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HANDBOOK

OF

TRANSPORT STRATEGY

POLICY AND INSTITUTIONS

Edited by

KENNETH J . BUTTON

The School of PublicPolicy

George Mason University

DAVID A. HENSHER

Institute of Transport Studies

University of Sydney

ELSEVIER

2005 6

Amsterdam Boston Heidelberg London New York Oxford

Paris San Diego San Francisco Singapore Sydney Tokyo

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C O N T E N T S

Introduction to the series v

Chapter1

Introduction

KENNETH J.BUTTONandDAVID A. HENSHER 1

1. Introduction 1

2.

Changing themes in transport strategy policy and institutions 2

3. The elements of transport strategies policy and institutions 6

4. The Handbook 7

Chapter

2

Market and Government Failures in Transportation

KENNETH J.BUTTON 11

1. Introduction 11

2. Nature of market failures 12

2.1. Market power

13

2.2.

Externalities 16

2.3.

Excessive com petition

18

2.4. Other market failures 20

3. Government intervention failures 21

3.1. Information issues

22

3.2. Regulatory capture 23

3.3. International coordination 25

4. Conclusions 26

References 27

Chapter3

Regulatory Transitions

WILLIAM B. TYE 29

1. Introduction 29

2.

Origins of the regulatory transition problem 29

2.1.

The

regulatory transition problem defined

29

2.2.

Regulatory and antitrust issuesin thetransitiontoderegulationin the

US rail industry

30

3. Issues in regulatory transitions 31

3.1 Importanceofaddressing explicitly the specific problem s raised by

regulatory transitions

31

3.2. Objectivesforthe regulatory transition 32

3.3. Three insights into

the

structure

of

transition problems

33

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4. Ramsey pricing and maximum reasonable rates 34

5. Competition policy in the transition to deregulation 35

6. Pricing competitive access in the transition to deregulation 36

6.1 Significance of the access issue 36

6.2. The competitive access problem defined 37

6.3.

Economic logic underlying alternative policies on competitive access 40

6.4. Implications of weak versus strong competitive neutrality to the

access pricing problem 41

7.

Revenue adequacy and stranded costs 42

8. Conclusion 44

References 44

Chapter 4

Economic Deregulation in the USA

ROBERT J.WINDLE

49

1.

Introduction 49

2.

Rationale for economic regulation 50

3.

History of network deregulation 52

4. Results of network deregulation and continuing issues 56

5. Conclusion 60

References 62

Chapter 5

Tendering of Services

JOHN PRESTON 65

1. Introduction 65

2. Forms of tendering 65

3.

Theoretical evidence on tendering 66

4. Empirical evidence on bus tendering 68

4.1.

Evidence on the Scandinavian model 68

4.2.

Evidence on hybrid models 72

4.3.

Overview of bus tendering 73

5. Empirical studies of rail tendering/franchising 74

6. Overview 77

7.

Conclusions 78

References 80

Chapter

6

Performance Evaluation Frameworks

DAVID A. HENSHER

83

1.

Strategic thinking competitive advantage and effective

performance 83

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ix

2. Promoting a holistic framework: STO 85

3. A useful checklist of broad principles for selecting

performance measures 87

4. The traditional dimensions of performance evaluation 88

5. Broadening the performance evaluation framework to

capture the spirit of STO 90

6. Conclusion 94

References 95

Chapter

7

Privatization in Transport

CHRIS NASH 97

1.

Introduction 97

2.

Arguments for and against privatization 98

3. Alternative approaches to privatization 101

3.1.

Simple privatization without othe r measures 101

3.2. Privatization plus regu lation 101

3.3.

Privatization plus deregulation 102

3.4. Franchising

103

4.

The success of privatization - the UK experience 107

5. Conclusions 112

References 113

Chapter

8

Coordination Integration and Transport Regulation

DIDIER M. VAN DEVELDE 115

1. Introduction 115

2. Theoretical perspective on coordination 116

2.1. Market failuresandcut-throat com petition 117

2.2. Market failuresandnetworks 118

3.

Historical perspective on the coordination policy 121

3.1.

Theshifting preferencesforcoordination instruments 122

3.2. Phases 122

4. Coordination of public transport services 127

4.1. From cooperationtointegration 127

4.2. Integration asthe good practice ofcoordinationinpublic

transport 128

4.3.

