VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY VU DUC BAO OANH EFFECT OF CONGESTION CHARGING POLICY ON GOODS DELIVERY BY LIGHT TRUCK IN HANOI MASTER’S THESIS VIETNAM NATIONAL UNIVERSITY, HANOI VIETNAM JAPAN UNIVERSITY VU DUC BAO OANH EFFECT OF CONGESTION CHARGING POLICY ON GOODS DELIVERY BY LIGHT TRUCK IN HANOI MAJOR: INFRASTRUCTURE ENGINEERING CODE: 8900201.04 QTD RESEARCH SUPERVISOR: Prof. KATO HIRONORI Dr. PHAN LE BINH Hanoi, 2022 PLEDGE I assure that this thesis is original and has not been published. The use of results of other research and other documents must comply with regulations.
The citations and references to documents, books, research papers, and websites must be in the list of references of the thesis. I have read and understood the plagiarism violations. I pledge with personal honor that this research result is my own and does not violate the Regulation on prevention of plagiarism in academic and scientific research activities at VNU Vietnam Japan University (Issued together with Decision No 700/QD-ĐHVN dated 30/9/2021 by the Rector of Vietnam Japan University). Author of the thesis Vu Duc Bao Oanh TABLE OF CONTENT TABLE OF CONTENT.
3 LIST OF TABLES. i LIST OF FIGURES .ii LIST OF ACRONYMS. iv CHAPTER 1: INTRODUCTION. Background of study.
Scope of study. 4 Chapter 2: LITERATURE REVIEW. Previous researches of congestion charging. Researches about impact to freight transportation.
Researches about transport charging to freight transportation. Development of Hypothetical Mechanism. Verification of Hypotheses. 12 Chapter 4: FINDINGS AND DISCUSSION.
Summarization of interviewing results. Factors effecting to congestion charging policy. Confirmation of hypotheses. Descriptive statistics of characteristics.
Verification of hypotheses and discussion for Transportation Companies. Verification of hypotheses and discussion for Grocery stores. Discussion of Policy Implications. 33 Chapter 5: SUMMARY AND RESEARCH REQUIREMENT.
Findings from model estimation. Limitation of the research. 36 Appendix 1: PRELIMINARY INTERVIEW COLLECTION. 52 Appendix 2: SURVEY QUESTIONAIRE.
59 Appendix 3: DATA ANALYSIS MODELS. 72 LIST OF TABLES Table 1. Congestion charging fee .1: List of organizations for preliminary interview .1: Descriptive statistics for Transportation companies .2: Expected changes of transport companies after CC policy is applied .3: Descriptive statistics for Grocery stores .4: Expected change in freight transport schedule in Transportation Company 24 Table 4.5: Expected change in driver’s wage in Transportation Company .6: Expected change in yearly revenue in Transportation Company .7: Expected change in product amount per trip in Transportation Company .8: Expected change in schedule in Grocery stores .9: Expected change product receiving frequency in Grocery stores .10: Expected change in ordered product quantity in Grocery stores. 32 i LIST OF FIGURES Figure 1.1: Traffic congestion in Hanoi .2: Electronic Road Pricing in Singapore .3: Congestion charging stations .4: Study process of the research .1: Preliminary interview with Construction companies .1: Diagram on the impacts from congestion charging to transport companies16 Figure 4.: Diagram on the impacts from congestion charging to grocery stores .3: Expected change in schedule in Transport companies .4: Expected change in schedule in Grocery stores.
24 ii LIST OF ACRONYMS TRANCONCEN: Transport Development Consulting Center CC: Congestion Charging CCP: Congestion Charging Policy DOT: Department of Transport iii ACKNOWLEDGEMENT Viet Nam is in the stage of developing, especially after the country has integrated in the World Trade Organization. There are many foreign projects investing in Viet Nam with record capitals continuously broken. However, most of them are still in the paper since our infrastructure is quite poor and backward; do not meet the potential demand of developing economy. Hence, building up the infrastructure, especially transport system plays a key role in being a firm basis to launch economic projects.
