One of the things that I’ll often hear people say about Toronto is that we’re a car-oriented city with inadequate transit, and that’s why we simply can’t implement things like congestion pricing. Usually it’s accompanied by statements like this: “Sure, I can see how it might work in London or New York, but they have proper transit systems, and we don’t.”
For all trips starting and ending in the City of Toronto, people driving themselves around is the dominant mode share at 45.3%. But the transit mode share is not nothing at nearly a quarter of all trips. And if you add up taking transit, walking, cycling (and other forms of micromobility), and taxiing, you get to 42% of all trips within the city. That’s a meaningful number.
For home-based work trips within the City of Toronto, the split between driving and taking transit becomes dangerously close. (A home-based work trip is a trip within the city that either starts or ends at home and is done for the purpose of work.) Driving sits at 39.4% and transit sits at 37.1%. Add in walking (10.2%), cycling/micromobility (5.8%), and taxiing/ridesharing (1.4%), and non-car forms of mobility dominate when it comes to getting to and from work.
Looking at all trips to only downtown Toronto, transit once again dominates at 40.4%. Add in the other non-car forms of mobility and we’re up to nearly 75% of all trips.
The numbers become even more pronounced if we look at only home-based work trips to downtown. In this case, transit ridership increases to 48.7%. Add in the other non-car forms of mobility and we’re now at 80%!
These are fascinating figures because, let’s say you were considering a congestion charge for motorists driving into downtown Toronto, and that the proceeds of this charge would be used to make impactful investments in transit and other mobility infrastructure. Based on this data, you’d actually be benefiting the greatest number of Torontonians.
These numbers also help to debunk the objection that people simply have no other option. If you’re coming into downtown Toronto, you have options. The transit exists, and the majority of Torontonians use it.
I guess Toronto isn’t so car-oriented after all. (The rest of the region is a different story.)
Back in the spring, I wrote about a platform called Build Canada. More recently, this same group launched their first "city project" called Build Toronto (which is not to be confused with the city corporation that ultimately became CreateTO). Similar to Build Canada, they publish regular memos and advocate for policies and projects that will help build Canada's largest city.
Their most recent memo is by the CEO of A2X, Jamie McDonald, and it covers a topic that we discuss a lot on this blog: congestion pricing. Jamie talks about the drag that congestion has on the region's economy (upwards of $45 billion every year?), the numerous successes we can point to from around the world, and then lays out the following proposal:
Create a downtown congestion pricing zone
Introduce dynamic highway pricing across the GTA
Guarantee fairness and predictable exemptions
Invest in alternatives before launch
This is the way. And it remains deeply disappointing that we don't have the political leadership to move this forward. Instead, we sit in traffic. But after a decade of writing about it, I think I've said about all I can say about the virtues of congestion pricing. We absolutely know it works. Now we just need to spread the word and continue to apply pressure. I'm glad that groups like Build Toronto are helping to do exactly that.
At the risk of sounding obvious, pricing is fundamental to the functioning of markets. It determines profitability, it allocates resources, and it influences customer behavior, among other things. Take the example of electricity pricing.
In Ontario, we use something called time-of-use (TOU) pricing. What that means is that electricity rates vary according to the time of the day and the time of the year. In the summer, the expensive peak usage period is the afternoon (because of air conditioning) and in the winter it's the morning and early evening (because of heating and lighting when people are generally not at work).
What this pricing strategy does is incentivize customers to change their consumption behaviours. Instead of doing laundry during a peak period, maybe you set a timer and have it run during a low-peak period. In other words, it helps to flatten the demand curve. This is valuable for utility providers because peak periods are more expensive to supply and they also create the risk of brownouts and blackouts. So you worry about peak demand.
With this in mind, let's now switch and talk about highway congestion. The parallels are almost identical, and yet, most highways are free to use, which means we do absolutely nothing to manage peak demand. Instead, we encourage the equivalent of brownouts where demand greatly exceeds supply, traffic crawls, and roads become practically unusable. Why is that? Why should highways be viewed any differently?
In the case of highways, there are even alternatives such as transit (thought not always, of course). But if you need electricity from a monopolistic utility provider, you're paying whatever rates they charge. As you might expect, the answer is not technical or economic. We know with 100% certainty that pricing congestion will reduce it. The reason we don't do it is political. Free roads are preferred to functioning roads.