Transpo rt planning

129

4.4.

Reforms 130

5.

Conclusion 132

References 134

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Chapter

9

Integrated Transport Systems: Public-Private Interfaces

JOSE M. VIEGAS 135

1.

Transport systems as integrators 135

2. The features of integrated transport systems 137

3. The difficulties and processes of transport system integration 139

4. The involvement of private agents in integrated transport

systems: advantages and difficulties 143

5. The instruments for integration and their deployment 146

6. Conclusions 153

References 154

Chapter

1

The History of Transport Planning

MAX G. LAY 157

1. Before mechanical power 157

2. The age of steam 159

3. After the car 161

4. Melbourne case study 163

4.1.

1929 Melbourne PlanofGeneral D evelopment 163

4.2.

MMBW 1954 Town Plan

164

4.3.

MTS 1969 Tran sportation Plan 164

4.4. From 1973todate 165

5. Model applications 165

6. Computing power 166

7. The four-step LUTS 167

8. Further developments 169

9. Problems and solutions 171

References 173

Chapter

11

The Evolution of Transport Networks

DAVID LEVINSON

175

1. Introduction 175

2. A macroscopic perspective 177

3. Microscopic models 181

3.1. Thenode location problem 181

3.2. Thelink formation problem 182

3.3.

The

link expansion (contraction) problem

184

4. Conclusions 187

References 188

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Chapter

12

Transport and Regional Growth

CHRIS JENSEN-BUTLER and BJARNE MADSEN 191

1.

Introduction 191

1.1. Definitions 192

1.2. Problems 193

1.3. Spatial issues 194

2. Approachesto theanalysisof interactions between transport

and the economy 195

2.1. Traditional approaches 195

2.2.

Approaches based upon the analysis of externalities 196

2.3.

Social-accounting-matrix-based approaches 196

2.4. Computable general equilibrium models 199

3.

Illustrating the central modeling issues

202

3.1. The LINE model 202

4.

The key dimensions 211

5.

Different modeling approaches: concrete studies 214

5.1. Transport modeling 214

5.2. Production function models 215

5.3. Accessibility models 216

5.4. Inter-regional SAM models 217

5.5. Land use/transport interaction models 218

5.6. LINE 218

5.7. Spatial CGE models 220

References 221

Chapter

13

Infrastructure Policy

ROGER VICKERMAN 225

1.

Introduction 225

2.

Infras tructure characteristics and policy objectives 225

3. Infrastructure as public utility 228

4.

Private finance and provisionofinfrastructure 230

5. Regulationofinfrastructure 232

6. Conclusions 233

References 234

Chapter 14

Integrated Transport Strategies

ANTHONY D. MAY CHARLOTTE KELLY and SIMON SHEPHERD 237

1.

Introduction 237

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2.

The meaning of integration 237

3. Possible integration principles 239

4. The concept of synergy 240

5.

The treatment of barriers 241

6. Some examples 243

6.1.

The London congestion charging study 2 4 3

6.2. The PRO POL IS study of Dortmund 24 5

6.3.

The Edinburgh integrated strategy study 2 4 6

7.

The application of sensitivity analysis 248

8. Ge nera l design guidance 251

9. Conclusions 252

References 253

Chapter 15

Long-term Planning

EDWA RD WEINE R and ELIZABETH S. RIKLIN 25 5

1. Introduction 255

2.

Background 255

3.

Overview of the transportation planning process 256

4.

Visioning and transpor tation goals 256

4.1.

Transportation goals 2 5 8

4.2. Performance measures 2 5 8

4.3.

Land use and transportation 25 9

4.4. Public participation 2 6 0

5.

Information 260

6. Identify transp ortation needs 261

6.1. Assess current conditions 2 6 1

6.2. Project future conditions 2 6 2

7. Develop and evaluate alternatives 263

7.1.

G ene rate alternative strategies and actions to address the gaps 2 6 3

7.2. Evaluate alternative strategies and actions to address the gaps 2 6 4

7.3.

Identify the distribution of costs, benefits, and impacts 2 6 7

8. Prepa re a long-term plan 267

8.1.

Long-term plan document 2 67

8.2. Set priorities 2 6 7

8.3.