It is the fact that nowadays this filed badly need high-qualified engineers to get access to advanced technologies in order to build modern, high quality and aesthetic construction, making their remarkable contribution to our country in this open era. In recent years, the government have been investing much finance to infrastructure; advanced constructing technologies are applied in Vietnam. To put it into practice, knowledge about transport majors must be better and better, especially transport policy. Aiming to satisfy demands of development, Vietnam – Japan University is opening its scope and raising quality of training.
After learning and gathering knowledge in Vietnam – Japan University, I conduct my graduation thesis about transport policy. Directly guided by Prof. Kato Hironori and Dr. Phan Le Binh, I have completed my thesis as soon as possible.
Because of this, I would like to express my deeply gratitude to the lecturers of the subject, especially Prof. Kato Hironori, Dr. Phan Le Binh and Assoc. Takeda Shinichi who double checked my thesis.
Also, I would like to thank all staffs in Master’s Program in Civil Engineering section and all CEOs in transportation providers, especially Mr. Bui Hoang Tan (Laboratory Technician in Master’s Program in Civil Engineering section – VJU) and Mr. Nguyen Xuan Tuan (President and CEO of Global Alliance Joint Stock Company), who supported me for my iv preliminary survey step. Furthermore, I would like to thank my family for supporting me in data collection step for data analysis.
Although I have tried my best to conduct my thesis, it is not perfect as expected because of several reasons such as time shortage, knowledge ignorance, etc. I wish to receive advices, remarks and suggestions from teachers and all of you. Thank to you sincerely! v CHAPTER 1: INTRODUCTION 1. Background of study Nowadays, traffic congestion and pollution in Vietnam’s metropolitans are 2 of the most concerned problem.
Especially, Hanoi is one of metropolitans facing these problems. Therefore, it causes the slowing down in product delivery during peak season (Abivin, 2019). In fact, cars and motorbikes grow rapidly by 11.5% and transport capacity does not meet traffic demand growth (TRANCONCEN, 2020). This leads to delay in goods delivery, as well as time-consuming and increase in rejected orders.
In August 24, 2017, Hanoi Municipal People's Committee signed Decision 5953/QĐ-UBND for approvement of project Figure 1.1: Traffic congestion in Hanoi named ‘Enhancement of private motor- (Source: Baogiaothongvn.vn (2017) vehicle management and strengthening public transport for the reduction of congestion and environmental pollution in the period of 2017-2020 and vision to 2030’. In May 20, 2019, Hanoi government established Document no 2116/UBND-ĐT for approvement of project named ‘Pricing of motorized vehicles in some areas occurring traffic congestion and environmental pollution for limitation of motorized vehicles proportion’.2: Electronic Road Pricing in Singapore In Jun 2020, Hanoi Department of Transport (DOT) proposed congestion charging in Hanoi (Source: Wikipedia) 1 and began doing research project named ‘Report of Congestion Charging Scheme in Hanoi’. It is claimed that congestion charging stations will be established in 2025. In congestion charging policy, light truck is a type of vehicle which will be charged in 2025.
In this policy, light trucks will be charged alongside with private cars, taxis and passenger cars. According to charging technology, ERP Figure 1.3: Congestion charging (Electronic Road Pricing) (Figure 1.2) will be stations applied in charging stations, which will be (Source: Modified based on Google located around cordon 3, which includes 68 map) stations as shown in figure 1.1 Note: Yellow points are charging Charging time: 6.30 pm on tolls weekdays (No charging in holidays) Charging price is shown as Table 1. Congestion charging fee Mode Off-peak hours Peak hours Private car, Taxi 30,000VND 50,000VND Passenger car, Truck 15,000VND 30,000VND Motorbike, bus, priority vehicles 0 VND 0 VND 2 In this congestion policy in Hanoi, effectiveness to traffic and environment was claimed to be in positive trend, such as reduction of traffic jam, emission and vehicle operation time (VOC) (Hanoi Department of Transport, 2020). Meanwhile, transport policy still allows light trucks entering to urban area in 24 hours for 7 days per week.
