Figure 36 Comparison of Sustainable Transport Infrastructure Costs and Congestion Pricing Revenue82
The revenues generated from the congestion pricing scheme in the first 5 months will go into cost recovery, and hence the contribution to sustainable transport infrastructure development is just 6%. After the capital cost recovery period—with just operation and maintenance costs—the revenues from the scheme can fund 18% to 29% of the sustainable transport cost requirements for the next 14 years. Many other cities have consistently invested the net revenues collected from congestion pricing into sustainable modes of transportation. Revenue utilisation by some of the major cities has been summarized below.
Case Studies London consistently dedicated more than 80% of the net revenue collected from congestion pricing for improvements in public transportation, road safety, walking, and cycling for the first five years. Rest of the revenue was utilised for improvement of roads and bridges. This clearly shows that London prioritized improvements in sustainable transportation to mitigate the negative effects of private motor vehicles. Now the net revenues from the Congestion Charge are spent on improving transport in line with the Mayor’s Transport Strategy. 83
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The costs have been estimated at the current monetary value for both investment and revenues Annual Report and Statement of Accounts 2017/18. Mayor of London. Transport for London. 2018. Pg. 208 83
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