A review of selected transport pricing, funding and financing issues in Asia

In the Asian context with high urban density, this survey discusses a few unique and important transport pricing, funding and financing issues, including road pricing, public transit system funding and pricing, and high-speed railway financing. Road pricing as either a congestion management tool or an infrastructure funding source has been adopted, where congestion pricing faces strong public objections in most cities. Alternatives such as road space rationing and tradable travel credit schemes have been proposed. Public transit systems are supporting movements of densely distributed populations in Asia, but often require government subsidies. Hong Kong has a profitable example of the “Rail plus Property” model, but it is unique and may not necessarily work in other cities due to low urban density and institutional barriers. High-speed railway in China requires substantial subsidy from central and local governments, which are often justified by the positive social and economic impacts.