Establish financial plan 2 6 8

8.4. Transportation improvement program 26 9

9. Monitoring and evaluation 269

10.

Conclusion 270

Appendix 270

References 272

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Chapter 16

Transportation Asset Management

ODD J. STALEBRINK and JONATHAN L. GIFF OR D 27 5

1. Introduction 275

2.

Key functional areas of transportation asset management

systems 275

3.

TAM benefits 276

4.

Transpo rtation asset management systems tools 277

5.

TAM development in Comm onwealth countries 278

6. TAM development in the USA 279

7.

Concluding rem arks 282

References 282

Chapter 17

Financing Transport Infrastructure

RICO MAGGI 28 5

1.

Introduction 285

2. The evidence from past to present 286

3. Financing transport infrastructure via pricing 290

4. Public-private partnership 294

5.

Conclusions 296

References 297

Chapter 18

A Banking Perspective on Transport

NICHOLAS HANN and TIM MACK 29 9

1. Introduction 299

2. A banke r's view of the transport sector 299

3.

How bankers look at projects differently from econom ists 302

4. Institutional models 304

4.1. BOOT/BTO/BLT 3 04

4.2. Franchising 3 0 5

4.3.

The role of subsidy 3 0 6

5.

Key issues for governm ents and bankers 308

5.1. A service or an asset? 3 0 8

5.2. Risk transfer and off balance sheet 3 0 8

5.3.

Certainty of cost 3 0 9

5.4. Cost of capital 3 0 9

5.5.

Term ination and step in rights 3 1 0

5.6. Ramp up 31 0

5.7. Shadow tolling 3 1 1

5.8. Revenue and value capture 3 1 1

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6. Financing structures and options 311

6.1.

Equity 311

6.2. Leasing- finance leasing and operating leasing 312

6.3. Mezzanine debt

313

6.4. Bank debt 313

6.5. Capital markets debt 313

6.6. CPI indexed bonds

314

6.7. Municipal/revenue bonds 314

6.8. Securitization 315

6.9. Nationa l Express Melbou rne rolling stock financing 315

6.10. A tale of two airport rail links: Brisbane Airtrain and Sydney

Airlink 317

6.11. London Underground

318

7. Why use private sector finance? 319

8. Has private investment in transport infrastructure been

successful? 320

9. Trends in transportation finance 321

9.1.

Evolving risk profile in privately funded road projects

321

9.2. Commercial models

322

9.3.

Major barriers to private sector investment in public transport

322

10. Conclusions 323

References 323

Chapter 19

Financial Analysis: Applications to Australian Toll Road Entities

STEWART JONES

325

1. Introduction 325

2. Regulations governing financial disclosure 326

3. The primary financial statements used in financial analysis 328

3.1.

The statem ent of financial position

328

3.2. The statement of financial performance

329

3.3.

The statem ent of cash flows

330

4. Background: Transurban and the Hills Motorway Group 331

5. Financial analysis of TCL and HLY 331

6. Financial ratio analysis 334

6.1.

Assessing profitability

334

6.2. Assessing cash flow from ope ration s

336

6.3.

Assessing cash position

338

6.4. Assessing liquidity

340

6.5. Assessing capital struc ture 341

6.6. Assessing debt servicing capability 342

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6.7. Assessing turnov er

6.8. Assessing variability

6.9. Assessing valuation fundam entals

6.10. Assessing investment returns

7. Conclusions

Appendix. Financial statement summaries for TC L and HLY

(2000-2002)

References

344

345

346

350

351

353

357

Chapter 2

Financing Transport Infrastructure: Public Finance Issues

PETER ABELSON 3 59

1. Introduction 359

2.

Instrum ents for raising and servicing capital 360

3. Capital raising, user charges, risk, and ownership 363

3.1. Capital raising and user charges 3 6 3

3.2. Capital raising and risk 3 6 4

4. Raising capital for new transp ort infrastructure 365

4.1. Using current tax revenues 3 6 5

4.2. Public borrowing 3 6 7

4.3.

Private sector financing 3 6 9

5.

