the economics of active transport in queensland
DESCRIPTION
Ian Ker, Adjunct Associate Professor Transport Studies, Curtin University & Principal, Catalyst delivered this presentation at the 2012 Queensland Transport Infrastructure Summit. The State Transport Infrastructure Series of events represent the leading forums in Australia to assess the future plans for transport infrastructure development and financing across Australia. For more information, please visit http://www.statetransportevents.com.auTRANSCRIPT
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Ian Ker
CATALYST
Consulting in Applied Transport, Access and Land use sYSTems
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Why Transport?
The demand for transport is a derived demand We travel to achieve something else
What we achieve through transport is more important than how much we travel
Some achievements are positive Access to employment, education, recreation, goods, services
Maintaining social relationships
Some achievements are negative Air pollution, climate change and other environmental impacts
Social isolation (esp. if you don’t have a car)
Obesity and disease resulting from too little exercise
The West Australian, 9 April 2012
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Active Transport, Infrastructure and Urban Development
Opportunity to influence: Urban form
Cost of transport
Social and economic well-being
Individual and community health
The West Australian, 9 April 2012
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
The School Travel Conundrum
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
The Work Travel Conundrum
Public
transport
perceived
as poor
commuting
optionWorkers
drive to
work
Public
transport
actually
gets worse
Public
transport
use
decreases
Fewer
commuters
use public
transport
Public
transport
services
are
reduced
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Economy Society Environment Sustainability
Transport HealthClimate Change
Active Transport
Reduced car use
More physical activity
Less fossil fuel use
Local environmental sustainability
Community vitality
Better accessibilityLess congestion
Lower cost transport
Improved physical and mental health
Improved educational outcomes
Economic robustness
Global Environmental sustainability
Active Transport in Context
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Active Transport
Strategy/Actions
Effectiveness
Change in active
transportChange in car use
Benefit values for
active transport
Benefit values for
car use
Net benefit of change
in active transport
Accrual period for
outcomes
Durability of transport
activity change
Changing real values
over time
Time series of
benefits
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Benefits of Active Transport
Reduced car traffic Vehicle operating costs
Congestion
Roadway cost savings
Parking cost savings
Road Trauma
Emissions Air pollution
Greenhouse and climate change
Increased physical activity Health and fitness
Mortality
Morbidity/Well-Being
Mental health
Education and learning
Social/Community Improved accessibility
Reduced traffic barriers
Equity
Option value
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Benefits of Active Transport
Reduced car traffic Vehicle operating costs
Congestion
Roadway cost savings
Parking cost savings
Road Trauma
Emissions Air pollution
Greenhouse and climate change
Increased physical activity Health and fitness
Mortality
Morbidity/Well-Being
Mental health
Education and learning
Social/Community Improved accessibility
Reduced traffic barriers
Equity
Option value
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Source: Ker I, Fishman E, Garrard J, Litman T (2011). Cost and Health Benefit of Active Transport in Queensland: Research and Review, Stage One Report. Prepared by CATALYST for Health Promotion Queensland.
Benefits of Active Transport Per 1000 annual reduction in car-km of travel
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Behavioural programs
Household - $75 to $100 per household
School - $25,000 per primary school
Workplace – up to $200/employee upfront and up to $300/per employee ongoing – but highly variable
Infrastructure – Cycling
Off-road path - $120,000 to $600,000 per kilometre
On-road cycle lane - $200,000 per kilometre (both sides of street)
Bicycle parking - $300 per rack (parks two bikes)
Infrastructure – Walking
Should be integral part of urban development
Zebra crossing - $5,000 to $10,000
Costs of Active Transport
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Behavioural programs
Household – from 13:1 to 75:1 North Brisbane from 24:1 to 40:1 depending on how much additional public
transport capacity required
School – from 3:1 to 6:1 for school trips only
Workplace – up to 35:1 (4.5:1 in WA, with very low health value) Sufficient to attract business to participate in programs – workplace travel
planning benefit calculator for Victorian DoI and AGO
Infrastructure – Cycling
Typically from 3:1 to 5:1
Greater with complete and connected networks
Even high-cost projects, which are usually in areas of high demand
Infrastructure – Walking
Benefits from $4,000 to $7,000 for 1000km walking per year including health benefits
Returns on Investment in Active Transport
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Strategic Alignment
Health
Transport
Environment
Education
Planning
Energy
Beyond Benefit-Cost Analysis
Stakeholder Benefits Individual/Household
Financial Transport Health
Time?
Public Sector Finances Transport system costs Health system costs GST revenues
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Strategic Alignment
Health
Transport
Environment
Education
Planning
Energy
Beyond Benefit-Cost Analysis
Stakeholder Benefits Individual/Household
Financial Transport Health
Time?
Public Sector Finances Transport system costs Health system costs GST revenues
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Financial Impacts Transport costs
12-16 cents/km for smallest cars
18-19 cents/km for Falcon or Commodore
GST Revenues GST on fuel returned to States
Queensland receives about 10% less (increasing to 16% by 2013/4)than it contributes for other GST revenues.
Funding of health services Federal Government: 44%
State/Territory Gov’t: 24%
Private (inc. insurance): 32%
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Source: Ker I, Fishman E, Garrard J, Litman T (2011). Cost and Health Benefit of Active Transport in Queensland: Research and Review, Stage Two Report. Prepared by CATALYST for Health Promotion Queensland.
Financial Benefits of Active TransportPer 1000km annual reduction in car travel
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Speed = Distance/Travel Time
Effective Speed = Distance/(Travel Time + Earning Time*)
Time and Effective Speed
* ‘Earning time’ is the hours that need to be worked to earn the money to pay the financial costs of the travel.
Source: Tranter, P and Ker, I R (2007). A Wish Called $quander: (In)Effective Speed and Effective Wellbeing in Australian Cities. Proceedings of the State of Australian Cities Conference, November 2007: Adelaide, South Australia.http://archive.oxha.org/knowledge/publications/TranterKer_Wishcalledsquander.pdf
Note:
Total time for cycling (or walking) may be even less (ie effective speed is higher) where active travel is substituted for other physical activity, such as going to the gym.
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
Independent mobility for those without cars
Options for those who do have cars
Better health Individual and community well-being
Government and private financial costs
Improved productivity
Lower-cost transport Car operating costs
Congestion costs
Reduced environmental impact
More livable towns and cities
More robust towns and cities Transport energy – price and availability
Activity centres less dependent on motor vehicles
What Does Active Transport Offer?
The Economics of Active Transport in Queensland15th Annual Queensland Transport Conference, 2012.
The Bottom Line
The benefits of active transport go way beyond transport Health
Environment
Education
Social inclusion
Urban development
The benefits greatly exceed the costs Especially if infrastructure provided up-front rather than as retrofit
There are very few negatives
It is possible to get people to use active transport Behavioural programs
Infrastructure
People like to be able to walk and cycle Overwhelmingly positive responses to active transport initiatives