A Trip Into the Future of the Industry General Session Introduction

A Trip into the Future of the Industry General Session Introduction

• Rapid Technology Advances • International Standardisation and Harmonisation • Overarching Technology Trends are Convergence & Cooperation • Cooperative ITS • Cooperative Mobility • Interoperability Technology Cooperation is not just a trend, it is here and now already Cooperation Across a Diverse Ecosystem?

Image courtesy of WorldStreets, www.worldstreets.wordpress.com How to Keep Pace?

• Policy Makers / Decision Makers / Stakeholders already struggling to keep up with the pace • Rapid Technology Advances • International Standardisation • Accelerated Convergence of ITS and Tolling

• How do business decisions Today maximise opportunities arising from Tomorrow’s World? Expert Panel

• Brian Quinn: Head of Innovation Lab & Ecosystem, Intel Labs Europe, Intel Ireland Ltd., Ireland • Larry Yermack: Strategic Advisor, Cubic Transportation Systems Inc., California, USA • Eugene O Brien: Head of Smart Cities & Infrastructure, University College Dublin, Ireland • Steven Preece: Managing Director, Egis Projects Ireland, Dublin, Ireland • Jan Willem Tierolf: Chairman, The Stockholm Group, Amsterdam, The Netherlands • Darrell Johnson: Chief Executive Officer, Orange County Transportation Authority, California IBTTA 2015 / Panel Dublin

Brian Quinn Intel Labs Intel Corporation

September 2015 Intel’s Vision If it is smart and connected, it is best with Intel.

Data Center Client Wearables/IoT

2 Predictable Silicon Track Record Executing to Moore’s Law 50TH Anniversary Enabling new devices with higher 2015functionality and complexity while controlling power, cost, and size

Strained Silicon

Hi-K Metal Gate 3D Transistors

90 nm 65 nm 45 nm 32 nm 22 nm 14 nm 10 nm 7 nm

3 Intel® Processors QUAR K

4 COLLABORATE FOR RESULTS INTEL Deliver breakthrough innovationsLABS to fuel UNIVERSITIES GOVERNMENTS INDUSTRY Intel’s growth and KEY RESEARCH FOCUS AREAS technology leadership

ARCHITECTURE SYSTEMS AND SECURITY AND WIRELESS AND DESIGN SOFTWARE PRIVACY COMMUNICATIONS

STATEGIC ORGANIZATIONS

STRATEGY, INTEL LABS EUROPE INTEL LABS CHINA PLANNING and Sustainable China Tech COLLABORATION Intelligent Systems Ecosystem

5%  Over 5,000 employees In Ireland  $12.5 billion invested in manufacturing technology today F24 / F14 / F10 TMG  A hub for Intel’s IoT activity LEARNING SOLUTIONS  Representing Intel Software and Services SMG EDUCATION VERTICAL operations Quark Solutions IOT  A growing hub for Silicon Design PRODUCT DESIGN DCG/IOTg Design PEG  A key European R&D location SILICON RESEARCH COMPONENTS RESEARCH

HAVOK SSG

ILE Intel Security INTEL LABS Connected Tolling Larry Yermack-Cubic Transportation Systems Connected Vehicles

• Connected and/or Autonomous Vehicles • Connected: Vehicle to Vehicle and Vehicle to Infrastructure • US Coalition of Industry and Government • ANPR issued by NHTSA • 5.9ghz radio in every car sold starting with 2020 models Why This is Important

• Could impact up to 80% of non-impaired crashes • Alphabet Soup: FCW BSW DNPW IMA • With Toll Industry or Without us this technology is going to be deployed Toll Industry Interests

• Has “connected” to vehicles for decades • Created The “Customer” • Operates Financial Clearing House • Offers Connected Vehicles a Business Case for growth • V to I needs a funding source • Can be payment mechanism for tolling and other applications It’s Complicated-What else in new?

• Everybody has their “ownership” interests • Concerns about interference • NHTSA is a safety regulatory agency • Car Makers don’t want to be tax collectors

• Participate in the discussion or hope that it goes away? The Future of Freight Eugene OBrien, University College Dublin Freight 150 Road freight Growth 140

130

Index 120 GDP

110

100 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Year

• EU Freight grew 30% in 10 years – doubling about every 25 years Choices for Future of Freight

• More trucks • More roads • Bigger trucks • More trains • Grow local! Choices for Future of Freight

• More trucks • More roads • Bigger trucks • More trains • Grow local! • Or think outside the box Future of Freight

• Road infrastructure is only 9% of freight cost – why not consider ‘monster-trucks’ and/or overhead power? Future of Freight

• Germany is already tolling by number-of-axles. It’s a small step to toll-by-weight • Australia is allowing heavier trucks and, in return, is monitoring route, speed and mass compliance. • Toowoomba to Port of Brisbane – 100% increase in productivity & 50% fewer trucks; 40% reduction in emissions 2nd September 2015 Activities in Ireland Group Egis in Ireland

