Urban congestion pricing (Singapore)
Peaje urbano de congestión (Singapur)
- Date
- junio de 1975 · confidence high
- Place
- Central Business District, Singapore
- Credited to
- Government of Singapore with economists' advice
- Field
- Movement
What it is
The Area Licensing Scheme required, from 1975, buying a permit to enter the city centre at peak hours. It was the first city-scale application of the congestion pricing proposed by Vickrey; in 1998 it was replaced by electronic road pricing (ERP).
The economic concept is attributed to Pigou, Walters and Vickrey (1920s-1950s); Singapore first put it into practice.
What it led to
- electronic road pricing (ERP, 1998), the world's first dynamic system
- tolls in London (2003), Stockholm (2007) and New York (2025)
- traffic demand management through pricing