The European Electronic Toll Service Business Model – Risks and Rewards

This paper examines the business model behind the European Electronic Tolling Service (EETS) Directive which seeks to promote the European-wide electronic tolling concept. While there is increasing clarity around the EETS provider registration process, there is still uncertainty around the underlying business model. In particular many stakeholders are concerned that the revenues from the provision of interoperable tolling services are not sufficient, in relation to the projected establishment and operating costs, to justify making the investment to create an EETS provider. Are these concerns valid and what other factors need to be considered? This paper presents some preliminary views from the perspective of a potential EETS manufacturer. The analysis suggests that there are a number of significant risks associated with the proposed relationship between Toll Chargers and EETS providers, however the ability of an EETS provider to offer complimentary value-add services does create attractive commercial opportunities. Overall the business model is not well developed and the situation should be monitored to ensure that the objectives of Directive 2004/52/EC are fulfilled. The EETS initiative is an important instrument for the implementation of intelligent transportation systems (ITS) in Europe, and further interventions may be required to support interoperable and seamless tolling services.

• Supplemental Notes:
  • Abstract reprinted with permission from Intelligent Transportation Society of America.
• Corporate Authors:

  ITS America

  1100 17th Street, NW, 12th Floor
  Washington, DC  United States  20036
• Authors:
  • Michie, Brian
• Conference:
  • 19th ITS World Congress
  • Location: Vienna , Austria
  • Date: 2012-10-22 to 2012-10-26
• Publication Date: 2012

Language

• English

Media Info

• Media Type: Digital/other
• Features: CD-ROM;
• Pagination: 4p
• Monograph Title: 19th ITS World Congress, Vienna, Austria, 22 to 26 October 2012

Subject/Index Terms

• TRT Terms: Automated toll collection; Dedicated short range communications; Intelligent transportation systems; Interoperability; Revenues; Stakeholders
• Geographic Terms: Europe
• Subject Areas: Administration and Management; Finance; Highways; I10: Economics and Administration;

Filing Info

• Accession Number: 01499177
• Record Type: Publication
• Files: TRIS
• Created Date: Nov 21 2013 9:14AM