According to Hanoi Department of Transport, light truck will be charged with the fee of 15000VND and 30000VND in congestion fee in off-peak hour and peak-hour, respectively. The question for the problems is whether congestion charging policy enhance light truck delivery and local business. Hence, it is necessary to assess the efficiency in product delivery by light truck with the impact of congestion charging policy in Hanoi 1. Research objectives This study aims to (1) identify expected impacts of Hanoi’s CC on light truck delivery and local businesses, and (2) show implications to Hanoi’s transport policy 1.
Research questions - What are expected issues in the proposed congestion charging with respect to impact on goods delivery by light truck? - What are the potential solutions for resolving the expected issues? 1. Scope of study - Place: in Hanoi city - Year: in 2025 3 1. Study overview The study is created by 5 chapters. Chapter 1 is some introduction about congestion policy, problems, and objectives of study.
Chapter 2 is reviewing the previous researches that are related to congestion charging, road pricing and freight transport.4: Study process of the research Chapter 3 contains methodology, consisting of surveying process, survey questionnaire, and data collection and analysis. Chapter 4 is data analysis and discussion for confirmation of hypotheses. Chapter 5 is summarization of the research. Moreover, table of content, list of tables, Reference and Appendixes.
In order to implement the research, the process of the research include from Literature review to Discussion on Policy Implications (Figure 1.4) 4 Chapter 2: LITERATURE REVIEW 2. Previous researches of congestion charging In the world, there are several researches about congestion charging. Deakin and Harvey (1991) assessed transport pricing by 5 categories including congestion pricing in California by analysis of changes in Vehicle Miles Travel fee (VMT), number of trips, travel time, delay time, fuel consumption and emission rate. They indicated that transport measures could relieve congestion, lower pollutant emissions, reduce energy use, raise revenue.
In one hand, Høyem (2015) evaluated environment costs with the impact of congestion pricing in Oslo, Norway by using mathematical functions. This research mentioned about the relationship between traffic flow, speed, travel time and emission rate by Johansson model (1997), but it was not exactly related to congestion charging. There are some metropolitans in the world applied congestion charging, including London (UK), Stockholm (Sweden), Singapore, Milan (Italy), Gothenburg (Sweden), Brazil and some small towns such as Durham (Norway), Znojmo (Czech Republic); Valletta (Malta). Turner (2005) assessed the changes in shopper categories with the impact of congestion charging in London.
Especially, congestion charging in London (UK), Stockholm (Sweden) and Singapore are typical examples for congestion charging application to several researches in many countries. Jarl (2009) applied case study in congestion charging of these 3 cities to research charging schemes in Auckland, New Zealand. Anna Corniel proposed congestion pricing strategies in some metropolitans in Washington metro regions based on case study of these 3 cities. Hårsman et al.
(2010) indicated the acceptability of congestion charging policy by presidential votes in charging scheme, including predicted time savings and incremented cost. Wu et al. (2017) also assessed congestion charging impact to traffic and emission in central Beijing urban area in China, which also used both macroscopic traffic simulation and a vehicle emissions model for determination of level of service (LOS) relation to charging zone size. However, all of these researches are from personal opinions or preliminary assessment, most of them mentioned about reduction of traffic volume in 5 general vehicles, instead of individual vehicles.
Bonsall et al. (2005) studied about impact of congestion charging policy by 6 charging schemes in Leeds City, which mentioned about the impact to socio-economy as the result of congestion charging policy. In Vietnam, there are some researches about congestion charging in Hanoi and Ho Chi Minh City. Nguyen (2020) assessed impact of congestion charging policy on traffic situation, environment and socio-economic in Ho Chi Minh City by indicators including changes in number of trips.