One of the things that I’ll often hear people say about Toronto is that we’re a car-oriented city with inadequate transit, and that’s why we simply can’t implement things like congestion pricing. Usually it’s accompanied by statements like this: “Sure, I can see how it might work in London or New York, but they have proper transit systems, and we don’t.”
For all trips starting and ending in the City of Toronto, people driving themselves around is the dominant mode share at 45.3%. But the transit mode share is not nothing at nearly a quarter of all trips. And if you add up taking transit, walking, cycling (and other forms of micromobility), and taxiing, you get to 42% of all trips within the city. That’s a meaningful number.
For home-based work trips within the City of Toronto, the split between driving and taking transit becomes dangerously close. (A home-based work trip is a trip within the city that either starts or ends at home and is done for the purpose of work.) Driving sits at 39.4% and transit sits at 37.1%. Add in walking (10.2%), cycling/micromobility (5.8%), and taxiing/ridesharing (1.4%), and non-car forms of mobility dominate when it comes to getting to and from work.
Looking at all trips to only downtown Toronto, transit once again dominates at 40.4%. Add in the other non-car forms of mobility and we’re up to nearly 75% of all trips.
The numbers become even more pronounced if we look at only home-based work trips to downtown. In this case, transit ridership increases to 48.7%. Add in the other non-car forms of mobility and we’re now at 80%!
These are fascinating figures because, let’s say you were considering a congestion charge for motorists driving into downtown Toronto, and that the proceeds of this charge would be used to make impactful investments in transit and other mobility infrastructure. Based on this data, you’d actually be benefiting the greatest number of Torontonians.
These numbers also help to debunk the objection that people simply have no other option. If you’re coming into downtown Toronto, you have options. The transit exists, and the majority of Torontonians use it.
I guess Toronto isn’t so car-oriented after all. (The rest of the region is a different story.)
Back in the spring, I wrote about a platform called Build Canada. More recently, this same group launched their first "city project" called Build Toronto (which is not to be confused with the city corporation that ultimately became CreateTO). Similar to Build Canada, they publish regular memos and advocate for policies and projects that will help build Canada's largest city.
Their most recent memo is by the CEO of A2X, Jamie McDonald, and it covers a topic that we discuss a lot on this blog: congestion pricing. Jamie talks about the drag that congestion has on the region's economy (upwards of $45 billion every year?), the numerous successes we can point to from around the world, and then lays out the following proposal:
Create a downtown congestion pricing zone
Introduce dynamic highway pricing across the GTA
Guarantee fairness and predictable exemptions
Invest in alternatives before launch
This is the way. And it remains deeply disappointing that we don't have the political leadership to move this forward. Instead, we sit in traffic. But after a decade of writing about it, I think I've said about all I can say about the virtues of congestion pricing. We absolutely know it works. Now we just need to spread the word and continue to apply pressure. I'm glad that groups like Build Toronto are helping to do exactly that.
At the risk of sounding obvious, pricing is fundamental to the functioning of markets. It determines profitability, it allocates resources, and it influences customer behavior, among other things. Take the example of electricity pricing.
In Ontario, we use something called time-of-use (TOU) pricing. What that means is that electricity rates vary according to the time of the day and the time of the year. In the summer, the expensive peak usage period is the afternoon (because of air conditioning) and in the winter it's the morning and early evening (because of heating and lighting when people are generally not at work).
What this pricing strategy does is incentivize customers to change their consumption behaviours. Instead of doing laundry during a peak period, maybe you set a timer and have it run during a low-peak period. In other words, it helps to flatten the demand curve. This is valuable for utility providers because peak periods are more expensive to supply and they also create the risk of brownouts and blackouts. So you worry about peak demand.
With this in mind, let's now switch and talk about highway congestion. The parallels are almost identical, and yet, most highways are free to use, which means we do absolutely nothing to manage peak demand. Instead, we encourage the equivalent of brownouts where demand greatly exceeds supply, traffic crawls, and roads become practically unusable. Why is that? Why should highways be viewed any differently?
In the case of highways, there are even alternatives such as transit (thought not always, of course). But if you need electricity from a monopolistic utility provider, you're paying whatever rates they charge. As you might expect, the answer is not technical or economic. We know with 100% certainty that pricing congestion will reduce it. The reason we don't do it is political. Free roads are preferred to functioning roads.