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A different approach to funding transport infrastructure

By Kevin Cox - posted Monday, 4 July 2005


Innovators will be encouraged to come up with new schemes to reduce transport costs and energy consumption as there will be capital available for investment. Currently, an entrepreneur who has a good idea has to now persuade entrenched bureaucrats to invest public monies. People will choose to invest either on the basis of direct returns or on the basis that they think the project is a good one for them and society. For example, a community may decide to invest all its funds in providing a safe environment for their children to cycle and walk to school.

Other ideas that might find the light of day are schemes for energy efficient public transport, but based on automatic low speed, highly efficient vehicles that can move people around their local suburbs.

It is expected other outcomes will be the desirability of living close to public transport routes, which may lead to high density living along and above public transport routes.

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The worst outcome

The worst outcome is that existing systems will continue much as they are but that a significant section of the population will change their behaviour. The worst outcome will be a significant reduction in non-renewable energy for transport.

The best outcome

The best outcome will be for the general population to understand the different tradeoffs with respect to transport and to receive tangible benefits for behaving in socially desirable ways. This will lead to less resource-intensive methods of travelling or even eliminate the need for much travel. The total system will become more efficient and will lead to the reduction in green house gases and the elimination of other undesirable outcomes.

As conditions change, the reasons for obtaining the rewards will change and the system will be able to evolve and redirect itself towards desirable outcomes.

Practicalities of introduction

The system can be introduced gradually. It does not require a big bang approach and it can be introduced on a trial basis in different parts of the country or with different groups. It is suggested it starts in areas where there is the greatest need and where it is possible to see alternatives arising quickly. It requires a government to introduce the system as they currently control the allocation of capital for transport infrastructure. However it could be any state government or local council that could first introduce the system. The Federal Government could even finance the initial introduction as a pilot study in a receptive community.

Disclosure

The author is interested in developing the information systems to support the calculation and distribution of rewards. More important will be the development of capital ownership systems to allow the efficient mass ownership of capital goods. The author would like to compete for the right to provide such systems.

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Article edited by Angela Sassone.
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About the Author

Dr Kevin Cox is an entrepreneur. Previously he has taught Information Systems in Canberra and Hong Kong and worked with computers for various multinationals in Australia, the USA and Indonesia.

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