoring Report, illustrates the long term decling trend in central London traffic speeds; that needs to be taken into account when judging the effect of the scheme.
Capacity is being removed to support other policies – notably pedestrian safety and convenience.
TfL needs to strike a sensible balance – taking account of drivers expecting to receive something in return for the £8 charge.

12. Key findings Public Transportation
50% of car occupants who ceased driving into Central London switched to public transportation
Bus services benefited from significant improvements in reliability and journey time
Underground, rail and expanded bus services able to accommodate increased demands at £5 and £8
£122 million net revenue invested back into transportation - mainly bus services
Key findings - PUBLIC TRANSPORT
50% of people who stopped driving into Central London switched to public transport – 4% modal shift
Bus services continue to benefit from significant improvements in reliability and journey time and were able to continue to accommodate increased demand
Approximately £122 million net revenue in 2005/06 invested back into London’s transport

13. Not just about traffic congestion…
Growth of London economy overall remains positive
Businesses performance in charging zone significantly better than in the rest of London
Public discussion about impact on retail
Road traffic accidents continue to reduce
Between 40 and 70 fewer accidents per year
Air quality has improved
Nitrogen oxides (NOx) dropped by 13% and Particulate matter (PM10) dropped by 15%
Pedal Cycling activity increased by 40%
No evidence of negative social impacts - Young people, those on a low income and older people have gained from the scheme
Professional services benefiting – CBI study
Growth of London economy remains positive despite the effects of the bombings in central London in July 2005
In fact businesses performance in the charging zone was significantly better than in the rest if London, particularly in terms of profitability and productivity but there has been some noise around retailers…
Between 40 & 70 additional fewer accidents per year, i.e. accidents are reducing but due to congestion charge are reducing even further
Air quality has improved - Nitrogen oxides (NOx) dropped by 13% and Particulate matter (PM10) dropped by 15%
Pedal Cycling activity has increased by a massive 40%

14. Why it worked Relatively simple technology
Highly integrated transportation network
Devolved Government:
Mayor took the risk
The success of the scheme in London is a consequence of several factors,
three of which are considered here:
– relatively simple technology
– a well-developed transport system with integration of the public transport network and road network
– devolved government within the very centralised British political system – MAYOR TOOK THE RISK

15. The Mayor is keen to maintain the momentum….
July 2005 – Charge increased to £8
June 2006 – Pay next day introduced
February 2007 – Western Extension to be introduced
The Mayor is keen to maintain the momentum…. July 2005 – Charge increased to £8
June 2006 – Pay next day introduced
February 2007 – Western Extension to be introduced

16. TfL will implement the western extension to the central London congestion charge zone in February 2007.
A comprehensive programme of impacts monitoring work has been defined to reflect this, building on and incorporating the work for the central London zone. Full baseline data collection is being undertaken throughout 2006, with a comprehensive report on conditions before the implementation of the extension expected to be published in 2007

17. Encourage the use of cleaner vehicles and reduce emissions
Now we have the opportunity to address one of the key issues for 21st Century – climate change
Encourage the use of cleaner vehicles and reduce emissions
Initial aim was to solve congestion - “Greeness” taken into account through discounts for hybrids and electric but was not the primary motive
In July 2006 the Mayor went further in his efforts to tackle environmental damage, requesting that Transport for London produce proposals to amend the central London congestion charging scheme to discourage the use of cars producing high levels of carbon dioxide emissions, a contributor to climate change. In TfL’s proposal, the congestion charge would vary dependent on the level of emissions a car produced. The most environmentally friendly vehicles would enter the zone for free (as they do currently), but cars would be subject to a variable daily charge of up to £25 (approx US$47), depending on their emissions. The Mayor has stated he would like the new discounts for lower emission vehicles to come into effect from 2008, with subsequent higher charges for higher emitting vehicles to be delivered within two years of the introduction of the discounts.

18. Plans underway for new technologies
Tag and beacon technology for use in sensitive urban areas for more flexible charging e.g. charging by direction or time of day could be developed in short term (by 2009)
Differential pricing can reflect diverse conditions across London
Complexity is a concern
Opportunity to move to broad scale revenue raising systems that change behaviour
Potential reduction in other taxes
Plans underway for new technologies
Tag and beacon technology for use in sensitive urban areas for more flexible charging e.g. charging by direction or time of day could be developed in short term (by 2009)
Differential pricing can reflect diverse conditions across London but complexity is a concern
Opportunity to move to broad scale revenue raising systems that change behaviour which could lead to a potential reduction in other taxes

19. Tag & beacon within “mini-zone” of 20 charging points
Singapore
Borough High Street
Pictures of the infrastructure
Tag & beacon within “mini-zone” of 20 charging points
GPS On-board units for distance-based charging
We had to be sensitive on the size of the gantries in London – these are pretty unobtrusive especially when compared to Singapore’s ERP system which you can see in this slide
Tag & beacon within “mini-zone” of 20 charging points
GPS On-board units for distance-based charging

20. Journey fees could replace road tax 4 May 2005
London leads the way
UK Government drawing from experience of London
National system of road pricing has been placed on the Government’s transportation agenda
With a national charging scheme likely to be some years away, we are keen to develop our thinking on a transition plan to London-wide charging
London’s innovation now national mainstream policy
Looking beyond London…
The UK Government is considering the potential role of a national road pricing scheme and is seeking to encourage debate and local initiatives. It has drawn considerably from the experience of the London scheme.
With a national distance-based charging scheme likely to be some years away (UK Government always says 10 years each year!), we are keen to develop further schemes as part of a transition plan to London-wide charging
Five years ago this was a political ‘hot potato, but the UK Government announced two days before the last UK General Election that they wanted to pursue a national road pricing scheme
Journey fees could replace road tax 4 May 2005

21. Goal: Pricing Policy for Efficient use of Transport
Our Vision: Drivers pay for the impacts of the transport they consume
Congestion tackled
Emissions mitigated
Our goal is a pricing policy for the efficient use of transport
Our vision is that drivers pay for the impacts of the transport they consume and not only is congestion tackled but emissions mitigated also

22. Transport for London