Worldwide, major cities stand to gain around $800 billion per year of economic opportunity from 2030 by upgrading their public transportation networks. This is according to a study "The Mobility Opportunity" conducted by London-based consulting firm, Credo, and presented today in Singapore. Commissioned by Siemens, the study looks at transportation networks in 35 major cities around the globe and assesses how prepared cities are to meet future challenges, including population growth and higher competition. The results: If all 35 cities studied would implement relative "best in class" standards, they stand to gain an economic benefit of roughly $238 billion annually from 2030. Extrapolating to all comparably-sized cities globally with a population of around 750,000 and greater, this suggests an economic opportunity of roughly $800 billion annually. This corresponds to about one per cent of global GDP. Today the potential benefit would be about $360 billion per year.
Transport is considered one of the major factors of a city's competitiveness. However, lack of financial resources often constrains cities' ability to invest in their transport networks. This study is unique in seeking to put an economic value on the cost of inefficient transport, thus helping cities make the case for investment. Some of the factors considered were journey times, crowding and network density, all of which impact a city's productivity. In order to have a reasonable comparison, the study groups cities into three categories to account for different levels of wealth and development. According to Credo, the most cost-efficient cities are:
Then, Credo compared cities to the leading city in their category. The comparison enabled them to quantify the economic benefits that investments in transport would bring, such as higher productivity and new economic activity. Finally, Credo has developed some key pointers on how cities can realize the potential economic uplift. Case studies show how potential investments can pay off.
"All cities can learn from the leading cities in their category in order to close the gap of their transport networks' efficiency, reduce costs and increase productivity. Because the more efficient a city's transport network is, the more attractive the city is to business and people", commented Chris Molloy, Partner at Credo.
"The best transportation systems are the ones that move people quickly, easily, and comfortably to their destination. The leading cities are already achieving this with efficient transport networks that feature modern infrastructure, easy connections across various modes of transportation, and, above all, a clear strategy of how to meet future needs," said Roland Busch, CEO of the Siemens Sector Infrastructure & Cities and member of the Managing Board of Siemens AG.
Cities are the engines for future growth. They generate 80 percent of global economic output. However, in a globalized economy, with businesses and workforces increasingly able to relocate internationally, they must compete to offer the most attractive environment for economic activity. The study "The Mobility Opportunity" is geared toward city decision-makers around the world so that they may use its recommendations to achieve the greatest economic benefit.
For further information and pictures from the event available at www.siemens.com/press/mobility-opportunity
The Siemens Infrastructure & Cities Sector (Munich, Germany), with approximately 90,000 employees, focuses on sustainable and intelligent infrastructure technologies. Its offering includes products, systems and solutions for intelligent traffic management, rail-bound transportation, smart grids, power distribution, energy efficient buildings, and safety and security. The Sector comprises the divisions Building Technologies, Low and Medium Voltage, Mobility and Logistics, Rail Systems and Smart Grid. For more information visit http://www.siemens.com/infrastructure-cities
Reference Number: IC201406009e
Tel: +49 (89) 636-632041
Tel: +44 (203) 206-8800
Stefan Wagner | Siemens Infrastructure & Cities
AI study of risk factors in type 1 diabetes
06.03.2019 | University of Gothenburg
Rising CO2 has unforeseen strong impact on Arctic plant productivity
21.02.2019 | Max-Planck-Institut für Meteorologie
New research group at the University of Jena combines theory and experiment to demonstrate for the first time certain physical processes in a quantum vacuum
For most people, a vacuum is an empty space. Quantum physics, on the other hand, assumes that even in this lowest-energy state, particles and antiparticles...
Physicists in the EPic Lab at University of Sussex make crucial development in global race to develop a portable atomic clock
Scientists in the Emergent Photonics Lab (EPic Lab) at the University of Sussex have made a breakthrough to a crucial element of an atomic clock - devices...
Every year earthquakes worldwide claim hundreds or even thousands of lives. Forewarning allows people to head for safety and a matter of seconds could spell...
Scientists of the Department of Physics at the University of Hamburg, Germany, detected the magnetic states of atoms on a surface using only heat. The...
Combining an atomically thin graphene and a boron nitride layer at a slightly rotated angle changes their electrical properties. Physicists at the University of Basel have now shown for the first time the combination with a third layer can result in new material properties also in a three-layer sandwich of carbon and boron nitride. This significantly increases the number of potential synthetic materials, report the researchers in the scientific journal Nano Letters.
Last year, researchers in the US caused a big stir when they showed that rotating two stacked graphene layers by a “magical” angle of 1.1 degrees turns...
11.03.2019 | Event News
01.03.2019 | Event News
28.02.2019 | Event News
18.03.2019 | Power and Electrical Engineering
18.03.2019 | Materials Sciences
18.03.2019 | Physics and Astronomy