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Strategic Study on the Transport Policy Road Map for Implementing New Innovative Transport Technologies
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December 31, 2015 YoungJong KWON, et al.

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Travel pattern, the possession and use of cars are expected to be changed rapidly because of nuclearization, the increase of 1 member family and progressing population ageing. And also new innovative technologies in transport occur rapidly. These new technologies should be implemented as policy in response to sustainable transport system
and competitiveness of car industry Advanced foreign countries are trying to develop new technologies including autonomous car, micro mobility, hydro car, uber, car-sharing, etc. and implement these technologies into policy. However, we are far behind in developing new technologies and implementing these new technologies into policy. In this respect, it is necessary to review on the status quo of implementing new innovative technologies into policy and to find a way of improving laws in response to obstacles and conflicts in the process of implementing them into policy.
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Guidelines for implementing transportation policy concerning new technologies and aging society(2) : Challenges and directions for transportation policy in super-aged society
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December 31, 2015 Junguk PARK et al.

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Korea is expected to become a super-aged society by 2026 as those aged 65 or over will account for more than 20% of the total population. Preemptive preparation for this unprecedented demographic changes is needed to prevent decline in quality of each person's life and the increase of the social and economic burden of our society.
Public transportation systems will be playing a central role in realizing so-called "productive aged society" that the government is planning for the incoming changes, by ensuring mobility of the elderly people. Accordingly, to have appropriately functioning public transportation systems is a vital requirement not only for preserving the quality of life but also for assuring the sustainability of our society. In this research, the authors prospect the public transportation environments of the super-aged society and propose key agendas and a roadmap for the government. Key tasks identified include enhancement of accessibility of the public transportation systems, providing various transit services that meets the needs of the elderly people, and fare-scheme restructuring for the aged population. For the issues related to accessibility for public transport, authors proposed three measures such as improving pedestrian mobility system required to access public transport, improving mobility services within public transport facilities and introducing micro-mobility as a means of public transport. In addition, restructuring information provisions within public transport facilities for enhancing mobility for elderly people and improving station design to enhancing user connivence at spoke and nodes of public transport.
For the issues related to management system for public transport, the authors suggested improving measure for welfare-mobility by diversifying operators, rationalize financial subsidies, and systemizing management systems focused on public bus and taxis in rural area, demand responsive mode, designated transport mode for disabled person, and special care services. Also, authors suggested to introduce new types of transport services including imposing minimum public transport service level and allowing personal vehicle to utilize as a public transport.
For the issues related to fare level, authors suggested measures to balancing out the differences in fare levels between bus and metro, to separate financial subsidy schemes for intra urban from inter regional in response to the claim that the receiving parties of the subsidies vary, and to claim the need for legal ground for supporting regionally and economically vulnerable people. Along with these policy measures, the authors reviewed financing schemes in conjunction with revision of legal framework for soothing financial burden for supporting public transport.
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Development of business models to stimulate the economy using road facilities
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December 31, 2015 Youngho KIM․Jeongbok YU․Chandle CHAE․ Jonghoon LEE․Kyungwook KIM

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Construction and efficient utilization of the road network has been the most important road policy of the Korean government during the period of rapid development of the domestic economy. Currently the major road network is almost complete and a new road policy has been established to meet the needs of road users. Under the circumstances, viable concrete action plans are needed to achieve major goals of the new road policy such as enhancement of road traffic safety, promotion of public welfare, and support for the economic activation.
Three action plans are proposed in this research. The first action plan is to apply road traffic accident data collected by car insurance companies to the enhancement of road traffic safety. A smart-phone application to collect accident data, including spot information, and a conceptual design of the accident data management system are proposed. The second action plan is to regenerate suburban industrial complexes by improving road facilities in those areas. A revision of the current laws regarding construction of roads for industrial complexes is proposed. The third action plan is to rebuild service stations with local products and local specialty markets on national roads. A financing plan, including government funding and private participation, is proposed. It is hoped that the proposed action plans in the research will be applied therefore contributing to achieve the visions of the road policy.
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Real-time Data Integration Structure and Analysis Model for Airport Noise Monitoring in Korea
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December 31, 2015 Kihan SONG․Hongwoo SHIN․Daekyum LEE

