Demand responsive parking charges vary during the day and aim to impose the lowest possible fee that’s necessary to keep a few parking bays vacant. This means that people who need to park are able to find a vacant bay. Parking can be free during off-peak times and becomes more expensive during peak times. Occupancy is measured and the charges are adjusted over time so that occupancy rates remain on target.
Councillors don’t set parking charges
Importantly, demand responsive charges prevent Councils from increasing parking charges to raise revenue. This is because the parking charges are determined by an occupancy target, not a revenue target.
Example from Port Phillip
The City of Port Phillip uses demand responsive parking charges:
Example from San Francisco
San Francisco uses demand responsive parking charges; the system is called SFpark.
It’s ethical to charge to park on the street
It’s ethical for the City of Yarra to apply demand responsive parking charges because:
- some people need to drive and park, and this helps ensure that they are able to find a park, and
- some people prefer to walk or bike, and this helps deliver revenue to improve footpaths and bike lanes.
For more detail refer to our page on ethics and our page on better for people on low incomes.
Demand responsive charges for residential parking permits
Demand responsive pricing can also be applied to residential parking permits. The price for an annual permit can be adjusted each year until demand and supply are in balance, thus helping to ensure that people who need to drive are able to find a park when they get home. As the price rises, some people may choose to clear out their garage and park off-street, while others may choose to downsize from two cars to one. For more detail refer to our page on better for parking.
Outcomes
Once parking supply and demand are in balance, it becomes possible to re-locate parking from shopping streets to the first 5-10 spots on each side street. Smartphone apps guide patrons to the closest available free spot. This frees up space on shopping streets for level access public transport stops and protected bicycle lanes, which, as congestion worsens, are better placed to bring more customers to shopping streets.
Other information on parking
Learn more from our collection of pages related to parking:
Or from these websites:
How you can help
You can help by appearing on the Streets Alive Yarra website as a champion for your local street, neighbourhood, or school.