ROAD PRICING IN FRANCE

Size: px

Start display at page:

Download "ROAD PRICING IN FRANCE"

Jocelyn Parker
6 years ago
Views:

Direction for Infrastructure, Transport and The Sea Ministry for Ecology,

1 ROAD PRICING IN FRANCE ONTARIO S ROAD PRICING FORUM November the 13th, 2008 Toronto, ON, CANADA Nicolas MERY Road concessions contract manager General Direction for Infrastructure, Transport and The Sea Ministry for Ecology, Energy, Sustainable Development & Regional Planning

2 Summary Pages 1 - French experience of toll concessions and PPPs Historical overview of the French concession system New PPP contracts Road pricing practices on toll motorways in France General principles of road pricing on toll motorways in France Variable tolling experimentations Looking to the future 24 2

3 Pages 1 - French experience of toll concessions and PPPs 3

4 1.1 Historical overview of the French concession system Motorway network in France : 11,000 km, of which 8,500 km are conceded to private parties. Free Intercity Motorways National Gov. Operated 14% Free Urban Motorways National Gov. Operated 11% 4 Privately operated Toll Motorways 75% 44

5 1.1 Historical overview of the French concession system Currently under construction : - ARCOUR (A19) - ADELAC (A41) 5 55

6 1.1 Historical overview of the French concession system Role of the State in toll road concessions : - The State owns the National Motorway System including the toll highways. - The State has power to realize road concession within the main transportation network. -The State monitors the execution and issue to commission motorways. Type of PPP and risk allocation : authorisation - Road concessionaire is vested with rights and duties of the State according to DBFOM(*) formula of the infrastructure. - Road concessionaire is responsible for all risk and perils of the concession (including risk linked to traffic). Contractual framework : - Global concession contract. - 5 years-term objective contract 6 (*) : Design, Build, Finance, Operate and Maintain. 66

7 1.1 Historical overview of the French concession system The main motorway policy in France was established in A historical system called Adossement : - Any new motorway section was automatically granted to the local concessionnaire : local monopolistic companies. -Construction of new sections was financed by revenues from stretches already in operation : cross- subzidation process. A successful mechanism, but a practice inconsistent with the principles of fairness and equality. 7 77

8 1.1 Historical overview of the French concession system A new way of awarding concessions since : - The European public work directive of 1991 : awarding of motorway concession is subject to

8 8 1.1 Historical overview of the French concession system A new way of awarding concessions since : - The European public work directive of 1991 : awarding of motorway concession is subject to obligation of prior publication and respect of equality between candidates - Law «Sapin» of 1993 : any new section must be economically viable on its own. This has led to greater transparency and greater competitiveness. 5 new sections have been succesfully awarded: A28, the Millau Viaduct, A41,A19,A65. The Millau viaduct has been conceded to CEVM in It has been financed solely on private funds. It is the highest motorway viaduct in the world (343m). 88

9 1.1 Historical overview of the French concession system Privatization of the historical highway operators early 2006 : Cofiroute and ASF-ESCOTA : Vinci. SANEF-SAPN : Abertis 53% - CDC 15% - Predica 12% - Axa 10% APRR-AREA : Eiffage 37% Macquarie 37% - Lagrummet December EU 10% - Elliott Management 10%. CEVM : Eiffage. ALIS : IXIS CIB 26% - Bouygues 15% - HBOS UBERIOR 13%. A lienor : 65% Eiffage - 35 % Sanef. Other are national or local authorities owned company : Tancarville and Normandy Bridge : Normandy chamber of commerce. Tunnels ATMB & SFTRF : French and Italian National Govs. 9 99

10 1.1 Historical overview of the French concession system Km motorways Km Km Km Km Of wich Km Conceded 170 Km Km Km motorways Km