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The main objective of our study is to integrate aerodrome noise data in realtime and to develop analyzing model to enhance interaction between residents and government regulators who are affected closely with aerodrome noise policies. The study will also examine the needs to establish an institution that can consistently monitor and collect aerodrome noise data where it can provide necessary data and information for government regulators to implement noise related policies with great efficiency. In order to achieve our objective, the study came to a conclusion that sharing result of analyzed material such as residents' demand, information on world-wide issues, progression of government policies in real-time is imperative. Moreover, the study further proposes to develop a tool that select and prioritize appropriate analyzing model that will assist regulators when implementing policies on air-noise issue. Based on factors stated above, the report will also explain the need and expected outcome of establishment of CANON (Center of Airport Noise and envirONment Analysis). When analyzing the demands of the residents and government's direction of policies; the study have found that in order to build consensus between residents and government on relevant noise policies provision of objective information to the public via interconnected systemic tool is imperative. At the same time, development of noise analyzing model through monitoring aerodrome noise in realtime is required. The finding have also suggested that establishment of an institution to handle data and information is needed for transparent and objective government policy implementation. To conduct and perform duties in accordance with national air noise rules and regulations, the study has shown that an institution with analysts and staff is required not only to manage information and data but also to consistently conduct research on aerodrome noise abatement effort; which is an on-going global trend. The study has also analyzed currently operating noise monitoring system and examined case studies on realtime data integration system to construct new inter-connective information sharing system. Based on the findings above, the study have proposed plans to integrate data in real-time. However, the study have provided only results of ISP in this report so that further study can be conducted on integration of data in real-time in the future. The discussions is in progress between relevant offices to pursue further study. The function of connectivity (data-link) of Information material was derived from analysis of integration of noise monitoring system and big-data for aircraft noise evaluation system. An integration of automatic noise network analysis will be composed of data link, management of collective data and data record. The Big-data for aircraft noise evaluation system will be composed of management object, analysis and statistical management, and management of results and records. In order to develop aerodrome noise monitoring analysis model, the study has come to a conclusion that consistent collection of data is required and further study must be followed. In regards to selection of analysis model for aerodrome noise monitoring, the study has found optimal analysis model for aerodrome noise monitoring and it has examined its' functions and use of the model. In order to examine feasibility of proposed model, although limited in sources, the study has used Model of Marginal Noise Cost and Analyzed Model of Macroscopic Noise Effect Causes. In the cases of Noise index which requires consistent and comprehensive studies, it will provide brief outline as to how noise index can be constructed. The model simulation has shown that it is surprisingly effective in policy implementation and it was found to be useful as a model for further in-depth study. For a successful realization of an institution the study provide detailed guidelines on plans and objectives as well as functions of the institution. Furthermore, the study elaborates on policy expected outcome in terms of policy compliancy and non-compliancy perspective.
Also, the study have examined the reason for continuos study on this subject through economic feasibility study. On particular note, the participants of the research have actually conducted duties that CANON (Center of Airport Noise and envirONment Analysis) is expected to carry out simultaneously; thereby assisting government regulators. The duties include but not limited to publication of monthly articles, world-wide trend and issues and more throughout the research period. The result of our simulation is in the report and all the progress are listed in the annex of this report. In conclusion, the study reflects and considered current demands and situation of the public and of government regulators' and provides path to resolve current conflict as well as outcomes. Based on the study provided we hope to realize information material sharing system as well as analysis model. Furthermore, in order to implement noise policies, an institution specializing in this area is critical to success.
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A development strategy for logistics ICT convergence startups aims to secure a new growth engine of Korea
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December 31, 2015 Hong-Seung ROH․Seung-juo JEONG․ Mina CHAE․Tae-wook KIM

