Congestion Pricing Analysis for PANYNJ
THE ROAD LESS TRAVELED
Cheng Solutions economist Mike Fusillo analyzed the potential impact of a proposed Congestion Pricing Program (NYCPP) on traffic crossing the Port Authority’s bridges and tunnels, and ultimately on revenues. The study included estimates of depressed traffic owing to the pure price effect of how commuters and commercial operators might change their access time to avoid NYCPP fees; how NYCPP could compel a switch in route choice so commuters accessing the Manhattan CBD will cross into Manhattan outside the NYCPP zone, and then use public transit or walk to their final destination within the CBD. The process involved the use of origin-destination survey data and estimates of tolling elasticities by vehicle type and crossing. We then analyzed applied total fees to be charged to commuters and commercial operators because of NYCPP implementation and the regional value of time (VOT) to determine the outcome in numbers of crossings and PANYNJ revenue.
In the New York region, the line between gateway and bottleneck is a thin one. Accurate data on river crossings is essential for environmentally-minded planning and economic growth.
New York City
August 2007 – November 2007
Port Authority of New York and New Jersey