The Group Egis has been active since the late 1990s in Ireland: During the 1990s, it provided some advisory work for National Toll Roads (NTR) in respect of their concession projects (East and West Link) and provided engineering services to the National Road Authority (NRA) It participated in the PPP-Program for toll roads launched by the NRA in 2001 together with Balfour Beatty, Carillion and Atkins (ErinRoute) with roles as sponsor, FOE system supplier, O&M Operator and Designer. Unfortunately, ErinRoute did not win any project even though it participated in four tenders It provided engineering services to Limerick County Council in respect the M7 motorway between Nenagh-Limerick (38 km) which was opened to the traffic in 2010

But since 2004, Egis Projects has been building up quite a substantial business and by the end of 2014, about 25% of its activities will be generated in Ireland.

19 Egis Projects in Ireland

Since 2004, Egis Projects has been able to add at least one Irish project to its portfolio each year: 2004: Award of “Information Exchange 2009: Award of “GoSafe – Speed Agent (IEA)” contract enforcement” contract 2005: Award of “Dublin Port Tunnel 2010: Acquisition of O&M activities (DPT)” operations contract from NTR (“Juniper”) 2006: Launch of Easytrip Services 2012: Launch of SOS app Ireland 2013: Launch of Egis Lagan Services 2007: Acquisition of a 22% stake in Celtrak Ltd Award of “ITS-RS” contract 2014: Renewal of Dublin Tunnel operation contract 6 + 4 years 2008: Acquisition of Eazypass Ltd. By Easytrip Services Ireland

20 Summary Overview

The various activities are: Dublin Tunnel (100% stake until mid 2024) Easytrip Ireland (50% stake) Celtrak (22% stake) Egis Lagan Services(50%) stake) GoSafe (42% stake) Tolling Operations 1. East-Link Toll Bridge (East-Link) 2. M1 (CRG Dundalk, Northlink) 3. N25 (CRG Waterford, Southlink) 4. M7/M8 Portlaoise (CRG Portlaoise, Midlink)

21 O&M Services

Egis is currently involved in the following operating and maintenance projects: Dublin Tunnel (DT): Client: NRA Project scope: operating & maintenance of a 5.6 km tolled road, including a twin tube tunnel of 4.5km under Dublin Contract period: 6 + 4 years from 2014 Operator: Egis Road & Tunnel Operation Ireland (100% owned by Egis Road Operation), employing around 85 permanent staff including tolling, traffic management and maintenance personnel

22 O&M Services

Egis is currently involved in the following operating and maintenance projects:

Egis Lagan Services Holdings: Client: NRA Project scope: operation and maintenance of 360km of the main road network initial scope included mainly the M9, M25 and M7 dual carriage ways. There is also a provision for the Contractor to execute General Works. Contract period: 5 years from 2013 and probably prolonged until mid 2020 Operator: Egis Lagan in joint venture with Lagan Projects (50-50)

23 O&M Services

Egis is currently involved in the following operating and maintenance projects: Northlink, Midlink, Southlink: Eastlink: Client: CRG (Concessionaire) Client: Eastlink Concessionaire Project scope: maintenance and operation, Project scope: provision of general manager including toll collection of: being in charge of tolling operations and - North Link: Length 56 km, Staff 62, in operation management of maintenance of project since April 2004 assets - Mid Link: Length 43 km, Staff 41, in operation since May 2010 Contract period: until 2015 (end of - South Link: Length 23 km, Staff 31, in operation concession) since October 2009 Provider: Egis Projects Ireland Contract period: all 30 years Operator: majority stake of 67%

24 Speed Enforcement Services

Egis is currently involved in the following operating and maintenance project National Irish Speed Cameras Services contract: Client: An Garda Síochána (Irish Ministry of Justice) Project scope: Management of the design, implementation and set-up of the speed cameras service including cameras and vans (mobile units), back office system and infrastructure, and depots’ infrastructure and security and operation and management of mobile speed cameras in vans: from the provision of vehicles and staff necessary to carry out speed control on Irish roads up to data management, back office operations and enforcement services.. Contract period: 5 years from 2010 until 2015 extend by 1 year 2016 Operator: Road Safety Operation in joint venture with Spectra and Redflex (42-42-16)

25 Tolling Services Past

Egis is involved in various tolling and related services: Information Exchange Agent (IEA) Client: NRA Project scope: design, implementation and operation of an Electronic Toll Collection interoperability system (clearing house) for the toll road network in Ireland Contract period: 5 years from 2005 and recently prolonged until early 2012 Operator: Egis Projects with Celtrak as its subcontractor

Celtrak Ltd (22% shareholding) Provider of fleet management and location-based operation solutions to the Irish and UK markets Company turnover: € 4.2 million per year

26 Tolling Services Current

Egis is involved in various tolling and related services:

