Tuesday, November 10, 2009

Gridlock costs GTA billions a year: OECD

Gridlock costs GTA billions a year: OECD
Lost productivity putting brakes on growth

TORONTO — Traffic congestion in the Toronto region costs Canada $3.3 billion in lost productivity a year, the result of urban sprawl, decades of underinvestment in public transit by Ottawa and a disjointed system, the Organization for Economic Co-operation and Development says.

In a first-of-its-kind review of the region’s economy, the OECD said transit service in the Toronto Census Metropolitan Area has not kept pace with population growth, with 71 per cent of commuters still dependent on the automobile — one of the highest rates of car use among cities in the organization’s 30 member countries.

The result is air pollution, some of the longest commutes among OECD countries, and “a direct hit on productivity,” especially in economic sectors that depend on rapid delivery such as retail, logistics and food.

A pair of minor accidents on Hwy 403 east in Hamilton brought the morning commute to a near standstill for more than an hour today. A fender-bender near the Hwy 6 exit and a rollover between King Street and York Boulevard backed up eastbound traffic as far as Fiddler's Green. It was a perfect example of how even minor problems have major effects.

To curb traffic jams, the Toronto region should consider measures such as toll lanes, local fuel and parking taxes, and a Singapore-style congestion charge in which roads in the city centre and major routes such as the 400-series highways would be subject to fees that vary according to peak hours, the OECD says.

Although the Toronto region is one of Canada’s “chief economic powerhouses,” the report says the area’s gross domestic product per capita is middling compared to other OECD countries, while its rate of labour productivity is lower than most U.S. and European cities with comparable income levels, the report says.

That’s due in part to the decline in manufacturing jobs, weak investment in innovation, a failure to capitalize on the skills of its immigrant population and a lagging regional transport network, the 200-page report notes.

Toronto Mayor David Miller said the OECD identified several concerns long expressed by Canada’s mayors, including the need for a national transit strategy and revenues that grow with the economy.

“The OECD report makes it clear that if Ontario and Canada are to thrive, its largest urban centre a must not be taken for granted,” he said.




http://thespec.com/News/CanadaWorld/article/669904

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