Internalizing the environment and health costs of transport systems

Resolve market distortions by internalizing transport-related environmental and health costs and benefits; bringing the costs of transport into relation with the mileage travelled; implementing economic instruments to stimulate health-promoting mobility behaviour and shifts in use of different modes of transport.

Ensuring that policies introduced to promote transport that is sustainable for health and the environment are cost-effective, taking all costs into account.

Motorized transport, and especially road and air transport users, usually do not face the full environmental and health-related costs, which can create adverse incentives and distortions in the transport market.

When considering the health cost implications of infrastructure investment and land use planning and their consequences in terms of transport and the need for mobility, account should be taken not only of direct health costs but also of the costs of not adopting health-promoting alternatives.

1. Internalizing environmental costs
2. Integrating transport, environment and health policies
3. Applying polluter-pays principle

1. Developing sustainable transport policy

1. Using economic instruments to manage environmental health costs
2. Improving methodologies for estimating environmental costs
3. Improving cooperation on concepts and methods for internalizing environmental costs
4. Costing environmental damage
5. Assessing financing to reduce health risks from environmental pollution and hazards
6. Assessing costs and financing to improve urban health

1. Revealing hidden environmental costs of economic production
2. Removing perverse environmental subsidies
3. Improving environmental auditing of production costs