Managed Lanes All Electronic Tolling Systems – What Are the Credit Risks?

Virtually every new managed lane (ML) project that opens in the US is cashless. The technology has been in use since 1991, when the first AET road opened in Norway and in the US since 1995 with the opening of the 91 Express Lanes in southern California. While the conversion of existing systems to AET has been slow, the benefits are clear for all toll systems: easily adjustable rate setting, operating cost savings through lower labor costs, improved lane throughput allowing for deferral of expansion projects, and environmental and safety benefits.

Much of the focus is on the technology but there are other issues of concern, especially for managed lanes projects operated under a public-private partnership (P3). A major issue is lost revenue.


About Bill Reinhardt

Editor of Public Works Financing newsletter
This entry was posted in Take Back Infrastructure. Bookmark the permalink.