Incorporating Economic Assessment into Capacity Allocation and Infrastructure Charging Policies for Vertically-Separated Railways

Document Type

Journal Article

Publication Date


Subject Area

mode - rail, place - europe, economics - pricing, planning - methods


capacity allocation, pricing policies, railway


Capacity allocation mechanisms and infrastructure access charges in vertically separated railways generally consider only the points of view of the train operator and infrastructure manager. External and other societal costs are not considered in setting these policies and in evaluating their impact on each player. This work proposes a methodological framework for evaluating impacts of capacity allocation and infrastructure pricing policies on society by applying a set of project evaluation guidelines that is normally used for new infrastructure projects to a set of capacity allocation and pricing policies. These guidelines use a cost–benefit analysis to evaluate the project and then understand the impact on each industry player and on society. A case study of the ScanMed corridor is used, looking at a congested section over the Oresund Bridge. The case study evaluates proposed capacity allocation mechanisms that prioritize either passenger or freight traffic. The results of this evaluation show the total impact of a particular policy on each player, including society. External costs are also considered in this evaluation. This approach can be used by decision makers to make more informed decisions when setting infrastructure charging and capacity allocation policy.


Permission to publish the abstract has been given by SAGE, copyright remains with them.