Client
Government of Israel
Year
2021–2023
Work Type
Government Advisory
Project Value
$5B
Transport Mode
Road, Multi-modal
Status
Completed
Tel Aviv Congestion Charging Scheme
Ongoing government advisory for the design and implementation of congestion pricing across the Tel Aviv metropolitan — one of the most congested urban areas in the developed world. The work spans scheme design, alternative evaluation, and policy recommendations for a ring-based charging system legislated by the Israeli government, supported by a thorough international review of systems in London, Stockholm, Singapore, Milan, Gothenburg, and New York and an extensive theoretical literature analysis covering pricing theory, technology options, and complementary policy instruments. The team tested dozens of pricing scenarios using a dual-model approach — MATSim agent-based simulation validated against a metropolitan Activity-Based Model — and developed a custom dashboard for systematic scenario comparison. Key recommendations include restructuring the legislated three-ring scheme to two rings, shifting from peak-only to all-day pricing, and moderate price increases in the core. The research also proposed major advancements in public transit as a prerequisite for scheme effectiveness, finding that congestion charging achieves 6–20% traffic reduction on main corridors but that system-wide impact depends critically on the quality of transit alternatives.


