SINGAPORE -
NCS and MHI Engine System have clinched a deal to build Singapore's
next-generation electronic road-pricing (ERP) system, one which
will have islandwide coverage and the ability to charge for
distance travelled.
The
partnership's winning bid of $556 million is less than half of the
$1.2 billion submitted by the other qualified bidder: ST
Electronics.
Announcing
the tender results at a press conference Thursday (Feb 25), Land
Transport Authority chief executive Chew Men Leong said the NCS-MHI
bid was superior to ST Electronics', and that it "came within our
budget".
Asked about
the vast difference between the two qualifying bids, Mr Chew said
he was confident that the winning team will be able to "execute the
project in a commercially-viable way".
The new
system replaces the current gantry-based ERP system that has been
in place since 1998. It will be rolled out from 2020.
For a start,
there will be an 18-month transition period between the old and new
system, when motorists will swop their current in-vehicle unit for
a sophisticated, smartphone-sized onboard unit.
Among other
things, this unit will be able to alert drivers of priced roads
well in advance (before turn-offs to alternatives), inform them of
charges, and provide real-time traffic information. Armed with this
information, the LTA said drivers can better decide when to drive,
which route to take, or leave the car at home and take public
transport instead.
The first
onboard unit will be free of charge.
During the
transition period, motorists can expect no change to the current
charging regimen. After the transition phase, the LTA will look
into phasing in distance-charging.
This could
mean significantly higher ERP charges for road-users who clock high
mileages, such as taxi-drivers, deliverymen and bus operators.
Mr Chew said
there was no timeline for the implementation of
distance-charging.
But he said
other functions of the new system will be available from day one.
These include real-time traffic information for every road user,
coupon-less streetside parking, and automatic payment for offpeak
car owners who drive during peak periods.
This means
the system, which uses satellite navigation technology, has
islandwide coverage. In places where satellite coverage may be weak
- such as in tunnels or under viaducts - signal beacons will be in
place.
