Capitalism at Work on an Interstate Highway

Traffic speeds during the peak eastbound commute on the 66 Express Lanes Inside the Beltway have dropped to 35 mph. "Toll-tweaking" and changing the algorithm are achieving limited success on this dynamically-tolled stretch.

2 minute read

June 12, 2018, 1:00 PM PDT

By Irvin Dawid


Virginia Toll Lanes

Adam Moss / Flickr

During commute hours, nine miles [png] of Interstate 66 in Northern Virginia, formerly known as the 66 Express Lanes Inside the Beltway, may operate like no other public roadway, let alone interstate, in the United States. During the morning restricted travel period from 5:30 a.m to 9:30 a.m., all (two to three) eastbound lanes are dynamically priced—there are no adjacent general purpose lanes for single-occupant vehicles (SOVs) to take to avoid paying a toll, which, on occasion, top $40.

The afternoon restricted travel period extends from 3 p.m. to 7 p.m. on all the westbound lanes. Once again, no "free lane" to choose if you lack a passenger.

The uncapped, dynamic tolling makes the roadway stand out as an example of how effective congestion or value pricing is at reducing congestion, encouraging modal alternatives, and funding public transit with toll revenues.

The operator of these time-restricted, high-occupancy toll (HOT) lanes, the Virginia Department of Transportation, is trying, perhaps paradoxically, to reduce the tolls and, at the same time, increase the speed, during the most congested part of the commute hour, from 8:15 a.m to 8:30 a.m, "when average speeds in April slowed below 35 mph," reports Max Smith for WTOP News on June 8. The roadway is unique for another reason: the low number of commute-hour SOVs.

About two-thirds of the vehicles on the road at that time are riding free — motorcycles, buses, and cars carrying at least two people with an E-ZPass Flex switched to HOV mode. Speeds in the morning remained slower than the same period a year earlier between 7:30 a.m. and 9:15 a.m.

While one way to deal with the slowdowns around 8:30 a.m. could be to raise tolls even higher as speeds significantly slow at that time, Virginia Transportation Secretary Shannon Valentine  hopes changes to the tolling algorithm, along with better communication to commuters, could provide a different path if drivers change how they commute to either carpool, take the bus or go in at a different time.

It is somewhat ironic that an interstate highway that takes workers to the seat of American government would be one of the best examples in the country of applying market forces to auto travel.

“Because this is a true dynamic tolling system where people are making decisions in the moment based on the cost, it is true capitalism. … If we mandate certain limits, we can’t adjust it,” Valentine said.

Hat tip to AASHTO Daily Transportation Update.

Friday, June 8, 2018 in WTOP

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

June 25, 2025 - Diana Ionescu

Map of Western U.S. indicating public lands that would be for sale under a Senate plan in yellow and green.

Map: Where Senate Republicans Want to Sell Your Public Lands

For public land advocates, the Senate Republicans’ proposal to sell millions of acres of public land in the West is “the biggest fight of their careers.”

June 19, 2025 - Outdoor Life

Person wearing mask walking through temporary outdoor dining setup lined with bistro lights at dusk in New York City.

Restaurant Patios Were a Pandemic Win — Why Were They so Hard to Keep?

Social distancing requirements and changes in travel patterns prompted cities to pilot new uses for street and sidewalk space. Then it got complicated.

June 19, 2025 - Diana Ionescu

Close-up of full beer glass with purple train-themed design sitting on bar between two frosty tall cans.

Platform Pilsner: Vancouver Transit Agency Releases... a Beer?

TransLink will receive a portion of every sale of the four-pack.

June 30 - Cities Today

Vintage red Toronto streetcar passing in front of Rogers Arena in Toronto, Canada.

Toronto Weighs Cheaper Transit, Parking Hikes for Major Events

Special event rates would take effect during large festivals, sports games and concerts to ‘discourage driving, manage congestion and free up space for transit.”

June 30 - blogTO

Map of Berlin with ring roads in green and red.

Berlin to Consider Car-Free Zone Larger Than Manhattan

The area bound by the 22-mile Ringbahn would still allow 12 uses of a private automobile per year per person, and several other exemptions.

June 30 - Streetsblog USA

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.