Economic Impacts of Traffic Congestion in Kathmandu Valley: A 2021 Cost Assessment

Abstract

Congestion has become the status quo for most commuters within the Kathmandu Valley; people have accepted it as a part of their daily commute. However, congestion is not insignificant; it engenders significant economic losses, ultimately weighing down the nation's development. Therefore, it is crucial for a nation to have an estimate of the total cost of congestion. Thus, this paper estimates the congestion cost along seven specific national and strategic urban road links within the Kathmandu Valley and models the relationship of the cost with key traffic parameters: speed and volume. The study reveals that congestion costs on the analyzed links in the Kathmandu Valley range from a minimum of USD 653.40 ¹(NPR 77,748.12)/ day /km/lane at the Satdobato-Gwarko link to a maximum of USD 2240.22 (NPR 266,564.66 )/day/km/lane at the Koteswor – Jadibutti link, with an average cost of USD 1525.69 (NPR 174,644.24)/day/km/lane.