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Rising demand for bicycles fuels increased investment requirements

Cycling and e-bikes gaining momentum as transport and leisure options spark calls for increased financing

Increasing demand for bikes corresponds with the escalation of required investment
Increasing demand for bikes corresponds with the escalation of required investment

Rising demand for bicycles fuels increased investment requirements

In a significant shift towards sustainable and active transportation, the Royal Automobile Club of Victoria (RACV) has identified 17 strategic cycling corridors within a 10km radius of the central business district. These corridors serve high population and high workplace density areas and will be assigned a high priority.

The surge in cycling popularity, particularly in the wake of the pandemic, is undeniable. According to a 2021 study from WeRide Australia, bike use outside Melbourne's CBD doubled compared to pre-pandemic numbers. Recreational bike use has also seen a significant increase, with the largest and growing cohort of bike riders in Victoria being those interested in biking more but cautious.

The popularity of e-bikes is helping drive this shift. E-bike users tend to use their machines more regularly than traditional bike riders, while expending around 70% of the energy. Last year, around 60,000 e-bikes were sold in Australia, a number that could have been larger due to a lack of stock. Consultancy firm Deloitte predicts there will be over 300 million e-bikes on the world's roads by 2023.

The RACV's strategic cycling corridors offer a comparative advantage over driving and public transport for transport trips. The organisation, along with the AAA, is urging the Federal Government to fund cycling infrastructure to encourage further take-up of cycling.

RACV General Manager of Mobility, Elizabeth Kim, emphasizes the importance of encouraging recreational riders to continue cycling for health and environmental benefits. The RACV supports cycling for all riding abilities through a specific bike map on the arevo Journey Planning app.

While the specific seven key policy priorities of RACV for cycling infrastructure and safety ahead of the 2022 Federal Election are not available in the given search results, the organisation has generally advocated for improved cycling infrastructure and safety measures. These typically include increasing investment in safe cycling paths, better road safety education, safer intersections for cyclists, integrated transport planning, and improved maintenance of cycling infrastructure.

RACV Executive General Manager of Motoring and Mobility, Phil Turnbull, stated that cyclists need better routes and resources to maintain the pedal-powered momentum. The RACV's report on strategic cycling corridors identified routes based on existing and potential cycling demand.

As e-bike technology matures and cost decreases, more riders are expected to opt for e-bikes, making commuting to work easier. The Australian cycling economy supports nearly 35,000 jobs and generates around $6.3 billion in industry output. With the increasing popularity of cycling and e-bikes, these numbers are set to grow.

  1. In line with the growth in e-bike usage and the increasing popularity of cycling, especially in urban areas, it's crucial for the infrastructure and safety of cycling to be prioritized in industries like transportation, finance, and lifestyle, as a thriving cycling economy can contribute significantly to home-and-garden sectors, supporting jobs and generating substantial output.
  2. With the future of commuting looking more pedal-powered, it would be prudent for the Federal Government to invest in cycling infrastructure to further finance the boom in the cycling industry, ultimately benefiting the entire nation's economy by improved health, reduced carbon emissions, and enriched lifestyle choices.

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