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167167-1 Report Abstract

Trucking Industry Response in a Changing World of Tolling and Rising Fuel Prices

Sharada R. Vadali, Rajorshi Sen Gupta, K. N. Womack, and Madhav Pappu, Texas A&M University, December 2007, 162 pp. (167167-1)

Direct user fees based options are gaining further momentum all across the United States and particularly in the state of TX.  The success of such ventures or projects requires a clear assessment of demand for toll roads among the potential user groups. However, there is too little information about the trucking industry as far as their attitude towards toll roads is concerned.  This lack of attention to response patterns can lead to optimism bias in truck toll forecasts. Through literature reviews, Texas specific focus groups, and surveys this study aims to establish the range in demand variation and route preferences for tolled roads across various segments of the trucking community.  Fuel prices are found to influence route choices and consequently toll road revenue forecasts. In addition to fuel costs, the other trade-offs that emanate from this study include cargo characteristics, haul characteristics, etc. Therefore a better understanding of the demand structure of the trucking firms requires all the relevant trade-offs be taken into consideration.

Keywords: Trucking Industry, Trucks, Route Choice, Tolls, Optimism Bias, Fuel Prices

ENTIRE REPORT (Adobe Acrobat File – 924 KB)