11 1.2 New PPP contracts A new type of PPP to experiment : the partnership contract defined in the new french ordinance of June 17th A new way to subsidize the private partner : throughout the contract life cycle and not only during the construction phase. The ordinance is restrictive. It requires an evaluation is compulsory to show that the contract is more beneficial than classic public procurement on the basis of 2 criterions: complexity or urgency After this preliminary phase, negociations start with local authorities involved in the project to share the financial burden

12 1.2 New PPP contracts Road projects selected by the Government as potential road PPPs in October 2005 : Delinking of A4 and A86 motorways in the South East of Paris Widening of RN88 between Albi and the A75 motorway (would include already widened sections, long scheme: 133 km) Preliminary evaluation process achieved L2 part of Marseilles ringroad LEO part of Avignon ringroad Preliminary evaluation process in progress 12 12

13 2 Road pricing practices in France 13 13

14 2.1 - General principles of road pricing in France Prices are defined in the concession contract. Dominating user-pays-for-use-policy : each network is subdivised in elemental section. Those section (usually 100 to 200 km long) have an imposed Price-per-kilometer (PKM). Modulation is possible within each section but cannot exceed +/- 20% of this PKM

15 2.1 - General principles of road pricing in France PKM depends on the type of vehicule. 3 Criterion : height - weight -number of axle : - Class 1 : cars - Class 2 : trailers - Class 3 : HGVs with less than 3 axle - Class 4 : HGVs with 3 axle or more - Class 5 : motos PKM between class is defined by a coefficient

16 2.1 - General principles of road pricing in France Prices are fixed per the Ministry of Ecology, Energy, Sustainable Development and Spatial Planning. The Direction of transportation infrastructures is responsible for the regulation of road concessions granted by the national government Prices evolution is based on the inflation : PKM n = ( 0,7 i + ) PKM n 1 However, in the case of additional investment (enlargement for example, especially for the large historical concessions for which the network is several hundred kilometers long), 5 year-term objective contracts are negotiated and could have an impact on toll charges

17 2.1 - General principles of road pricing in France Means of payment used (year 2007) : TIS-PL 2% other 14% cash 24% Liber-T 25% credit cards 35% 17 17

2.1 - General principles of road pricing in France Electronic toll collection (ETC) on the french motorway network is now present on more than 3,000 specific lanes.

18 2.1 - General principles of road pricing in France Electronic toll collection (ETC) on the french motorway network is now present on more than 3,000 specific lanes. It ease the the flow of the trafic at toll plaza. «Liber-T» for car, motorbikes and trailers : - 2,144,000 pass holders ; M of transactions ; transaction / pass /year. TIS-PL for HGVs : - 465,000 pass ; M of transactions 18 ETC spreads all over the motorway network. But legislation does not give the opportunity to remove barriers from the toll plaza. 18

19 2.2 - Variable tolling systems The contractual framework gives the mean to concessionnaries to experiment variable tolling system in order to ease the flow of trafic and therefore improve the service given to users. General principles : - Limited in time and space. - Revenues should be even. 2 existing operations on the french motorway network 19 19

000 veh/day on the Paris suburbs section ) Operator : Sanef. Opened in 1967.

20 2.2 - Variable tolling systems A1 (Autoroute du Nord) links Paris to Lille and Northern Europe. Most frequented motorway in France (3M of transaction veh/day on the Paris suburbs section ) Operator : Sanef. Opened in Length 211km. Regular fare (Lille / Paris) : - Car : HGVs :

21 2.2 - Variable tolling systems The 1st french operation of variable tolling system has been put in place on the A1 in Aim : ease trafic peak on sundays night. Two periods : - «Green» : 2.30PM to 4.30PM with a 25% discount on the regular fare. - «Red» : 8.30PM to PM, price increase to 25%. A successful measure: - stability of this system. - trafic report are estimated up to 10 % (2.000 veh. per «red» period)

