Choking Cities: High Cost Of Congestion In India

Traffic in Indian cities has reached a critical threshold, with roads increasingly overwhelmed by rising congestion. With a staggering 295 million vehicles registered last year alone, the roads have become highly congested. Cities like Bengaluru and Pune are now ranked among the top 10 most congested cities globally while New Delhi and Mumbai are among the top 50. As a result, commuters are stuck in an endless loop of frustration, e-commerce and other businesses are experiencing financial losses and the environment is gasping for fresh breath amid soaring pollution levels. Traffic congestion is no longer an inconvenience, it is a multi-faceted crisis that has far-reaching economic, social, and environmental consequences.

The Economic Burden of Congestion 

Congestion has severe implications for the economy as a whole. According to a report by Boston Consulting Group, India loses USD 22 billion annually due to traffic-related inefficiencies. Traffic congestion causes commuters and businesses to lose a significant amount of time in travel which severely affects their daily operations and worker productivity. For instance, e-commerce businesses where time is money, it is severely wasted by jammed roads and heavy traffic.

Moreover, India’s trade and logistics sectors are heavily dependent on efficient road transport systems but congested roads reduce their efficiency and increase their operational cost. Congestion delayed their services, leading to longer lead times, higher delivery costs, and potential damage to goods, thus impacting both businesses and consumers. According to the Institute For Social and Economic Change (ISEC), the estimated total productive hours loss due to congestion is 6998 hours a year which amounts to a financial loss of INR 11,45,568 per year. This shows how congestion is drastically impacting overall productivity and the economy.

Source-https://www.isec.ac.in/wp-content/uploads/2023/09/WP-554-Vijayalakshmi-and-Krishna-Raj-Final.pdf

Hazardous Impact On The Environment 

Stagnant traffic directly accounts for greater consumption of fuel, raising operational costs and impacting the environment alike. Vehicles idling in traffic emit toxic pollutants like carbon dioxide, nitrogen oxides, and particulate matter, contributing to air pollution and carbon emissions. According to the International Energy Agency (IEA), Indian road transport accounts for 12% of its CO2 emissions and is a major contributor to air pollution. Cities like Delhi and Bengaluru are already grappling with severe urbanization and rising population, and traffic congestion emerges as an added hurdle in their sustainable development. Moreover, it not only inflates fuel costs for consumers but also contributes to higher public health expenses.

Source-https://www.iea.org/reports/transitioning-indias-road-transport-sector/executive-summary

Transitioning Towards Smarter Roads 

While stringent regulations and better infrastructure serve the ultimate purpose, smarter roads are an immediate solution. Roads empowered by technology have the potential to turn congestion chaos into a seamless road experience.

Governments and businesses are highly focussing on integrating technology in roadways for better experiences and connectivity. Real-time monitoring, predictive analysis, and route optimisation can help in reducing congestion and emissions. By helping businesses manage their operation more efficiently these tools can ensure fewer cases of road congestion.

Recently, the Government has also emphasised smart traffic management systems through initiatives like the Advance Traffic Management Systems (ATMS ) which are helping in identifying vehicles' speed and providing them with real-time responses.

Source-https://pib.gov.in/PressReleasePage.aspx?PRID=2042493#:~:text=Advanced%20Traffic%20Management%20System%20(ATMS)%20has%20provisions%20for%20various%20electronic,of%20the%20on%2Dsite%20assistance.

With real-time tracking and predictive analysis, businesses and commuters can easily get live updates and forecast traffic patterns. This will help in optimising routes, saving time, and minimising fuel consumption. Imagine an E-commerce company based in Bengaluru that can reroute their deliveries using AI and real-time monitoring to ensure faster shipments or you are reaching for the last-minute meeting your boss is waiting for in a matter of minutes, easily due to predictive analysis and better route optimisation, surprising enough, Right? Well, this is the magic of technology on roadways, making them efficient, fast, and safe.

An Environmental Edge 

India is significantly transitioning towards Electric Vehicles (EVs) with over 714% increase in the sales of EVs in the last three years. EVs are increasingly promoting shared mobility and leveraging smart traffic systems. EVs have the potential to reduce approx 9.5 MTCo2 annually in India. With government incentives, EVs encourage traffic patterns and make urban commuting effective and environmentally sustainable. The gradual shift in EVs from traditional fuel-based vehicles will aid in reducing pollution and make Indian roads more sustainable and safe.

Source-https://oecd-development-matters.org/2023/02/15/can-electric-vehicles-drive-climate-change-action-in-india/#:~:text=Our%20analysis%5Bi%5D%20infers%20that,could%20have%20been%20avoided%20annually.

Source -https://www.ibef.org/industry/electric-vehicle

A Worth Driving Future

India needs long-term as well as short-term strategies to curb its congestion. Rising pollution and financial burden due to congestion duly affect the overall financial and environmental state of the country. Technology can emerge as a game-changer in reshaping Indian mobility and making it more efficient and sustainable. Real-time monitoring and predictive analysis are those allies that move hand in hand with Indian roads making them less chaotic and more seamless. These tools can significantly help in optimising routes and minimising fuel consumption, thus helping commuters to travel more efficiently. EVs are also increasingly aiding in promoting greener mobility and curbing vehicular emissions and pollution through smart technology. These measures are welcoming the prospects of better Indian roads- seamless and free of congestion.

Author~

Vishal Jain, co-founder and CEO, Roadcast