China:First Shanghai banned bicycles from some streets, now it's considering the introduction of London-style congestion charges for private cars using the roads during peak hours in a move to ease the pressure on the city's road infrastructure.
Shanghai's traffic bureau reckons that introducing congestion fees could speed up traffic by between 15 and 25 per cent in China's largest city and financial hub. Congestion charges could also reduce the flow by 10 to 20 per cent, according to a report in the Beijing News.
Booming car ownership in Shanghai has put a major strain on the city's infrastructure and the city has introduced limits on vehicle ownership by controlling the number of license plates issued. Number plates can be reauctioned for an average of about €3,400, which is a massive sum for most Chinese.
Shanghai started imposing quotas on car ownership in 1986 in an effort to control the increasing number of private cars and traffic congestion.
In September this year, Shanghai city authorities said they would invest 110 billion yuan, around €11 billion, to get an extra five million people using public transport. Approximately 400km of subway network is expected to be operational by 2010.
But it's a difficult battle - car ownership is a central pillar of industry in China and a key middle-class aspiration. The country is also introducing tough rules on vehicular emissions.
Shanghai is home to some of the country's biggest car makers, including Shanghai Automotive.
China is the world's third-largest car maker and second largest market for cars, and car ownership is likely to exceed that of the United States by 2015.