Skip to main content

Singapore awards tender for next-generation electronic road pricing system

Singapore’s Land Transport Authority (LTA) has awarded the tender to develop the next-generation electronic road pricing (ERP) system to the consortium of NCS and Mitsubishi Heavy Industries Engine System Asia. The LTA believes it is not practical to continue with the current gantry system, which is almost two decades old and will become increasingly expensive and difficult to maintain. The consortium will develop the next-generation ERP system based on global navigation satellite system (GNSS) Technolog
February 26, 2016 Read time: 2 mins
Singapore’s Land Transport Authority (LTA) has awarded the tender to develop the next-generation electronic road pricing (ERP) system to the consortium of NCS and 4962 Mitsubishi Heavy Industries Engine System Asia.

The LTA believes it is not practical to continue with the current gantry system, which is almost two decades old and will become increasingly expensive and difficult to maintain. The consortium will develop the next-generation ERP system based on global navigation satellite system (GNSS) Technology, at a cost of US$556 million.

The new system will allow for more flexibility in managing traffic congestion through distance-based road pricing, where motorists are charged according to the distance travelled on congested roads, which the LTA says would be fairer to motorists.

The existing in-vehicle unit (IU) will be replaced by a new on-board unit (OBU), which can also be used to deliver additional services to motorists, such as traffic advisories, parking payment checkpoint tolls and usage of off-peak cars electronically.

LTA’s Chief Executive Mr Chew Men Leong said, “Since introduction, the road pricing system has been effective in managing traffic congestion. The next-generation road pricing system will allow us to improve on this, with greater flexibility. It will also allow us to provide more services for motorists’ convenience, such as disseminating information on traffic advisories and facilitating e-payments.”

The new system is expected to be implemented progressively from 2020.  To ensure a seamless transition, there will an 18-month switchover period to transit from the current ERP system to the new system. The government will also bear the one-time IU replacement costs for Singapore-registered vehicles.

For more information on companies in this article

Related Content

  • LTA enters partnership to develop smart traffic light system, Singapore
    September 14, 2018
    The Land Transport Authority (LTA) and A*Star’s Institute for Infocomm Research (I²R) are developing a smart traffic light control system to help improve traffic flows in Singapore. The Cooperative and Unified Smart Traffic System (CRUISE) will be deployed near traffic intersections and pedestrian crossings between Corporation Road and Boon Lay Way, where sensors will be located until 2020. According to LTA, CRUISE picks up the physical presence of vehicles and pedestrians by harnessing near real-time da
  • Singapore extends real time message signs
    September 16, 2013
    Motorists in Singapore can look forward to improved real-time traffic information and better traffic flow as the country’s Land Transport Authority (LTA) begins works to enhance existing electronic signboards along the expressways. The 380 existing island-wide expressway motoring advisory system (EMAS) electronic signs will be replaced with thirteen new signs. The new signs will be more readable, as they can display text and simple graphics in up to seven colours, including green, cyan and purple. The first
  • Australia’s Transurban to trial road user charging
    March 27, 2015
    Speaking at a major industry forum, Scott Charlton, CEO of Australian toll roads operator, Transurban, said that the country’s major cities risk a decline in liveability without major investment in transport systems and an overhaul of transport funding model. Charlton said that despite significant progress by state governments traditional funding systems were outdated, unsustainable and unfair, and cannot sustain the funding needed to address Australia’s transport infrastructure deficit. Charlton said it
  • Why Netflix could overcome road pricing resistance
    October 28, 2019
    As the US moves towards a national road usage charging trial, education is paramount – and subscription services like Netflix might help people understand why the money is needed, writes Bill Cramer