Unbundling of parking supply in commercial and PSP buildings: implications on travel cost & parking management modalities

Abstract

Traffic congestion poses a significant challenge in India's metropolitan cities, adversely affecting mobility, environmental sustainability, and overall urban efficiency. A major contributing factor to this congestion is the encroachment of carriageways, particularly in commercial areas where land is both scarce and valuable. One often overlooked aspect exacerbating this issue is the unauthorized conversion of designated parking spaces into commercial establishments. On the supply side, parking provision in Indian cities is governed through three primary approaches: parking minimums, parking maximums, and mixed-management methods that enable opportunities for transit integration, land-use efficiency, and shared parking supply. Parking pricing, being exclusionary in nature, further influences public transport demand and exhibits considerable price elasticity. However, current parking regulations in India, primarily based on parking minimums fail to consider critical urban variables such as land use diversity, transit accessibility, employment and population densities, and interventions like multi-level parking. As a result, parking provision remains fragmented and disconnected from sustainable transportation strategies. This research addresses the gap by exploring the potential of unbundling and shared parking provisions as a means to enhance parking efficiency and urban mobility. The study focuses on the informal unbundling of parking spaces, particularly in Central Business Districts (CBDs), and examines its impact on Average Generalized Cost (AGC) through a comparative approach. Kochi, Kerala is analyzed for its informal parking unbundling practices, while Bhopal represents a conventional model of parking management with a comprehensive examination of non-compliance with building by-laws pertaining to parking allocations with the implication of mode choice and the costs involved in it. The study concludes with an in-depth analysis of Average Generalized Costs (AGC) and opportunity costs, emphasizing the potential of building-level parking provision as a viable investment opportunity when viewed through the lens of transport economics. It advocates for a paradigm shift in urban parking management positioning it as a domain where private sector participation can be both economically beneficial and operationally efficient. The findings aim to support the development of more integrated, market-responsive, and sustainable parking policies that are better equipped to meet the complex and evolving mobility demands of Indian cities. Keywords: Parking Management, Parking Policy, Unbundling, Private Parking