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If ICT fusion of the industry, such as product, service sectors, acts lively, it can work as a new vitality of industry and economic development. A representative case is the new businesses that came up as mobile devices were introduced to commercial transaction and logistics service. Appearance of e-commerce based low cost high efficient business models such as mobile payment and overseas direct purchase, those that didn't exist in the past, is causing revolution among the distribution industry and logistics industry. Due to collapse of the wall between logistics and distribution, as new businesses came up, governance problem henceforth between the logistics sector and distribution sector is emerging as a major problem. Also as situations that existing systems cannot regulate and clashes against existing systems happen, legal systems are becoming to exist in name only. Therefore it is necessary to establish policies to systematically foster and support start-ups, those that are newly rising through recent concept definition and typing about ICT fusion logistic start-ups. The start-ups, as a new growth power, should be assisted to work free within the system and derive creation of employment and reinvesting chances. This study, basing on domestic and foreign logistics start-up case studies, was conducted to draw vitalizing and supporting policies about venture businesses, especially ICT fusion logistics venture businesses to create a new domestic growth power. The research definitions the concept of ICT fusion logistics start-up and deducts apolitical implications by analysing ICT fusion logistics venture start-up cases and features of each forms. In addition, implies logistics industrial, technological support plans to support future new growth motorization of ICT fusion logistics start-up. In the second chapter, to definition the concept of ICT fusion logistics start-up which is the subject of this study, related concept definitiones were firstly considered. Importance and role of ICT in logistics services, logistics start-up's concept and trend were studied, then the concept of ICT fusion logistics start-up was newly defined. In the third chapter, before regular ICT fusion logistics start-up vitalizing strategy planning, studies were conducted about the global 20 start-up ecosystem's present condition basing on the report ‘Startup Ecosystem report 2015’ presented by Compass Co. Researches looked at the start-up support policies of the countries start-ups were well-developed from the side of policy support, education support, cooperation between the government and private, infrastructure support and fund support. 67 foreign logistics start-up companies and 30 domestic logistics start-up cases' operation conditions were analysed and investigated. In the forth chapter, basing on the study conducted in chapter 3 about 97 domestic and foreign logistics start-up business models, logistics industry's and logistics start-up business' trend were analysed. Also to regularly plan ICT fusion logistics start-ups vitalizing strategies, investigation about logistics start-up companies' and experts' cognition were conducted by surveys. In addition, points that had hardness to recognize through surveys were analysed through focused group interview with experts. Through the interview, problems such as difficulties because of legal interpretation, uppermost limit of start-up and giant's collaboration, DB shortage and data collection method limits for big data application were deducted. Three alternatives were proposed to procure logistics new growth power. Firstly, upgrading the existing logistics industry by fusion with ICT technology , Secondly, creating a new logistics business model based on ICT technology, Thirdly, applying different type business model to the logistics sector. In the fifth chapter support plans, divided into sides of investment support, facility support, support by law and system, cultural and many others support, are established on the basis of varied problems analysed previously.
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Investment Paradigm and Policy corresponding to Transport Infrastructure Deterioration
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December 31, 2015 Juyoung KIM․Jeongseok CHO․Jaehoon Lee

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In 1993, South Korea enacted two laws aimed at securing financial resources for traffic facility construction - the Traffic Tax Act and the Traffic Facility Special Account Act. By so doing, it ushered in a new period of expansion of its transport infrastructure. By 2030, almost four decades will have passed since numerous traffic facilities were built during the boom period. Predictions are that the percentage of the nation’s antiquated traffic facilities, 30 years old or older, will reach 33% in the year 2030. It is also forecasted that grade-C or lower-grade facilities subject to intense safety supervision will account for 17% of the nation’s entire traffic facilities. The United States, which experienced an infrastructure boom in the 1950s, may be cited as an example of a nation struggling to solve the problem of aging infrastructure. Due to the continuously rising facility maintenance and repair costs, it has faced shortages of financial resources to build new infrastructure since the 1990s. The budgets for infrastructure construction are declining, whereas those for facility maintenance and repair are steadily on the rise. This problem has surfaced as an issue of contention in the American society. In Korea, the problem of aging traffic facilities has not yet reached a critical stage. However, the costs needed to maintain and repair the roadways, railways and harbors are predicted to rise to about 10 trillion won in 2030. This will likely cause numerous social conflicts. The government has announced a fiscal policy to slash its transport infrastructure budget by an annual average of 6.2% over the next five years, citing various reasons, including budget increases in the welfare sector. On the other hand, there will likely be continuing demand for new infrastructure construction for some time to come, amid steady increases in the maintenance and repair budget for the aging traffic facilities. Given these conditions, the problem of investment fund shortages is likely to come to the fore in the transport sector. Budget increases related to maintenance and repair works will curb new construction demand. Furthermore, the debt and current account deficit problems are expected to get worse at both the state and local government levels, because of growth in their spending on facility maintenance and repair projects. The rising maintenance expenses will likely affect not just the state-controlled facilities like the national highways, general and high-speed railways, and harbors. They will also have impacts on the provincial roads managed by local governments, the expressways under the control of Korea Expressway Corporation, and urban railways. In 2030, the maintenance and repair costs for the provincial roads will make up an estimated 19.8%, as a percentage of the local governments’ entire transportation budgets for 2016. The expenses for the expressways and urban railways are predicted to account for 24.8% and 58.3%, respectively, as percentages of the total expected revenues of Korea Expressway Corporation and urban railway corporations. On the other hand, various environment-related factors, such as eco-friendly transport policies designed to cope with climate change and advances in automobile technologies (increase in fuel efficiency), will likely cause reductions in the national and provincial tax revenues. Besides, the expressway toll and urban railway fare revenues are expected to decline because of the anticipated advent of a hyper-aged society in Korea and increase in the use of light cars, unless there are changes in the current pricing policies. The rising costs for the maintenance and repair of the aging traffic facilities are likely to cause conflicts in the following areas: priority adjustment between new infrastructure projects and the existing repair and maintenance works; tax revenue allocation and budget adjustment between the state and local governments; and, the shouldering of debt and current account deficit burdens by the traffic facility operation agencies. This makes it necessary to secure transport investment funds and map out mid- and long-term policies designed to resolve conflicts. Additionally, efforts should be exerted to prevent safety accidents caused by antiquated facilities and reduce the maintenance and repair costs. An institutional framework for mid-term maintenance and repair plans ought to be established so that the aging facilities could be managed in a systematic manner. There is also a need to continuously expand the asset management system in an effort to ensure preventive maintenance and repair of the aging facilities and pursue relevant budget cuts. This study makes transport policy proposals after analyzing social disputes that might be brought about by the aging transport infrastructure.
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Flexible Transport Pricing for Efficient Capacity Utilization in Korea: Empirical Evidences from Econometric Analysis
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December 31, 2015 Sungwon LEE․Sangjune PARK․Seokjoo LEE․Hongbae KIM ․Jieun OH․Jain KIM and Mintaek JUN