Privatization: re-financing transport infrastructure 370

6. Conclusions 371

References 373

Chapter 21

The World Bank and Transport

KEN GWILLIAM 37 5

1. The World Bank Grou p 375

1.1. The policy context for World Bank lending 3 7 6

1.2. The World Bank process 3 7 7

1.3. The lending instruments 3 7 8

2. Investment project appraisal at the World Bank 379

2.1. The role of formal cost-benefit analysis 3 79

2.2. The limitations of formal appraisal 3 8 1

3. The institutional and policy context 382

3.1.

Maintenance strategies 3 8 2

3.2. Th e role of the private sector 3 8 5

4. Focusing on poverty impacts 387

5.

Summary 389

References 390

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Chapter 22

Asset Management and Funding: Transport and Non-profit

Institutions

JAMES H. MILLER, JILL HOU GH and LYN HELLEGAAR D 39 1

1. Introduction 391

2. The role of non-profit corporations in passenger

transportation 391

3.

Characteristics of non-profit corporations 393

4.

Advantages and disadvantages of the private, non-profit form

of organization 394

5.

Case studies of non-profits 396

5.1.

York County, Maine 3 9 6

5.2. Bis-Man Transit Board, Bismarck, North Dakota 3 98

5.3. Wheels of Wellness, Inc., Philadelphia, Pennsylvania 3 9 9

5.4. Missoula Ravalli Transportation Management Association, Missoula,

Montana 400

Summary 402

References 402

Chapter 23

Deregulation of US Air T ransportation

STEVEN A. MORRISON 40 5

4 5

4 5

4 8

4 8

4 9

4 2

4 2

4 4

4 5

4 6

4 6

4 7

4 7

4 7

4 8

4 8

4 9

1 .

2.

3.

4.

5.

6.

7.

Introduction

History

Methodology

Effects

4.1.

Rou te competition

4.2. Load factors

4.3. Fares

4.4.

Network structure

4.5. Profits

4.6.

Safety

Trouble spots

5.1. Gates

5.2. Perimeter rules

5.3. Dom inated hub airports

5.4. Congestion

The future

Summary and conclusions

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References 420

Chapter 24

Regulatory Issues: The Role of Internat ional Mari t ime Inst i tut ions

WAYNEK.TALLEY 42 1

1.

Introd uction 421

2.

Classification socie ties 421

3.

Flag states 423

4. Co astal states 425

5.

The In ternat ional M ar i t ime Organiza t ion 426

5.1. IMO safety conventions 4 2 8

5.2. IMO pollution conventions 4 2 9

5.3.

IMO recommendations and codes 4 3 0

6. The International Labour Organization 431

7. The UN Conference on Trade and Development 432

References 433

Chapter 25

Fostering Inland Waterways

JACOB B. POLAK 43 5

1 Introduction 435

2. Inland waterborne transport 436

3. Regulation 438

4.

Effectiveness of regulating inland wa terborne transport 441

5.

Deregulation 442

6. Conclusion 444

References 445

Chapter 26

Making Pricing Work in Public Transport Provision

SERGIO R. JARA-DIAZ and ANTONIO GSCHWENDER 44 7

1. Introduction 447

2.

Costs in public transpo rt 448

2.1. General aspects 4 4 8

2.2.

Cost structure 4 4 8

3.

Optimal fares in public transp ort 449

3.1.

The optimal fare 4 49

3.2. The financial result in the presence of scale economies 4 5 1

4. Returns to scale in public transport 451

4.1. A microeconomic model 4 5 1

4.2.

Other relevant aspects 4 5 3

5. The impact of substitute modes and second-best fares 455

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6. The optimal fare and distance 455

7.

Summary and discussion 457

References 458

Chapter 27

Transportation M ergers: The C ase of the US R ailroads

WILLIAM B. TYE and JOHN HORN 46 1

1.

Introduc tion 461

2.

Current state of the rail industry 463

2.1. The effects of rail mergers in the USA 4 6 3

2.2. Consequences of the Staggers Act 4 6 5

2.3.

Three-to-two issues 4 6 6

2.4. One-lum p theory 4 6 8

2.5.

Post-merger competitive access 4 7 0

2.6.

Merger benefits 4 7 1

3.

Conclusions 472

References 473

Chapter 28

Protecting the Captive Railroad Shipper

KIMBERLY VACHAL and JOHN BITZAN 4 7 7

1.

Introduction 477

2.

