1The use of transferable permits in transport policy

This paper considers potential use of domestic transferable, or tradable, permit systems for the purposes of travel management, especially reducing environmental nuisances. The main arguments for and against the use of permits are analyzed. Secondly two case studies of existing permit systems are examined. The main conclusions are that tradable permits can address greenhouse gas and regional atmospheric pollutant emissions, and are suitable for congestion on a restricted time-space basis. Permits applied to mobile sources are technically feasible at acceptable financial cost for protecting sensitive geographical areas, and schemes applied to automakers for unitary vehicle emissions are also viable