Scott Wilson, Associate Director, LeighFisher April 13 2013
An alternative to charging by distance
Vignette systems in Europe Buying time?
Vignette Systems in Europe 15 April 2013
What are vignettes?
Advantages and
Disadvantages Could they be an
alternative to MBUF?
Agenda
Vignette Systems in Europe 15 April 2013
What are vignettes?
“Each year there are around 1.5 million trips to the UK by foreign registered lorries – but none of them pays to use our roads, leaving UK businesses and taxpayers to foot the bill”
Mike Penning, Minister of Roads, United Kingdom.
Vignette Systems in Europe 15 April 2013 4
Vignette means “little vine” in French Vignettes have offered network road pricing
for around 20 years in Europe Access is bought in advance, for periods
ranging from 1 day to 1 year Usually only apply to motorways or national
highways Typically involves a sticker licence for display
on the windscreen. Some have “electronic vignettes” recorded by number plate Purchased at retail outlets, by mail, phone or
online Enforced by Police Only some hypothecate revenue for
infrastructure funding
Vignettes provide prepaid access to highway networks
Vignette Systems in Europe 15 April 2013
Mix of countries have heavy or light vehicle vignettes or a combination of both
5
Red: Heavy Yellow: Light Orange: Both Blue: Proposed
Vignette Systems in Europe 15 April 2013
Heavy vehicle vignettes getting replaced with distance charges
5 have a single system (Eurovignette) covering all their countries 4 have national heavy vehicle vignettes UK is developing its own truck vignette, partially replacing annual vehicle
excise duty (licensing tax). Latvia also developing system 5 other countries have shifted from vignettes to weight/distance charging Belgium now making similar shift to distance based charging Prices regulated by EU to ensure they broadly reflect infrastructure costs Environmental factor (cheaper if have lowest emissions ratings) EU strongly encouraging shift to distance charging for heavy vehicles
because it reflects usage and costs more fairly 1 day vignette is US$10.48 for all heavy vehicles One year ranges from US$983-US$2031 maximum Unused parts of one year vignettes can be refunded in certain circumstances
Vignette Systems in Europe 15 April 2013
Light vehicle vignettes are growing in popularity
9 countries have light vehicle vignette systems Belgium developing a light vehicle vignette system 6 of those with light vehicle vignettes have heavy vehicle distance charging EU law concerned about pricing of products being proportionate Price range from US$3.90 for a week to US$186 for a year
Vignette Systems in Europe 15 April 2013
Advantages and Disadvantages
“The principle of proportionality requires that short-term vignettes are offered at appropriate rates”
European Commission
Vignette Systems in Europe 15 April 2013
Vignettes are a different approach to tolls or MBUF
Advantages Disadvantages
Low cost and short time frame for implementation
Long term vignettes are a poor reflection of actual usage especially heavy vehicles
No need for in-vehicle equipment or extensive road side infrastructure
Annual vignettes may be seen as similar to annual licensing taxes
Easy for users to understand, especially visitors from other countries/states
Poorly designed systems can be prone to fraud
No substantial privacy issues Sticker systems impose barrier to travel requiring retail purchase
Low compliance costs once bought Little scope for innovative pricing (e.g. demand management
Pricing can be a proxy for distance charging Revenue does not increase according to usage
Can be sticker or electronic based Marketing and retail options critical for fairness
Easy to make changes to charged network
Vignette Systems in Europe 15 April 2013
Alternative to MBUF?
“Those who walk on the well-trodden path always throw stones at those who are showing a new road.”
Voltaire
Vignette Systems in Europe 15 April 2013
Vignettes could be an alternative, especially for out of state users
- Vignettes can be a “stepping stone” to distance charging - Vignettes started with trucks, now shifting to cars in Europe - Vignettes get users used to “buying for access” to roads - Much easier to sell to some than distance charging - Vignettes could be an option in addition to distance charging - Vignettes could be an option for cross-border users because of
low costs of compliance/easy to understand - Way of covering non-tolled roads in a cost effective way
Scott Wilson http://www.leighfisher.com
+ 44 7436 032 466
Road Pricing Blog http://roadpricing.blogspot.com @RoadPricing