Identifying the captive shipper 480

3. Implications of captivity for pricing and service 483

4. Institutional alternatives 486

References 488

Chapter 29

Cost-benefit Analysis

KENNETH G. WILLIS 4 9 1

1. Introduction 491

2.

Financial versus social costs and benefits 491

3. Identification of costs and benefits 492

4. Relevant costs and benefits 492

5. M arket prices and shadow prices 493

5.1. Monopolistic prices 4 9 3

5.2. Unemployed resources 4 9 4

5.3. Subsidies 4 9 5

5.4. Public goods and externalities 4 9 6

5.5. Taxation 4 9 6

5.6. Marginal cost of public funds 4 9 6

5.7. Constraints on use 4 9 7

5.8. Summary 4 9 7

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6. Social discount rate: opportunity cost versus time preference 498

7. Decision rules 498

7.1. The net present value, internal rate of return , and benefit/cost ratio 4 9 8

7.2. Social welfare 4 9 9

8. Timing of investments 500

9. Multiple period investments and budget constraints 500

10. Risk and unce rtainty 501

11. Issues in CBA 502

11.1. Framing and context 5 0 2

11.2. Future costs 5 0 3

11.3. Environmental costs 5 0 3

12. Conclusions 504

Appendix. The sequence of investments in the presence of budget

constraints 504

References 506

Chapter 30

Multicriteria Evaluation of Transport Policies

RON VREEKER and PETER NIJKAMP 50 7

1. Introduction 507

2.

Evaluating transp ort policies 509

3. M ulticriteria evaluation methods 512

3.1. Utility or value system approaches 5 1 4

3.2. Programming methods 51 5

3.3.

Outranking methods 51 5

4. Applications of multicriteria analysis in transpor tation planning 516

4.1. Multi-objective programm ing 5 1 6

4.2.

The Maastricht-Aachen Airport expansion 5 1 8

4.3. The Cilcnto and Vallo di Diano National Park 5 2 0

5.

Conclusions 523

References 525

Chapter 31

Negotiated and Competitively Tendered Performance Based Contracts

ERNE HOUGHTO N and DAVID A. HENSHER 52 7

1. Introduction 527

2.

Defining performance-based contracts 528

3.

Examples of the implem entation of

PBCs:

the Hordaland

(Norway) and New Zealand models 531

3.1. The Hordaland model 5 3 1

3.2. The New Zealand model 5 3 3

3.3.

Assessment 5 3 4

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4. A case study: PBCs in Sydney 535

4.1. Model summary 5 3 5

4.2.

The case study 5 3 8

5.

Ongoing issues to consider in contracting 543

References 546

Chapter 32

Discriminant, Logit, and Neural Network Models for Measuring

Financial Fitness: App lication to the US Airline Industry

RICHARDD. GRITTA 54 7

1. Introduction 547

2. M easures of financial fitness 548

2.1. The AltmanZ score mode l 549

3. App lication of the Altman Z score model to major US airlines 550

4. Causes of the US airline industry's problem s 552

5. Other models of forecasting 554

5.1. The ZETA credit score model 5 5 4

5.2. The AIRSC ORE model 5 5 6

5.3.

Logistics

regression analysis 5 5 6

5.4. Neural networks 5 5 7

6. Conclusion 558

References 559

Chapter 33

Voluntary Travel Behavior Change

PETER

R. STOPHER 56 1

1. Introduction 561

2.

The social marketing approach (IndiMark) 563

2.1.

App lications of the social marketin g appro ach 565

3. The community development approach (Living Neighborhoods/

Living Change) 566

3.1.

Applications of the community development approach 5 6 8

4. Evaluating voluntary travel behavior change 569

4.1. How to measure change 5 7 0

4.2. Issues of

variability

5 7 3

4.3. Choosing a control group 5 7 3

4.4.

Measurement error 5 7 4

4.5. External evidence 5 7 5

4.6. Diffusion effects 5 7 6

5. Evaluation of recen t VTB C interventions 577

6. Conclusions 578

References 578

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Chapter 34

Non-motorized Transportation Policy

MATTHEW PAGE 58 1

1.

Introduction 581

2.

Why walking and cycling are important 582

2.1. Walking and cycling are more efficient 5 8 3

2.2. Walking and cycling are more sustainable 5 8 3

2.3.

