Economics drove our first sustainable urban transport system; and the unsustainable one that followed

Slide 1:Economics drove our first sustainable urban transport system; and the unsustainable one that followed Vince Dravitzki Tiffany Lester

Slide 2:Overview Introduction Some comments on sustainable transport The first sustainable urban transport system 1900-1949 The mixed system 1950-1970 The 1970s 1970-1980 Economic reforms 1980-2000 Conclusions

Slide 3:Introduction There is a general acceptance that New Zealand�s current transport is unsustainable, although pathway to sustainability is debated. This Paper looks to our past. We used to have a sustainable household transport system. Success of the previous sustainable system. Change to the current unsustainable form. The role of economics in driving this change and some other factors in the change.

Slide 4:Sustainable Transport Descriptive rather than quantitative definitions. Sustainability is often depicted as the intersection of environmental, social, and economic factors. Household transport must: Facilitate economic connection. Facilitate social connection. Promote health and safety. Use energy efficiently and wisely. Complement urban form and liveability. Have low environmental impact. Passenger transport scores highly on the last three criteria. Cars score highly on the first two criteria, until numbers cause congestion.

Slide 5:Mode to CBD versus Distance Travelled (Christchurch CBD, 1960)

Slide 6:A New Era in New Zealand Urban Transport Between 1899 and 1916 electric tram systems were laid in 12 NZ cities and towns Systems were laid for small populations Cities 50,000 to 180,000 Towns 6,000 to 20,000 A large investment in public infrastructure Systems were publicly owned Systems were electrically powered First use of electricity for transport

Slide 7:Followed by a New Era in Urban Growth Within 30 years, the impact on promoting urban growth clearly evident. Growth of the CBD. Expansion of the suburbs. Tram systems made travel from suburbs to CBD a half-hour-journey rather than taking a half-day. The systems were successfully operating in the suburban densities of the time. Those suburban densities still exist today.

Slide 8:No new tram systems established after 1916. Competition from private motor-buses. 1st World War rapidly developed truck transport. Returning soldiers set up bus companies. 1928 Transport Act �protected� tram networks. Competition also from bicycles (As roads improved.) Early Competition

Slide 9:Systems were commercially successful and run as break-even operations. There was a long period of stable fares. Significant patronage decline during the 1930s Depression. Patronage increase during 2nd World War fuel restrictions. Motor-bus systems to complement tram systems were established.

Slide 10:Car use and ownership accelerated with the release from almost two decades of restraint. Depression and 2nd World War Vehicle numbers doubled in the 1950s. Close to 1 car per household by mid-1960s. Social-Recreational travel a motivator for car ownership. Cities now started to be shaped by the car rather than by public transport.

Slide 11:All tram systems replaced by trolley-bus and diesel-bus systems . 1963 for Wellington. At this time, tram systems were old (50+ years) and starting to be outgrown by expanding cities. In need of some investment. Re-investment was in bus systems Business Case of �lower operating costs and greater route flexibility� than trams.

Slide 12:Local Assembly of Vehicles Local assembly started in 1926. Active encouragement by Government from 1930�s onwards. Import substitution of components help establish manufacturing and engineering industries and sector skills Glass windows. Auto-electrical. Tyres and rubber products. Paints adhesives and sealants. Upholstery and car trim. Car priced halved with the start of local assembly in 1926 and reduced by 30% when it closed in the 1990�s.

Slide 13:Bus/Tram Passengers in Four Cities Decline of public transport patronage continued in 1960s and 1970s Buses now sharing congested street space with cars Average bus loadings decreasing unless services cut Greater proportion of fares from concessions (children and elderly) 1990 to 2001: only 3% of total travel by bus

Slide 14:Loss of Dedicated Street Space

Slide 15:Metropolitan Public Transport Tram/bus systems were successful in the typical New Zealand suburban form with route lengths of �12 km Journeys were suburban-CBD In the 1950s Auckland and Wellington each expanded into multi-city metropolitan areas 20 to 40 km journeys were needed for this form Journeys to the CBD were suburban-intercity-CBD A �high speed� intercity section was mainly provided only by motorway systems, especially in Auckland Development focussed on tying motorways into the CBD street system

Slide 16:1970s: Government Response to �Oil Shocks� Tripled fuel prices, 1973-1975; then doubled them again, 1978-1980 Reduced open speed limit from 100 to 80kmph Increased taxes and charges on larger engine sizes Restricted the number of new vehicles Banned weekend fuel sales Imposed carless days 1979-1980 Allowed �glide-time� for Government workers late1970�s Established agencies for alternate fuels CNG LPG, Bio-fuels Continued to build roads but no significant investment in public transport Invested heavily in fuel supply and self sufficiency 1977-1984

Slide 17:1970s: Vehicle Fleet Additions

Slide 18:Resilience to Oil Supply: 1940s versus 1970s 1940s tram systems were powered by local hydroelectric power so during the (1940s) wartime fuel shortages: Tram services still able to be expanded Fares could remain constant Patronage increased by 25% 1970s bus fleet was diesel-powered so during the 1970s fuel restrictions: Steep rises in fuel price raised operating costs Operating costs worsened by induced wage/price inflation Tight economic condition prevented re-investment Fares rose to attempt to recover costs Patronage dropped by 15-25% between 1974 and 1978

Slide 19:1980s/1990s: Vehicle Affordability Since 1985 the price for a new car has decreased by 30%. Since 1985 the price for 4-5 year old used car has decreased by approximately 50%. In 2005 two-thirds of the cars entering the NZ fleet were about 5+ years old.

Slide 20:1980s/1990s: Registrations by Engine Size

Slide 21:1980s/1990s Reforms: Household Vehicles Almost all households have at least 1 vehicle. Since 2001 50% of households have 2 or more vehicles. Households have also become smaller so that there are proportionally 25% more households to house the population compared to 1961.

Slide 22:Household Transport Expenditure Since 1973/1974, transport expenditure has fallen steadily. From 17% to 13% of total. Even though households: Have moved to larger cars. Own more cars per occupant. Have reduced use of walking, cycling, and public transport. Proportions of other household expenditure categories are stable or increasing.

Slide 23:Percentage expenditure on private transport has declined for all income groups since 1984-1985. Households from all income groups are spending a similar proportion of their total household expenditure on private travel. Household Private Transport Expenditure

Slide 24:Conclusions Sustainable transport has a wider framework than just environmental sustainability. Facilitating economic and social interactions is a key role. Context is important for sustainability. Public transport is important given distances in modern city (especially the walking/public transport combination). Economics is a major factor in travel mode choice and vehicle purchase decisions.

Slide 25:Conclusions Apart from the early 1900�s, we probably did not use the new technology wisely. Of cars and new public transport technologies. Economic deregulation reduced transport costs but encouraged non-sustainable behaviours. Returning to sustainable transport needs the economic drivers to be for this direction.