Guide to Calculating Mobility Management Benefits Victoria Transport Policy Institute
Consumer Savings Mobility management programs that improve affordable travel options and land use accessibility tend to provide consumer savings, increase transportation affordability, and support equity objectives (VTPI, 2006).
Consumer Cost Savings Subcategories
Vehicle operating cost savings (fuel, oil, tire wear).
Reduced mileage-based depreciation (vehicle wear-and-tear, increasing maintenance, repair and
Vehicle ownership cost savings.
Housing cost savings (such as reduced residential parking costs).
Mobility management strategies that improve lower cost transport options, such as walking, cycling, ridesharing and public transit, tend to provide the greatest consumer savings. Some strategies, such as parking cash out (allowing commuters the option of choosing cash instead of parking subsidies), Pay-As-You-Drive insurance, and location- efficient development provide direct financial benefits to consumers that drive less than average. Some pricing reforms directly increase consumer costs but their overall impacts depend on how revenues are used and the quality of travel options available.
Consumer Cost Savings Effectiveness
Walking & cycling
Transit improvements Rideshare programs Carsharing
Telework Commute trip reduction PAYD vehicle insurance Location-efficient development
School and campus transport management
Taxi service improvements Nonmotorized promotion Flextime HOV priority
Smart growth Marketing programs Carfree planning Traffic calming F r e i g t h t t r a n s p o r
Parking pricing Fuel tax increases Congestion pricing
depend on how revenues are used and the quality of transport options available.
This table identifies how various mobility management strategies reduce consumer costs.
Conventional transport economic evaluation considers vehicle operating costs, but often overlooks mileage-based depreciation and vehicle ownership costs. Reduced vehicle mileage provides fuel cost savings averaging 10¢ to 20¢ per mile, and reduces mileage- based depreciation that also averages 5¢ to 20¢ per mile. Improved travel options allow some households to reduce vehicle ownership, providing savings that typically average $2,000 to $4,000 annually per vehicle eliminated. Parking cash out and PAYD insurance provide hundreds of dollars in annual financial benefits to people who drive less than average. Specific analysis would help evaluate overall impacts of user charges that reduce other fees and taxes.