Walking and cycling impose less danger on others 5 8 4

2.4. Walking and cycling are healthy forms of transpor t 5 8 4

3. Policies toward non-m otorized modes 585

3.1.

Development of walking policy in the UK 5 8 8

3.2. Development of cycling policy in the UK 5 9 0

4. Discussion 591

4.1.

Differences from motorized traffic 5 9 1

4.2. The importance of sensitive design 5 9 3

5.

Conclusions 594

References 595

Chapter 35

Flexible Transport Systems

JONATHAN L. GIFFORD 59 7

1. Introduction 597

2.

Predict and provide 598

3. Control 599

4.

Flexibility 601

5.

Flexibility and the theory of options 604

5.1. Varying construction cost 6 0 5

5.2. Varying demand 6 0 7

5.3.

Increasing uncertainty over demand 6 0 7

5.4. The bad news principle 6 0 8

5.5. Scale versus flexibility 6 09

5.6. Investing under uncertainty: summary 6 1 0

6. Public policy implications 611

References 611

Chapter 36

Stimulating Modal Shift

PETER BONSALL 61 3

1.

Background 613

1.1. Introduction 61 3

1.2. Why should we want to alter the modal split? 6 1 3

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2

Reducing the use of undesirable modes 615

2.1. Taxes and charges 6 1 5

2.2. Regulations and physical restrictions 6 1 9

3.

Positive encouragem ent of the use of des irable modes 620

3.1.

Provision of facilities and services 6 2 0

3.2. Financial inducements 6 2 2

4. Marketing 624

4.1. Basic information and advice 6 2 4

4.2.

Presentation and marketing 62 5

5. Who can make it happen? 628

6. Conclusion 632

References 633

Chapter 37

Marketing Public Transport

GENEVIEVE GIULIANO and SARA HAYDEN 63 5

1. Introduction 635

2. Informing the public 636

2.1. Changing the image of public transport 6 3 8

2.2.

Information availability 6 3 8

3.

Pricing strategies 641

3.1.

Free fare strategies 6 4 1

3.2. Simplified fare structure s 64 2

3.3. Smart and accessible fare payment 6 4 3

4. M arket segmentation 645

4.1. Public-private partnerships 6 4 7

5. Conclusions 648

References 648

Chapter 38

Implementing Intelligent Tran sportation Systems

BRIEN BENSON 65 1

1. Introduction 651

2.

Federal leadership 652

2.1. National program plan 6 5 2

2.2. Systems architecture and national standards 65 4

3. M ainstreaming ITS 657

4. Legal issues 658

4.1.

Liability 6 5 8

4.2. Privacy 6 5 9

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4.3.

Procurement 65 9

4.4. Intellectual property rights 6 6 0

5. Road pricing 660

6. Cell phone usage 661

7. Education and training 661

8. Conclusion 662

References 663

Chapter 39

Optimization of Transport Strategies

ANTHONY D. MAY, SIMON SHEPHERD and GUENTER EMB ERGER 66 5

1. Introduction 665

2.

Optimization 667

2.1. The general optimization problem 6 6 7

2.2.

Optimization approaches 6 7 0

3.

Application of formal optimization 672

3.1. The strategic land use transport interaction model (MA RS) 6 7 3

3.2. Identification of optimal transport strategies in four Euro pean cities 6 7 3

3.3.

The Edinburgh case study 6 7 7

4. Summary and conclusions 682

References 683

Chapter 4

Transport Policy within APEC

CHRISTOPHER FINDLAY and CHRISTOPHER KISSLING 68 7

1. Introduction 687

2.

AP EC and transport policy 687

3. AP EC structure and operations 689

4. Challenges for APEC 691

5. Transpo rt policy work 692

6. Conclusion 698

Appendix. AP EC work on transportation 699

References 703

Chapter 41

Transpo rt Policy in the Euro pean Union

PERAN VAN REEVEN 705

1. Introdu ction 705

2. European union 705

3. Transpo rt policy in the Treaty of Rome 707

3.1. Strong regulation of the transport sector in the mem ber states 7 0 7

3.2. The development of the common transport policy 7 0 9

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4. The internal market for the provision of transpo rt

services 710

4.1. Airtransport 71 1

4.2. Maritime transport 7 1 3

4.3. Rail transport 71 4

4.4.

