[London] Environmental tax

London Congestion Charge, Old Street, England. Picture taken by Nevilley. (Retrieved in 10/12/09, from http://en.wikipedia.org/wiki/File:London_Congestion_Charge,_Old_Street,_England.jpg )

According to Transport for London, London has the worst air pollution across Europe and the United Kingdom. Consequently this has laid various negative impacts on human health and the quality of life of Londoners. This serious air pollution is largely attributed to the road transport, which emits a substantial deal of Particulate Matter (PM10) and oxides of Nitrogen(NOX). The Mayor of London, Boris Johnson, sought to reduce air pollution by regulating diesel-engined trucks, buses, large vans and so forth.

1. Congestion Charging

The image retrieved in 10/12/09, from Transport for London http://www.tfl.gov.uk/assets/downloads/CC-Cameras.pdf

Since 17th of February 2003, Transport for London enforced congestion charging. The Congestion Charge Zone (CCZ) was gradually expanded from Central to West London, and it remains today as one of the most extensive application of congestion tax. In this scheme, £8 is daily charged for driving or parking a vehicle on public roads within CCZ between 7am and 6pm, Monday to Friday. The Congestion tax is not charged on public holidays, weekends,  and the period between Christmas and the New Year's Day. This scheme has been largely regarded successful by many environmental activist, according to Threadgould (2008).

2. Low Emission Zone (LEZ)
This scheme has been enforced since 4th of February 2008 through the fixed or mobile cameras that read the registration number plates of vehicles. This is then matched with a database of the vehicles to check whether the vehicles meet the LEZ emission standards or not. If a vehicle meets the LEZ emission standards, it is exempt from the charge or registered for a 100% discount. The following chart shows the charge for vehicles that do not comply with the LEZ emission standards:

Image retrieved in 10/12/09, from Transport for London http://www.tfl.gov.uk/roadusers/lez/5725.aspx

 3. Benefits

According to Transport for London, Congestion Charging diminished the traffic flow by 21 percent compared to pre-charge levels. This means 70,000 fewer cars daily. In contrast, the number of bus passengers during charging hours increased by six percent, which signified the rising popularity of public transports. In addition, the increased revenue of £137m from Congestion Charging could be invested on the improvement in London transport. Most importantly, the reduced air pollution by these schemes may reduce the rate of respiratory or cardiovascular illnesses amongst Londoners.

Reference: Transport for London http://www.tfl.gov.uk/
                    Threadgould, A. 'The London Pollution Charge', 13/02/08, retrieved in 10/12/09, from  http://tutor2u.net/blog/index.php/economics/comments/the-london-pollution-charge/