Australia

Melbourne

UMR Index Rank

[i]

#33

(-3)

Score: 53%

Sustainable Mobility

[i]

#39

(+6)

Score: 43.9%

Public Transit

[i]

#30

(=)

Score: 52.0%

Technology Adoption

[i]

#42

Score: 34.7%

Population 5.0 million
Surface area (km2) 2,704
Population-density (people/km2) 1,854
GDP per capita ($) 57,780

UMR Index Rank

[i]

#33

(-3)

Score: 53%

Sustainable Mobility

[i]

#39

(+6)

Score: 43.9%

Public Transit

[i]

#30

(=)

Score: 52.0%

Technology Adoption

[i]

#42

Score: 34.7%

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What Melbourne Does Well In Urban Mobility

Melbourne has high-quality, well-connected roadways and few fatalities thanks to an advanced traffic management system and effective enforcement of traffic safety rules. The system includes metering lights for freeway on-ramps, a traffic management center, and an incident response service. In 2023 the State of Victoria began a AU$200 million ($127 million) road infrastructure program to further improve road safety.

The city’s public transit system is efficient and encompasses diverse travel modes, including buses, trams, metros, rails, and ferries. It is also affordable compared with residents’ average income — a full daily metropolitan fare costs about AU$6.40 ($4.20) — and has long operating hours, with the metro running for an average of 21 hours a day. The city also is benefitting from Victoria’s Big Build, a state program launched in 2015 that is investing AU$90 billion ($60 billion) in more than 200 road and rail projects that mostly concern Melbourne. The plan includes two projects due to be completed in 2025: the Suburban Railway Loop, which will connect the middle suburbs and Melbourne Airport with the city center, and a new metro tunnel that will create an end-to-end line from Sunbury in the west to Cranbourne/ Pakenham in the southeast.

Urban Mobility Readiness Index, Sustainable Mobility, Public Transit, and Technology Adoption scores

Source: Oliver Wyman Forum and University of California, Berkeley

Challenges And Opportunities For Melbourne’s Transportation System

Melbourne lags behind leading cities in its number of electric vehicles (EVs) and charging infrastructure. Additionally, less than 1% of the city’s bus fleet is zero-emission. Melbourne introduced two hydrogen and 50 battery e-buses as part of a 2023 trial. The city initially pledged to purchase only zero-emission buses beginning in 2025, but bus contracts awarded in 2024 now anticipate the acquisition of both electric and hybrid diesel-electric buses.

The city performs less well in its active mobility infrastructure. Bike and pedestrian infrastructure is often overcrowded and lacks safety features. In its 2030 strategy Melbourne aims to improve pedestrian paths and build more than 50 kilometers (31 miles) of cycleways. The city also has proposed car-free zones, maximum speed limits of 30 kilometers per hour, and reduced wait times for pedestrians at traffic lights.

Dimensions of the Urban Mobility Readiness Index score

Source: Oliver Wyman Forum and University of California, Berkeley

How Melbourne Can Improve Its Urban Mobility Performance

While some nationwide incentives exist for purchasing EVs, and Australia’s New Vehicle Efficiency Standard will go into effect in January 2025, Victoria has fewer incentives for EVs than other Australian states and territories. EVs are exempt in Victoria from the road user tax, but the city can do more, such as providing subsidies for EV purchases and discounted registration fees — incentives that exist in Queensland, the Australian Capital Territory, and the Northern Territory. Melbourne can also improve its charging infrastructure by providing more funding for programs like 2021’s Destination Charging Across Victoria, which provided AU$5 million ($3 million) in grants for fast chargers, and 2023’s EV Charging for Business Fleets, which provided approximately AU$1.5 million ($1 million) in grants to support the transition of business fleets. Both programs hold promise but are not ambitious enough for Melbourne to develop a charging network comparable to its peers.

Melbourne can do more to make its transit autonomous. Its country peer Sydney has had a fully automated metro system since 2019. Melbourne can automate its metro, which could enhance service coverage and frequency to further improve a good public transport system.

Urban Mobility Readiness Index relative ranking evolution (2020-2024)

Source: Oliver Wyman Forum and University of California, Berkeley