Inland shipping 7 1 5

4.5. Road transport 71 6

5. Antitrust and state aid in transport 716

5.1. Antitrust 7 1 6

5.2. State aid 7 1 8

6. Infrastructure policy and charging 719

6.1. Infrastructure policy 7 1 9

6.2. Charging for infrastructure use 7 2 2

7.

The way forward 722

References 724

Chapter 42

Transport Policy in Post-Communist Europe

JOHN PUCHER and RALPH BUEHLER 72 5

1. Introdu ction 725

2.

Trends in transport systems and travel 726

3. Shifts in land use pat terns 731

4. Transport policies in the socialist era 732

5. Transport policies transformed by fall of Communism 734

6. Problems of modal shift in central Eu rope 736

7.

Furth er adjustments to transport policies 737

8. Impac ts of EU policies on the accession countries 739

9. Conclusions and policy recom mendations 740

References 742

Chapter 43

Transport Policies in ASEAN Countries

ANTHONY T.H. CHIN 74 5

1. Introduction 745

2. Transport policy, econom ic growth and developm ent 747

2.1. Low-income economies 7 4 7

2.2. Medium-income economies 7 5 2

2.3. High-income economies 7 5 6

3. Conclusion 760

References 761

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Contents xxv

Chapter 44

Transportation Policy in the USA

EDWARD WEINER 76 3

1.

Introduction 763

2.

Establishment of the US Departm ent of Transp ortation 763

3. The institutional and decision-making environment 764

3.1. The federal government 76 4

3.2. State governments 765

3.3. Local agencies 7 6 5

3.4. Citizens' and community groups 765

3.5.

The private sector 7 6 8

3.6. Interna tional coordination 76 8

4.

A comprehensive and coordinated decision-making process 768

5.

Major policy issues 769

5.1. Passenger and freight travel growth 769

5.2. Funding 77 0

5.3. Safety 77 4

5.4. Energy needs 7 7 4

5.5.

Environmental quality 7 7 5

5.6. Land development 7 76

5.7. Social equity 7 7 7

6. Conclusion 777

References 777

Chapter 45

Transportation Policy in Canada

TREVO R D. HEA VER and WILLIAM G. WATERS II 77 9

1.

Introduction 779

2.

The geographical, historical, and jurisdictional setting 780

3. The M acPherson Commission and the National

Tran sportation Act 1967 781

4.

Developments in transpo rt policy to 2000 783

4.1. The progress of regulatory reform (deregu lation) 7 8 3

4.2. The subsidization of unrem unerative services 7 8 8

4.3. Changes in the provision and finance of transport infrastructure

and related services 79 0

4.4.

Privatization of Crown corporations providing transport services 7 9 2

5.

Challenges of Canadian transport policy entering the

twenty-first century 793

5.1.

The decline of transport regulation as a major policy issue 7 9 3

5.2. The changing emphasis in cost recovery in provision of infrastructure 79 4

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5.3. Urban transportation challenges 797

5.4. Environmental concerns in Canadian transport policy 798

5.5. The conflict of national transport policies 798

5.6. Security and border issues 799

5.7. The problem of low-density markets 800

6. The future oftransp ort policy 801

References 801

Chapter 46

Transportation PolicyinNew Zealand and Australia

DEREK SCRAFTON 803

1. Introduction 803

2.

Transpo rt policy

in

New Zealand:

the

1980s and early 1990s

803

2.1. Encouraging fair competition in the transport sector 804

2.2. Minimizing public ownership of transport and related systems 804

2.3.

Improving accountability within the transport system 805

2.4. Improving safety within the transport system 806

2.5.

Outcomes 806

3.

Transpo rt policy in New Zealand : into

the

twenty-first century

808

3.1. Assisting economic development 809

3.2. Assisting safety and personal security 809

3.3.

Improving access and mobility 810

3.4. Protecting and promoting public health 810

3.5. Ensuring environmental sustainability 810

4. A ustral ian tran spo rt pol icy:theconst i tut ional framew ork 811

5.

Au stral ian tran spo rt pol icy: recen t deve lopm ents 812

5.1. Railways 812

5.2. Roads and road transport 814

5.3.

Urban transport 815

5.4. Aviation 816

5.5. Maritime 817

6. The way forward

818

References 819

Author Index 821

Subject Index 829