Dynamic, Stochastic Models for Congestion Pricing and Congestion Securities

This research considers congestion pricing under demand uncertainty. In particular, a robust optimization (RO) approach is applied to optimal congestion pricing problems under user equilibrium. A mathematical model is developed and an analysis performed to consider robust, dynamic user equilibrium, optimal tolls based on the second-best problem known as the dynamic optimal toll problem with equilibrium constraints, or DOTPEC. Finally, numerical experiments and qualitative analyses are conducted to investigate the performance and robustness of the solutions obtained. The contents of this report reflect the views of the authors, who are responsible for the facts and the accuracy of the data presented herein. The contents do not necessarily reflect the official views or policies of either the Federal Highway Administration, U.S. Department of Transportation, or the Commonwealth of Virginia at the time of publication. This report does not constitute a standard, specification, or regulation.