• Journal of Korean Society of Transportation
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• v.25 no.6
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• pp.209-230
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• 2007

This paper analyzed the social cost function of a congestion-prone service system, which is developed from the social cost minimization problem. The analysis focused on the following two issues that have not been explicitly explored in the previous studies: the effect of the heterogeneity of value-of-travel-times among customers on the structure of cost functions; and the structure of the supplier cost function constituting the social cost function. The analysis gave a number of findings that could be summarized as follows. First, the social marginal cost for one unit increase in system output having a certain value-of-travel-time is the sum of the service time cost for that value-of-travel-time and the marginal congestion cost for the average value-of-service-time of all the system outputs. Second, the marginal congestion cost equals the marginal supplier cost of system output under the condition that supplier compensates the customers for the changed service time costs which is incurred by the marginal capacity increase necessary for economically facilitating an additional system output. Third, the compensated marginal cost is the multiple of the marginal capacity cost and the inverse of system utilization ratio, if the service time function is homogeneous of degree zero in its inputs.

• Proceedings of the KIEE Conference
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• 2002.07a
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• pp.428-431
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• 2002

본 논문에서는 경쟁적 전력시장에서 송전제약에 관한 비용을 적절히 할당하는 방법을 제시하고자 한다. 혼잡비용을 할당하는 방법으로는 모든 사용자들에게 똑같이 배분하는 방법과 혼잡의 원인을 제공한 사용자에게 정도에 따라 가중하여 혼잡비용을 할당하는 nodal pricing과 zonal pricing이 있다. 계산의 신속성과 복잡성으로 인해서 zonal pricing이 유용한 방법으로 사용되고 있다. 기존의 분할 기술은 계통운영자가 설정한 한계범위의 모선들을 zone으로 형성하는 통계적인 방법을 사용했다. 이 방법은 운영자의 임의성이 반영되는 모호한 알고리즘이라는 단점을 가지고 있다. 그래서 본 논문에서는 한계비용민감도를 이용한 계통분할 방법을 제안하였다.

• Journal of Korean Society of Transportation
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• v.20 no.4
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• pp.95-107
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• 2002

Congestion and increasing returns to scale in the use of and in the provision of transportation facilities have been biggest challenges to policy makers. In order to counter these problems and thereby to promote economic efficiency, optimal congestion tax and marginal cost pricing are separately and strongly recommended for each case. In this paper, however, we show that they are valid only in Partial equilibrium context in which only the corresponding market is considered. We set up a formal general equilibrium model and prove that the recommended policies are not in general effective. We continue to give particular examples which show the invalidity of each policy and continue to show that in the same examples, there exist better but unconventional policies. Based on these findings we strongly suggest to employ quantify restricting policy measure or to find second-best pricing policies.

• Journal of Korean Society of Transportation
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• v.25 no.5
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• pp.183-193
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• 2007

Traditionally, a congestion charge based on first-best congestion pricing theory, namely, the theory of marginal cost pricing theory, is equal to the difference between marginal social cost and marginal private cost. It is charged on each link so as to derive a user equilibrium flow pattern to a system optimal one. Based on this theory this paper investigates on the characteristics of first-best congestion pricing of multiple user class on road with variable demand, and presents two methods for analysis of social and spatial equity. For these purposes, we study on the characteristics of first-best congestion pricing derived from system optimal in time and in monetary unit, and analyze equity from this congestion pricing with an example network.

• Environmental and Resource Economics Review
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• v.12 no.1
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• pp.75-90
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• 2003

In this paper we have shown that a Pigouvian tax is an adequate resolution of congestion externality to attain Pareto optimality using utility maximization. For this objective, taking an open access freeway as an example, we not only derived both marginal private benefit and marginal social benefit, but also assessed the divergence between marginal private benefit and marginal social benefit. As a result, we identified that the amount of a Pigouvian tax should be the same amount as the external time cost, which is the value of the marginal time cost to Individual a incurred by Individual b through freeway congestion. This Pigouvian tax coincides with the profit or wealth maximizing toll suggested by literature on the basis of profit maximization. In addition, because an open access freeway is accounted as common property resource, we proved that average social congestion cost is essentially equal to marginal private congestion cost in our model. Finally, we showed that the optimal value of trip derived in our model is the same as that generated on profit maximization approach.

