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Road User Charging for Urban Freight Vehicles: A Systems Approach

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Document pages: 30 pages

Abstract: Road user charging (RUC) has a long history asa mechanism to recover infrastructure maintenanceand capital costs. The present RUC systems are facing issues such astransparency, cross-subsidization, environmental concerns and reducing revenue due to the likes of lessening fueltax as vehicles become more efficient. Therefore, this paper reviews thestrengths and weaknesses of the present RUCmechanisms implemented in the world with respect to stakeholder problems anddemands of the freight industry and to describe the need for a moreappropriate, practical and sustainable approach that can be used in the future.Finally, a model is proposed that is transparent and considers usage-based charging addressing most of theweaknesses highlighted in the models reviewed. Further, it considersexternalities produced by heavy vehicles into account. The model has thepotential to provide answers to key stakeholder issues and will lead to a sustainable freight transport system in thefuture. Encouraging fuel-efficient modes, optimization of loading,routing and logistics systems, and long term land use planning are a few ofthem.

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