Freight Transport Cost and Urban Sprawl across EU Regions

Abstract

This paper investigates the impact that urban sprawl and land use patterns have on freight transport costs at the regional level in Europe. A unique dataset is employed, which distinguishes various aspects of freight transport costs across EU regions. The measurement of sprawl metrics is based on the European soil sealing (artificial land cover) data concerning the land uptake for buildings and related infrastructure, as well as land use data originating from the Land Use/Cover Area frame Survey of Eurostat. The econometric analysis indicates that both the increased scale and compact development of land for urban settlement and specific (industrial, services/residential) activities can significantly reduce average road freight transport costs. The increased land use mixture and the share of industrial activity also have a negative impact on road freight transport costs. The results highlight the importance of integrated spatial/land use planning policies to manage freight transport costs and improve the sustainable urban development of EU regions.