International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France International Symposium on Road Pricing Key Biscayne, Florida – November 19-22, 2003 David LECOFFRE, Transportation Attaché Embassy of France Washington, D.C.

International Symposium on Road Pricing, Nov 19-22, 2003 Overview Toll Roads in France Toll Rates in France Variable Tolls in France Case Studies of Variable Tolls Conclusions

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Roads in France General Information about France Area : 550,000 sq. km Population : 60 million 22 “regions” 100 counties 36,000 cities/local districts Private cars : 29 million Comm. vehicles: 5.5 million

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Roads in France French Road Network National Highways –6,500 miles (75% toll roads) –Traffic > 30,000 vehicles per day (vpd) Other National Roads –20,000 miles –Traffic > 10,000 vpd County Roads –200,000 miles –Traffic > 1,000 vpd Local Districts Roads –300,000 miles –Traffic > 100 vpd France is in a process of shifting road ownership of a large part of the road network from national level to county level

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Roads in France History of French Toll Roads ~ 50 years of toll road concessions experience 1955 Toll Act authorizing: –creation of state owned toll road companies –right to levy tolls to finance the “construction, maintenance and operation of highways” Profitable toll roads have subsidized non profitable 5,000 miles toll roads constructed and now in operation in France

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Roads in France French Toll Roads Today ~ 5,000 miles of toll roads concessions –4,500 miles operated by 6 mainly publicly owned companies (ASF, SAPRR, SANEF, ESCOTA, AREA, SAPN) –500 miles operated by a private company (COFIROUTE) 2 international tunnels operated by publicly owned companies (ATMB, SFTRF)

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Roads in France Role of the French Government Perspectives of “privatization”: France studies the possibility of selling more of its shares in publicly owned toll road companies Main Agencies involved : Road and Highway Administration (Dept. of Transportation) and Budget and Treasury Administrations (Dept. of Finance) Role of the French Government evolves from Shareholder/Operator to Regulatory Authority French Government has an important role in setting toll rates

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Rates in France General Information Average National Toll Rate (private cars):~Eur 0.07 / km –Annual increase (Feb 1st) –a little more than inflation –Rate varies from toll company to toll company (up to 30% variance) Toll Rate evolution policy is determined by the French Gov’t. and the toll companies: –in the concession contract (general framework) –In the details, every 5 years, in a sub-contract

International Symposium on Road Pricing, Nov 19-22, 2003 Toll Rates in France Definition of “Toll” The “legal definition” of a toll is complex : Fee for service, Tax, Price… lots of jurisprudence on the issue For a long time, tolls used to cover the cost of infrastructure financing (construction, maintenance, operation) In the future, a vocation to use tolls for : –traffic management –cover external costs (ex. environmental costs) Several “variable tolls” experiences have been implemented in France in the last 10 years

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Definition of “Variable Tolls” Variable tolls modify toll rates according to parameters such as time of day, itinerary, environmental reasons, etc. A broadly used Variable Tolls : toll rates vary according to vehicle type (i.e.: passenger cars, commercial vehicles) Three other interesting categories of variable tolls: –Time-variable tolls: toll rates based on the time of day –Itinerary-variable tolls: toll rate determined by route traveled (when two or more possible routes) –Environmental-variable tolls: toll rates based on vehicle emissions levels

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France French Government Position on Variable Tolls French Government has favorable view of variable tolls Has taken a pragmatic approach No specific and strict policy : “learning period”, step by step There are some general principles : –Main legal principle: Two users may pay two different toll rates if and only if they are in « significant » different situations (legal jurisprudence) –No revenue increase: a toll rate increase during a time of the day must be compensated by a decrease during another time –Clarity and Simplicity: the user must easily understand the variable toll system implemented –Public interest : ex. Variable toll fees may be used for road safety (tunnels)

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study #1 : A1 Lille-Paris (SANEF) First Time-variable toll, North of Paris, from 1992, still in operation Toll rates increased on Sunday evenings (weekend rush hour) Toll Rate + 25% during « red hours » : 4:30-8:30 pm Toll Rate –25% during « green hours » : 2:30-4:30pm and 8:30- 11:30 pm Success : 10% traffic transfer from red to green period, easing congestion

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study #2 : A10-A11 (COFIROUTE) Southeast of Paris Connection A10-A11 March to November 1996 Sunday evenings Assessment : positive, 8 to 12% traffic transfer, easing congestion Initial evaluation period has not been extended due to public concerns Cofiroute evaluates the opportunity of starting again

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study #3 : A14 (SAPN) A14 Urban Toll Highway Paris - 10 miles, open 1996 A13 : free alternative but congested during rush hours 1998 : Implementation of Time- Variable Tolls Toll Rates vary according to the time of the day. From 4 Euros to 6 Euros. Objective: no traffic jams Toll subscription policy Electronic Toll Collection System Car pooling, public acceptance

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study #4 : A1-A26 (SANEF & SAPRR) Itinerary-Variable tolls Objective : avoid traffic around Paris by using route A26-A5- A31 instead of route A1-A6 During Summer Holidays 93 and 94 Toll Rate Euros on route A1-A6 Toll Rate – 5 Euros on route A26-A5-A31 Success : users now know the alternative route Initial evaluation period not renewed because A 31 now congested

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study #5 : A5-A6 (SAPRR) Itinerary-variable toll rate Winter Holidays 1995 to 1997 (Paris to the Alps) South of Paris, use A5 instead of A6 Success : 20% more traffic used A5 instead of A6 Experiment not extended after opening of A19 in 1997 for technical reasons

International Symposium on Road Pricing, Nov 19-22, 2003 Variable Tolls in France Case study#6:Alpine tunnels (ATMB-SFTRF) Environment-Variable Toll Rates Mountain regions : the Alps are an environmentally sensitive area Mont Blanc Tunnel : 7 miles Frejus Tunnel : 8 miles Variable Tolls applies to Commercial Vehicles “Euro” Classification (according to vehicle emissions) Commercial vehicles pay an additional fee (~5 to 10 %) to use tunnels for environmental and safety reasons Transfer Freight on Rail Acceptance of the infrastructure by local population

International Symposium on Road Pricing, Nov 19-22, 2003 In conclusion… Long experience : 50 years tolling, 10 years using variable tolls Variable tolling in France : a pragmatic approach, no specific public policy at this time, French Government sets general principles as it goes along Evolution of the concept of tolls : from a financing purpose (cover infrastructure cost) to a broader purpose (traffic management & cover external costs) France--with its European partners--is in the process of forging new public policy by redefining tolls and determining to what extent variable tolls should be used.

International Symposium on Road Pricing, Nov 19-22, 2003 THANK YOU ! Contacts: David LECOFFRE, Transportation & Infrastructure Attaché Embassy of France 4101 Reservoir Road, Washington, D.C Tel: (202) Additional contacts (French Road and Highway Adm.) Patrick Vieu, Toll Roads and Concessions Alain Fayard, Economic and European Affairs