Submission to the Productivity Commission Road and Rail Freight Infrastructure Pricing Inquiry

The submission commences with a brief general discussion of the economics of road and rail infrastructure and some implications for pricing; examines the relationship between estimates of road infrastructure costs attributable to Australian heavy vehicle operators and charges paid, both at the aggregate level and for particular road corridors; discusses issues in improving the efficiency of both road and rail freight infrastructure pricing, and finally considers the question of charging for freight externalities.