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In the transport sector, as in other sectors of economy, pricing is an invaluable mechanism by which scarce resources are efficiently distributed. However, pricing practices have been relatively rigid in Korea. While there are large temporal fluctuations in demand in many transport sectors, including tolled expressways and public transport services, peak-load pricing has been virtually absent.
In this research we have analyzed public perception toward peak-load transport pricing and evaluated its applicability and feasibility in areas where there are large discrepancy between capacity and demand. In the user survey we estimate users' willingness to pay for better amenities in transport services by direct questionnaire and supplement it by employing stated preference methodology and discrete choice modelling. From the analyses we conclude the current rigid transport pricing deviates from first best transport demand management leaving ample room for improvement. Macroeconomic impact analysis of transport pricing was included in this research. Three policy instruments including fuel pricing, subsidy, and mass transit pricing were analyzed in this research. These research outcomes are intended to provide scientific empirical evidences for better transport policy in a Korean context.
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Development of Evaluation Framework for National Road Safety Management System
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December 31, 2015 Sangjin HAN․Younshik CHUNG․Kihan SONG ․Jun LEE․Haesun LEE

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This study aims at developing national Safety Performance Indicators (SPI) in the framework of road safety management system. It first introduces the concept of road safety management system which consists of institutional management, interventions, and results. Then the current status of national road safety management system has been evaluated. It has found that Korea is lack of evaluation function. To be specific it has not official SPIs which can monitor progress of road safety interventions and institutional management. In order to develop SPI for Korean perspectives, the study team reviewed SPIs in other countries such as Sweden, Norway, and New Zealand. After review, it has been found that SPIs can be categorized into road users, vehicles, and road infrastructure. They are also using intermediate indicators which can affect to the level of road safety. Those include compliance rate of speed limits, proportion of drivers under alcohol influence, seatbelt wearing rate etc. The study also benchmarked Safety Management System in other transport sectors including railway and aviation. It has been found that they have stricter safety management system than that of road sector since operation companies should be responsible to the accident. In these modes even human errors are attributed to the wrong safety management of operators. They are not blaming drivers entirely even in the case of accidents occur from human errors. Furthermore they are applying risk assessment techniques which identify possible hazards and assess the level of risk of identified hazards. The study has developed various SPIs in three areas: 13 indicators for policy effort, 16 indicators for intermediate outcome, and 20 indicators for final outcome. All indicators are also grouped for road users, vehicles, and road environment. Policy effort indicators evaluate how much relevant government agencies tried to implement selected road safety interventions. Intermediate indicators evaluate how much government efforts improve safety of road users, vehicles and road infrastructure. The final outcome has been developed to monitor road safety status in various perspectives. Then Analytic Hierarch Process has been applied to calculate comparative weights of various indicators particularly for policy effort and intermediate outcome. The weights then help us scoring overall performance for policy efforts and intermediate outcome. This score can also help us understanding how policy efforts or intermediate outcome change for each year and how they are interrelated to the final outcome. This scoring system can also be applied to monitor accountability of government agencies for road safety because SPIs can be grouped for relevant agencies.
However, the suggested SPIs need to be further adjusted to reflect difficulties or interests of relevant government agencies before implementation. Some suggested SPIs cannot be accepted owing to difficulties of reliable data collection. Others may be questioned on the relevance to the role of agencies to be evaluated. The implementation in itself also needs to be supported by the law in order to avoid unnecessary arguments over its usefulness. Furthermore, there should be a management system for SPIs. This includes SPI development, evaluation, and publication of results. It is indispensable to maintain sustainability of SPI evaluation. The developed SPIs can be further adapted to be applied in local governments. This should be helpful to understand what efforts need to be taken to improve road safety in local governments. Finally international comparison of SPIs can contribute on benchmarking road safety policies in various countries.
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Proposition of Innovative Transportation R&D Projects based on Information and Communication Technology (ICT)
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December 31, 2015 Young-Jun MOON, et al.

