Environmental HDV Road Charging for Berlin - Theoretical Considerations and Empirical Estimations

Martin Winter () and Christian Hirschhausen
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Martin Winter: Workgroup for Infrastructure Policy (WIP), Technische Universität Berlin

No 2006-01, Working Papers from Center for Network Industries and Infrastructure (CNI)

Abstract: Our paper estimates the effects of an environmentally-oriented, time-differentiated road charging system for heavy duty vehicles (HDV) in Berlin. We develop a network based simulation model, which explicitly takes into account the interdependence between HDV and passenger car traffic. The model covers the whole metropolitan area. Our estimations of traffic effects are based on our own estimates of trip demand elasticities, as well as on data taken from other recent studies. Three main effects of the HDV toll are estimated: The potential reductions of air pollution, noise and congestion. The welfare effects of diminished air pollution due to lower traffic levels are computed, taking into account Berlin specific fleet emission data. For the valuation of noise effects we apply the Impact- Pathway-Approach: changes of health risks due to changes in traffic levels are calculated and expressed in monetary terms, using an immission model, dose-response-functions, and monetary values from other studies. In addition, we estimate the welfare effects of reduced congestion due to fewer trips, a changed routing behaviour and subsequent higher average speeds. It is concluded that while there is a social surplus of a Berlin city charge for HDV (about 25 million €), it may be smaller than the installation and operation cost of such a system.

Keywords: North-South; growth model; innovation assimilation (search for similar items in EconPapers)
JEL-codes: E32 R10 (search for similar items in EconPapers)
Pages: 50 pages
Date: 2006
New Economics Papers: this item is included in nep-ene, nep-env, nep-geo and nep-mac
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