Opinion: The Next Phase of Trucking, Tolling

By John Andrews

President & CEO

Bestpass Inc.

The Reason Foundation’s recently published policy study, “Truck-Friendly Tolls for 21st Century Interstates,” sparked discussion from Internet forums to board rooms on what the future will look like for trucking and for tolling.

John Andrews

Let’s start with the most likely premise: Tolling isn’t going anywhere. It is safe to assume that tolls will play a prominent role in the future of commercial transportation, especially as states and municipalities look for reliable funding mechanisms to improve or replace existing infrastructure.

While tolling authorities and other government agencies are working on achieving interoperability between systems on a national scale, few people are considering many of the issues that most directly affect the entire trucking industry.

The complexity of tolling from a nationwide or even regional perspective is formidable. For example, it costs a 5-axle truck $31.50 to cross Kansas, and it costs that same truck $126.85 to cross New York state. A driver based in Kansas can traverse his home state several times with $100 in his account, but that won’t get him very far if he has a load to deliver in New York.

The difference in scale from state to state represents a real challenge for fleet managers and toll collectors, and it is only one example of what remains to be tackled when debating the path to interoperability and its effects on trucking.

Bestpass and a few other tolling companies have been working specifically on the trucking industry’s unique tolling issues for many years. As we look ahead to the next phase of trucking and tolling, it is apparent that seamless interoperability among tolling systems across the United States and Canada is the most sensible approach to addressing these challenges. While true interoperability still is arguably two to five years away, trucking and tolling already have made great strides, connecting disparate systems and reducing costs for both industries.

One of the primary challenges to achieving interoperability is the mandate for most tolling authorities, which is to operate their facilities safely and efficiently. This, of course, is a logical mandate, but because of cost considerations, it is not necessarily a catalyst for integration between facilities and authorities.

Therefore, tolling today is made up of a number of independent systems, based on different technology platforms with a wide variety of operating guidelines and business rules. To pursue universal access, we need to focus on developing flexible and innovative ways to connect the pieces that already are in place while avoiding added cost or lost local benefits.

While the toll industry tends to focus on the complexities of a single transponder to achieve interoperability, a one-device approach, at this time, would not resolve many of the challenges that truckers and tolling systems face. A single transponder would fall short of addressing the disjointed nature of resolving issues across many toll facilities.

Such a solution also is limited to meeting the needs of the highest-volume users, which rely on discounted bulk rates negotiated through local tolling facilities to help defray the costs of scale. We can assume that a single universal transponder would result in additional costs for the trucking industry, especially through the loss of local discounted rates.

An additional barrier to interoperability is the sheer number of independent tolling authorities using a wide variety of technology platforms and operating guidelines. Small toll facilities, some of which are privately owned, may not have the resources to join a national solution. The tolling industry itself will feel the effects of implementing new lane reader technology, as well as the additional administrative cost of clearing payment and collecting debt from non-local users.

To gain universal access to such a diverse system for trucking, we need to develop flexible and innovative ways to connect these existing pieces, without adding cost or eliminating local discounts. The tolling service network should include not only large interoperable facilities but also incorporate the independent facilities across all 50 states and Canada. Public-private partnerships between the trucking and tolling sectors, as well as associated partners, can help facilitate the creation of this network and will further streamline the processes of paying, collecting and administering tolls.

Change down the road will offer opportunities for us to improve the efficiency of existing practices in both trucking and tolling. As new technologies become available, we in the trucking industry need to anticipate and adapt to changes in tolling and infrastructure as — or even before — they happen. To make the most of these opportunities, the trucking industry as a whole needs to focus on the most viable options for true interoperability, which exist beyond the scope of a single transponder solution.

The Reason Foundation’s study has elevated the level of dialogue regarding the future of trucking and tolling, just as we are making critical advances to achieving interoperability. It’s an interesting time to be on the inside or outside of a tollbooth.

Bestpass Inc., based in Albany, New York, provides single-source payment and streamlined toll management services to commercial fleets.