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This study proposes mid- or long-term innovative transportation & logistics R&D projects based on information and communication technology (ICT), which provide a framework of potential actions for being converged with policy built by government ministries. A national policy for creative economy and peoples’ happiness has been provided since 2013 by each ministry to all the social service sectors including transport systems, in order to be upgraded with innovative ways utilizing ICT convergence. Ministry of Land, Infrastructure and Transport (MoLIT) has demonstrated an upgraded value creators for targeting year 2040, i.e. VC10 2.0 with respect to 10 new technology areas including roadways, railroads, logistics, aviation, automobile, transport database, etc. Automated Driving Highway was designated as one of the most sophisticated transport technology converged with ICT. Ministry of Trade, Industry and Energy (MoTIE) and Ministry of Science, ICT and Future Plan (MSIP) have launched the new industry engine programs through technology development and deployment in all industry areas including automobile, transport, aerospace, telecommunication, etc.
A general survey and analysis in this study shows the way to collaborate the programs between ministries (10 of MoLIT, 13 of MoTIE, and 13 of MSIP) in order for promoting innovative projects
to be planned, developed and deployed by each ministry within a few years. Five transport technology areas have been selected in this study by experts group designated in public and private sectors to propose the innovative projects: (1) Roadway transport, (2) Logistics, (3) Railroad transport, (4) Aviation, and (5) Automotive Safety. The five innovative transportation & logistics R&D projects based on information and communication technology (ICT) proposed in this study will be expected as a framework of potential actions for being converged with policy built by government ministries from the beginning of next year.
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A Study of Planning the ODA Business Cooperation Roadmap for Eurasia Transport Sector
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December 31, 2015 Jongwon SEO․Byeongmin AHN․Jihyung PARK․Daesup LEE

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While alternative markets of the 2009 global financial crisis pushed the European traditional economic powerhouse into a downturn, the Eurasian emerging markets, such as Asia and CIS, were magnified. Particularly, until recent, the economic crisis in Europe has been deepening, an economic war between Russia and the West was intensified by the Ukraine crisis, and the rate of China's economic growth is slowing down. These situations suggest that the stagnation of the global economy is difficult to escape for the time being. In 2013, the Government of the Republic of Korea proposed a Eurasian initiative that can break through this global economic crisis via a new method. It promotes mutual growth and mutual prosperity through Eurasian economies, industries, culture, and transport cooperation. The remarkable part is that emerging Eurasian countries such as Central Eurasia and Mongolia that were reviewed to be central cooperation countries for successful implement of Eurasia initiatives are also included in Korea's emphasis on ODA countries.

Meanwhile, there was steady support for developing Eurasian countries through the ODA that the South Korean government promoted but the tendency has been to concentrate in education, health, industrial, and energy sectors. In particular, as many studies has analyzed, transport sector ODA projects that can contribute to real economic growth in the poorest nations or developing countries have often been low ranked and remained temporary, as seen in stopping master plan services.
Therefore, the above mentioned Eurasian initiative that the Republic of Korea promotes, aims at the expansion of transport sector ODA projects that target emerging Eurasian markets is notably needed to be implemented for the Silk Road Express in the transport logistics sector. The purpose of this study is to contribute to the implementation of Eurasian ODA initiatives through the cooperation of the Silk Road Express and the Republic of Korea’s ODA which will enhance effectiveness of the Republic of Korea simultaneously. To this end, this study analyzed the need and significance of association between Eurasian initiatives and ODA projects, trends promoting the transport sector ODA, transport logistics conditions in Eurasia, and the condition of ODA projects’ process. The study also found ODA target countries and core business for the transport sector in Eurasia with the propose of directing progress and strategies of Korea's ODA projects in the
transport sector. The results derived from this study are expected to assist in the successful implementation of Eurasian initiatives and be used as foundational data to establish research and policy related to South Korea’s ODA.
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