An optimization model for area traffic control with link tolls

In this paper, an optimization model is established for the maximum increase in travel demands in a signal-controlled road network with link tolls. Using the concept of reserve capacity of signal-controlled junctions, the problem of finding the maximum increase in traffic demands and link tolls can be formulated as a mathematical program with equilibrium constraints. Due to the non-differentiability of the perturbed solutions in equilibrium constraints, a non-smooth optimization model is established. A bundle subgradient projection method is proposed to effectively solve the optimization problem. Global convergence analysis for the proposed method is also established. Numerical computations are performed at various sets of initial signal settings. Encouraging results are obtained when compared to other alternatives.