Pollution, accidents and congestion all cause unnecessary welfare losses, and while transport services are an essential component of economic and social development, their negative side effects are drawing increasing political attention. Internalisation aims to create incentives to reduce these...

The European Commission mandated the consulting firm CE Delft to develop a framework for the internalisation of external costs and to devise a number of potential internalisation scenarios for further analysis. The results of their preliminary research are published in a CE discussion paper, and...