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Did the London Congestion Charge Reduce Pollution?

Colin Green (), John Heywood and María Navarro Paniagua ()

No 237385060, Working Papers from Lancaster University Management School, Economics Department

Abstract: We examine the London congestion charge introduced in 2003 and demonstrate significant reductions in a number of pollutants relative to controls. We even find evidence of reductions per mile driven suggesting amelioration of a congestion externality. Yet, we find a robust countervailing increase in harmful NO2 likely reflecting the disproportionate share of diesel vehicles exempt from the congestion charge. This unintended consequence informs on-going concern about pollution from diesel based vehicles and provides a cautionary note regarding substitution effects implicit in congestion charging schemes.

Keywords: Pollution; Traffic; Congestion Charging (search for similar items in EconPapers)
JEL-codes: H27 I18 R48 (search for similar items in EconPapers)
Date: 2018
New Economics Papers: this item is included in nep-ene, nep-env, nep-law, nep-res, nep-tre and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Journal Article: Did the London congestion charge reduce pollution? (2020) Downloads
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