Out of Control Policy Blog

Tolls and technology

The U.S. has successfully used electronic tolling for over a decade. And while congestion charging has worked well in London, Germany just cancelled its Toll Collect road pricing system. This article highlights the importance of choosing the right technology:

It is coincidence that the German Transport Ministry announced plans to
cancel its troubled Toll Collect project as London announced its first
year of successful congestion charging and the possibility of extending
the scheme beyond central London. These two road-pricing initiatives
embraced alternative technological solutions, differing in terms of
complexity, maturity and, therefore, project risk.

Toll Collect, the DaimlerCrysler-led tolling system, aimed to harness
satellite-tracking technology allied to mobile phones in order to extract
distance-based autobahn fees from truckers. Ongoing problems with
in-vehicle equipment have delayed its implementation since August 2003,
leaving the system supplier reporting a loss of $875 million. The German
government has also lost considerable revenue, which was specifically
earmarked for new road construction projects.

In contrast, the London road-charging scheme deploys a network of
closed-circuit television cameras linked to number-plate recognition
software. Images are cross-referenced against a database of those who have
registered to pay the charge. Violators are identified and fined. Such
technology has been employed by American toll road operators for more than
10 years. Teething problems were encountered regarding the quality of
customer service, the responsiveness of the call center, and appeals
against penalty charges, but contract revisions have been negotiated with
the operator, Capita PLC, to address these service shortfalls.

The Austrian system for truck tolling, GO, also favored tried-and-tested
technology. Its system uses dedicated short-range radio communications
between an in-vehicle transmitter and gantry-based receivers and builds on
considerable U.S. experience. GO was launched on time and within budget at
the beginning of 2004.

(Via the Transportation Communications Newsletter)

Ted Balaker is Producer

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