The impact of Low Emission Zones on retail activity: Madrid Central lessons

The implementation of Low Emission Zones (LEZs) is hampered by a lack of knowledge about social and economic impacts. This paper presents insights into how LEZs impact retail activity, innovatively including perspectives from both residents and retailers. A two-pronged research approach was implemented in Madrid, with two survey campaigns that analysed key drivers impacting residents’ shopping activity and retailer sales levels within LEZs. The research design was based on discrete choice analyses. The main results indicate that private vehicle users with limited access to LEZ are expected to decrease their shopping activity within the LEZ. At the same time, inequalities in performance emerge between different types of stores, according to turnover and time at the location. The results provide policymakers with insights into more inclusive design and implementation of LEZ.