convergence of transportation policy and rfid enabler of future transportation policy chris body...
TRANSCRIPT
Convergence of Transportation Policy and RFID
Enabler of Future Transportation Policy
Chris BodyMark IVVice President, Business Development
Transportation MegaTrends
• Increased Vehicle Miles of Travel (VMT) –Increased 38 Percent since 1990
• Increasing Congestion and Lengthening Commutes
• Limited funds for Road Capacity Enhancements
• Privatization/ Concessions are crosscutting issue
• Is the Gas Tax Dead?
Policy Solution - Apply the Invisible Hand
• Our Transportation, esp. Road, Resources are not allocated efficiently
• Price Cap = Scarcity = Out of Equilibrium
• Match cost of driving with cost of congestion
• No incentives to drive less or use alternate routes or modes
• GPS & RFID can assist in increasing the funding and spreading demand
• Mature Technology, Developed Policy– Electronic Tolling, E-ZPass, Fast-Track
• Mature Technology, Developing Policy– HOT Lanes
• Mature Technology, Immature Policy– Congestion Pricing
Apply Market Incentives in Two Ways
• For the Consumer Demand for the Infrastructure
• For the Supply of Roadway Infrastructure
What is a HOT Lane?
• HOV + Tolls = HOT Lanes
• Newly Constructed or Converted Managed Facilities
• Maximizes Existing capacity
• Increases Throughput
• Cost Based on Value Pricing– HOVs - free– SOVs - Cost is Congestion Priced
• Toll Collection Typically Electronic - RFID
HOT Lanes on DC Beltway
• 14 Miles, 4 lanes in Median of 495
• All Electronic Tolling
• Operational in 2012
• Market Driven Variable Tolls
The Public Private Partnership
• VDOT– Will Retain Ownership of Facility– Will Oversee Operation
• Fluor/ Transurban– Construction– Operate & Maintain– Levels of Service Requirements
HOT Lanes in Northern Virginia I-395/ 95
• Conversion of Existing HOV
• Construction of New Facility
• 56 Mile Reversible Lanes
• North Operational by 2010
• South by 2014
• $1B Cost
• Financed by Variable Tolls
• Fluor, Transurban
Future Expansion?
• I-95 Section 100 In Baltimore*
• Maryland InterCounty Connnector*
• Dulles Toll Road HOT Lanes
• Eastern Beltway Expansion
• Western Beltway Expansion
• Maryland Beltway Express Toll Lanes
• I-270 Express Toll Lanes
*- Under Construction
Congestion or Cordon Pricing
• Users must pay a fee to access a downtown area
• Time Variable and Direction Priced
• Tests Underway– London– Stockholm– Singapore– Coming to the U.S.?
• Typically RFID or Camera based
London
• Advantage: Transport for London Responsible for All Transportation In London
• Camera Toll Sites
• Original Fee $10 - increased to $16
• Operating Costs significantly higher than expected
• Considering switchover to tags for operating efficiency (20¢ vs. 60¢)
• Expanded Westward in 2007
Something For Everyone?
• Congestion Reduction– London - 30% Reduction in Traffic, Half to other
modes
• Environmental Impact– Stockholm
• Emissions Down 14%– London
• CO2 Down 16%
• NOX Down 8%
• Particulate Matter Down15%
• Modal Shift– 50-60% to Public Transit– 20-30% Around Zone
Stockholm -
• After Test, 53-47 Advisory Vote
• New Government Working out Plan for a Portion of $$ For Road Improvements Outside of City
• Expected to be Re-Instated in August of 2007
Congestion Pricing – Coming to the U.S.
• $130M Allocated for Projects in 2007
• $175M in Next Year’s budget request
• Reality – will provide some political cover for local politicians
• Urban Partnership Agreements
New York Proposal
• $8 to Drive in Downtown District, incl. toll
• South of 86th Street
• FDR Drive and Westside Highway Free
• Some Vehicles Exempt
• Challenge: Support from Outlying Boroughs, esp. Queens
How Do We Pay for These New Projects
• Challenge:– Gas Tax is Tapped out– Politicians do not want to raise tax
• A Solution– Tap Private Sector Equity Markets– In the Form of Public Private Partnerships
PPP Financing, An Overview
• Entity Offers Facility for Concession
• Title/ Ownership NOT Transferred
• Performance Requirements– Maintenance– New Capacity– Customer Service– Toll Setting
• Not New to Transportation – Existing Around the World
What Does the Private Sector Bring
• Infusion of Capital
• Innovative Financing
• Innovative Ideas i.e. Marketing
• Ability/ Desire to Raise Tolls to Market Levels
• Best Practices
Contact Information
Chris BodyVice President, Business DevelopmentMark IV [email protected]
Other Background Information-www.trb-pricing.org-www.ops.fhwa.dot.gov-www.valuepricing.org-www.viginiahotlanes.com