Tolls and green transition
Revenues from Free Flow can finance low-carbon infrastructure if allocated to a dedicated fund. Copenhagen plans to earmark 40 billion 300 million euros of revenues from a future urban MLFF for the expansion of its tram network.
Arrow mechanisms
- Collateralized Green Bond : toll revenues guarantee the coupon.
- Cross-subsidy : for every € collected, €0.30 is paid to the transport authority.
- Eco-conditional tariff : reduction of 20 % if the ticket is combined with a multimodal ticket.
Impact study: Oslo
Since the 2023-2024 increase, toll revenues have contributed 18 % of the zero-emission bus budget and led to a 9 % reduction in city traffic.
Conclusion
Free Flow is more than a financial tool: it is a lever for redistribution to accelerate the transition to low-carbon mobility.
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