22 2.2 - Variable tolling systems A 14 Orgeval / Paris - The A14 motroway is the only urban toll motorway in Ile-de- France. It links the buisines district of La Defense to the west surbubs of Paris ; - It supports a commuting traffic and is exposed to congestion on peak hours (8.000 veh/hours). Length : 15.6 km Cost of construction : 690 M Open in 1996 Operator : SAPN 22 22

23 2.2 - Variable tolling systems In order to fight the congestion phenomena, an incentive measure has been put in place. Since 1998, price of the infrastructure are modulated depending on the time of the trip. A distinction has been made between peak hours (6.00 to AM and 4.00 PM to 8.00 PM) and slack periods. Gap between the 2 rates has been widened up to 30%, in order to reinforce the efficiency of the measure - Cars : 7.10, reduced to 5 between 10 AM to 4PM and 8PM to 6AM Monday to Friday. - HGVs : reduced to between 10 AM to 4PM and 8PM to 6AM Monday to Friday. - Free for carpoolers (at least 3 persons in the vehicule). Trafic switch are estimated between 2 and 4 %

24 3 Looking to the future 24 24

3 Looking to the future A nation-wide forum, the so-called Grenelle for the Environment, was initiated by the government between July and October 2007.

25 3 Looking to the future A nation-wide forum, the so-called Grenelle for the Environment, was initiated by the government between July and October The law voted at first reading on October the 21 st, 2008, define key points of governemental policy on ecological and sustainable developpement issues for the next 5 years. Web site : 25 The Minister of State, Mr BORLOO, on october the 21st,

26 3 Looking to the future The goal for road infrastructure is to improve its environmental performances by : - Reducing gaz emission linked to transportation. - Developping a comprehensive and multimodal approach. Incentives mesures : - Non stop tolls and variable tolls experimentation on conceded highways. - Creation of Ecotax based on mileage payable for HGVs using the non-concessionary network

27 3 Looking to the future Contractual framework allowed the State to ask operators to conduct : - Design new variable tolling experimentation. - Free flow experimentations on their tolling system. Design new variable tolling experimentation - Aim is to reduce congestion. - Revenues must be even. - Experimentation have to be conducted on significant scales. - Conclusions of the on-going sensibility-tests should be known early

Provence, which support more than 140,000 vehicles on peak days.

28 3 Looking to the future Projected free flow experimentations on tolling system of ASF and ESCOTA : ASF on the A7 : toll plaza of Lançon-de- Provence, which support more than 140,000 vehicles on peak days. ESCOTA on the A8 : toll plaza of Antibes, located on the daily congestionned bypass of Nice 28 28

29 3 Looking to the future A key measure from the Grenelle for the Environment is the implementation of a pay-per-kilometre Eco-charge on Heavy Goods Vehicles : - it aims at giving a price signal (by burdening road freight transportation). - It will help levying new resources for new transport infrastructure developments guided by a clear intermodal strategy. Eco-tax to apply to about 15,000 km of roads : - 12,000 km = the full non-conceded State Road Network (except toll motorways) ; - plus around 3000 km of local governments roads. All trucks over 3.5 t will be subjected, i.e. 600,000 domestic vehicles and about 200,000 foreign vehicles that use French roads

30 3 Looking to the future This eco-charge collection will be entrusted to one private partner, manager of the collection system, to be duly commissioned by the government. Eco tax implementation timetable by early November the eco-charge concept appears in the Grenelle I Act voted at first reading by the Parliament - the eco-charge will be established by the Finance Act for 2009, to be voted in december prior call for tenders to be put on October the 21st 2008 by mid january expected time for the tax coming into effect, after full collection system development, integration tests and OBEs distribution : in the course of

31 Thank you for your attention 31 31

32 Web sites : Contact info : nicolas.mery@developpement-durable.gouv.fr Phone :

Key figures. French tolled motorway facilities network

Key figures. French tolled motorway facilities network Key figures 2009 French tolled motorway facilities network We must remember 2009 * as the year of the 8,522 km of tolled motorways and infrastructures, 362 service areas with 21,860 parking spaces for