Economic Evaluation of Banning Studded Tires Because of Environmental Impact

The environs of Sapporo, Japan, including four cities and three towns, were designated “studded tire restriction areas” by the Studded Tire Regulation Law of 1990. As a result of the law’s enactment, the studded tire usage rate decreased drastically, and the dust pollution from vehicles and dust concentration progressively decreased. The use of studless instead of studded tires had positive effects, such as improvements in air quality and the roadside environment. However, traffic congestion and vehicle and pedestrian accidents increased on slippery roads. The effects of the studded tire regulation were examined with an economic assessment of the 10-year period since the law was enacted. The effects of using studless tires were also assessed for transportation service and the environment. Calculated using the contingent valuation method for environmental evaluation and the primary unit method for transportation service and air quality, the effects were analyzed using the benefit incidence matrix. Positive effects were observed, such as an improved roadside environment for residents and pedestrians and reduced road maintenance expenditures. Adverse road user effects, however, were also observed, including increased travel time and costs.