Variable toll pricing of Metro Manila skyway using strategic pricing with sensitivity analysis

• Main Authors: Flores, Queen Jean A., Realon, Bien Carlo A., Mariano, Ronald S., panel chair
• Format: text
• Language: English
• Published: Animo Repository 2017
• Subjects: Traffic congestion > Management; Tolls
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/9333
• Institution: De La Salle University

Due to increasing volume of vehicles in the Philippines, traffic congestion occurs despite the effort of the government to build different infrastructures and regulations to minimize it especially in Metro Manila. Regarding this issue, the researcher would like to apply other way to minimize traffic congestion through mathematical modelling, called variable pricing, in Metro Manila skyway where traffic congestion usually occurs since it connects South Luzon and Manila. Variable pricing had been applied to different industires in the Philippines such as oil prices so upon applying it to the skyway, it can reduce the congestion on the tolled facilities by moving the traffic demand to alternative routes, modes by eliminating trips and road users which leads to the reduction of the user's travelling from the peak periods to the discounted and off-peak periods. The aim of this paper is to stimulate different scenarios of traffic volume in order to generate the best pricing strategy of a particular scenario in any time of the day of Metro Manila skyway using variable pricing. These generated scenarios are based from two-month traffic condition of the skyway from 5:00 AM to 10PM and using the given performance measure of traffic condition, assumed demand was generated per scenario per entry point. Moreover, the study seeks to determine the estimated near optimum revenue of the skyway upon generating the best price strategy and know the public acceptabilty of the best pricing strategy for Metro Manila skyway. The study focuses only on class 1 vehicles and center on weekdays hence, particular only to the entry points which are from South Luzon going to Manila. The researchers conducted first an initial survey where the most preferable price range, most preferable days and most preferable time period of road customers for skyway elevated were determined. Ther results of the survey were used to generate the mathematical model which was validated by GAMS software. After that, the final survey was conducted to know the acceptability of road customers for the chosen price strategy. Result showed that road customers were divided between leaving early to avail the decrease of toll price and leaving based from their regular schedule but pay for the increase of toll price. In here, it can be concluded that the traffic congestion can be minimized using the chosen price strategy though it is only applicable for the generated scenarios in the study.