• Journal of Korean Society of Transportation
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• v.28 no.1
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• pp.63-74
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• 2010

Recently, there has been increasing demand from academic society in Korea for the improvement of current traffic congestion cost estimation methods. The purpose of this study is to suggest a better way to estimate congestion cost followed by in-depth review regarding traffic congestion. The key improvements proposed in this study include: 1) adding social externality to congestion cost, 2) integrating the green house and environmental pollution impacts with congestion costs, 3) taking non-recurrent traffic congestion costs into account for the assessment, 4) revising the criteria to determining the level of traffic congestion speed, and 5) deciding how to limit congestion measurement period. It is found meaningful that the improvements, notwithstanding difficulties in their real case application, provide invaluable insights in our efforts to change the meaning of congestion cost in an era of sustainable growth.

• Proceedings of the KIEE Conference
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• 2006.11a
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• pp.258-260
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• 2006

비수도권과 수도권의 수급 불균형 해소를 위한 6개의 북상선로에 흐르는 융통조류량의 한계값이 경제성 평가의 한 기준이 될 수 있다. 본 논문에서는 수도권 융통전력 한계를 고려한 제약급전사례의 검토 결과를 이용하여 FACTS 투입에 따른 증대된 융통전력한계를 바탕으로 FACTS 투입에 따른 혼잡비용측면에서 운전이익을 평가하는 방법을 논한다. 즉, F-V 해석결과를 이용하여, 수도권 융통전력 한계값을 결정하고 좀 더 정확한 운전이익 계산하기 위하여 결정된 한계값을 P-POOL 프로그램을 이용하여 혼잡비용 경감 효과를 확인할 수 있는 모의 방법을 확립한다. 확립된 방안은 계획계통을 이용해 검증하고, 최종적으로 FACTS 투입량과 투입후보지에 대한 융통전력 한계 측면에서의 경제성 평가한다.

• Journal of the Korean Institute of Illuminating and Electrical Installation Engineers
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• v.22 no.6
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• pp.134-140
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• 2008

A switch in congestion management nile in an electricity market may have positive or negative impact on the surplus of a market participant. As a number of wholesale electricity markets around the world either have already adopted or plan to implement Locational Marginal Pricing (LMP) for energy and congestion management, it is necessary to study the economic impact of a change in congestion management in the Korean electricity market. However, the impact of congestion management on consumer costs and generator surplus has not been studied for the electricity market in Korea. This paper examines how a change in congestion management affects consumer costs and generator surplus in the Korean electricity market.

• Proceedings of the KIEE Conference
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• 2006.07a
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• pp.365-367
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• 2006

송전망은 전력수송을 가능하게 함으로써, 경쟁적 전력시장을 지지하는 하부구조의 역할을 한다. 하지만 송전망은 여러 제약조건에 의해 수송 한계에 다다를 수 있고 이렇게 공급능력의 한계를 벗어남으로써 발생한 송전혼잡은 전체 계통운영에 있어서 비용 상승을 일으킨다. 본고에서는 송전선로 내 혼잡이 가격에 미치는 영향을 알고 그로 인한 각 모선의 LMP(Locational Marginal Price) 형성에 대해 세부적으로 연구하였다. 그리고 입찰방법을 단순히 이상적인 상창이 아닌 송전 혼잡으로 인해 전력 공급자가 시장지배력을 갖게 되었을 경우에 대하여 적절한 입찰전략의 필요성을 언급하고 가능한 방법을 생각해 보았다.

• Journal of Korean Society of Transportation
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• v.24 no.2 s.88
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• pp.31-41
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• 2006

The main purpose of this paper is to develop the practical method to estimate the congestion price in odor to overcome the difficulty of traditional microeconomics approach for demand and cost function concepts. In this paper, we estimate the theoretical congestion toll which reflecting the real traffic conditions such as a speed-density functions using a traffic engineering methods We calculates the optimal congestion toll based on the real traffic conditions assuming that the electronic road pricing (ERP) systems ave installed for the study road. After evaluating the various speed-density relationship methods. we found that the Drake model is best suited for the Gangbyeon Expressway Using the Drake model, the optimal congestion toll will be 94 to 3,255 Won for the traffic speed between 44km/h to 68 km/h based on wage rate method and 107 to 6,381 Won for the marginal substitution method for the Gangbyeon Expressway in city of Seoul, Korea.