Easytrip Services Ireland (including Eazypass, 50% shareholding): Company specialized in the marketing of Electronic Toll Collection (ETC) tags and the management of ETC accounts in the Irish market. In addition to tolling services, Easytrip provides extra value-added services such as parking services to its tag customers It has currently issued a total of 185,000 tags and installed equipment in 17 Car parks It collects currently €70 million in tolls per year on behalf of the different Irish concession companies and the NRA who is responsible for the Dublin M50 Free-flow toll collection (about 35% of the NRA’s revenue is collected via Easytrip)

27 Local Office Representation

Egis Projects Ireland: Employed staff: 13 at head office, 21 based throughout the projects total of 34 staff. 100% of a support platform which carries also a management contract with East Link, a concession company employing all operational staff.

28 Egis Key Figures

Headquarter in Paris area Consolidated Turnover > €900 M of which 50 % abroad in over 100 countries 12, 000 employees

Shareholding 75 % 25 %

Iosis Partenaires : 440 Egis executive partners and the Company Investment Fund “FCPE”(employees) 29 EGIS Projects : 100 % EGIS Subsidiary

6 complementary lines of business

Turnkey Electronic Road PPP project Road delivery of Airport road mobility structuring & operation & operating operation charging services investment maintenance systems solutions (Easytrip)

Egis Projects key figures

€167 million 2012 Turnover (IAS/IFRS standards) 2,240 km motorway under contract with 50 km tunnels

22 projects closed for a total value of €12 billion 1.3 million daily toll transactions

34 operating and service contracts representing a 2.3 million Electronic Tolling clients total staff of 6400 people 13 million yearly airport passengers 110 persons in head office

30 Egis Projects all over the world

France: A63, Poland: India: Korea: Daejeon UK: M25 Ireland: Easytrip Services, A28 & A88 toll A2 & A4 Delhi-Gurgaon, Riverside London Transpass Dublin Port Tunnel, roads toll roads Lucknow- Expressway orbital Philippines: Easytrip Northlink, Midlink & Sitapur Services, North Southlink, Eastlink Luzon Expressway, Egis Lagan Services Subic-Clark-Tarlac Go-Safe, Celtrak

Hungary: M6 motorway

Turkey: Istanbul Eurasia tunnel

Croatia: Zagreb- Macelj motorway USA : Central Australia: Florida M2 Cyprus airports Expressway Australia: Sydney Portugal: A24 Germany: A8 Austria: A5 Melbourne Canada: Golden Ears Bridge ORT, Greece: Interior Norte (first A-Model) (first PPP road) City Link ORT road Port Mann Bridge Free-Flow Tolling Athens Ring Road THANK YOU

32 Stockholm group

J.W. Tierolf

IBTTA – Annual, Dublin 2 September 2015 Stockholm Group

• Informal platform of National Authorities/Ministries on Tolling – Since 2002 – Focus on free-flow and on interoperability • 17 Members: – AT, BE, CH, CZ, DE, DK, FI, FR, HU, IR, NL, NO, PL, SE, SK, SI, UK • Activities: – Exchange info on both national tolling and EETS – Converge positions on EETS (re. Cté T, subgroups) – Address open issues EETS  Develop strategies  Execute actions (a.o. accessible info, conciliation, KPI, security)  Concert/cooperate w. other stakeholders EETS, European Electronic Toll Service

• EETS – User:1 contract + OBU w SP, for all Toll Domains – Technologies: 5.8 GHz DSRC, CNN, GNSS – SPs: EU registered; contract all Toll Domains – Due: 2012, but not operational  EC review • Issues – 24 months to contract all Toll Domains – Business case SPs: Little Remuneration by Toll Chargers, or Users – No CE marking of OBU’s – Some MS not ready putting procedures in place – Etc. EETS, next

• EC progress report to EP, end 2015 • EC Questionnaire to MS, Summer 2015 • REETS project, may be solution for trucks? • Opinion: – EU Legislation needs adapted, either to stop or improve • Potential for reducing costs: – Interoperable solutions without OBU? – Cross Border Exchange of registries for enforcement? Future of Tolling • Trends: – Infrastructures • Big data, • Connected citizens – Business • combining business areas, • new types of services, • New players – Vehicles • from car ownership to car use, • connected vehicles

Much Potential for Change, but… Where, When, How, with Whom? Darrell Johnson CEO, Orange County Transportation Authority, CA Sept. 2, 2015 Orange County, California • Located just south of Los Angeles in Southern California • Population of 3.1 million • Nearly 2.5 times that of County Dublin • Larger than 22 U.S. states • 948 square miles (2,455 square km) Orange County Transportation Authority • Countywide bus service • Highway and street improvements • 91 Express Lanes

• Metrolink commuter rail service

• Motorist Services

• Measure M – local sales tax 91 Express Lanes • Purchased in 2003 from a private company

• Fully automated, four-lane toll road

• 10 miles (16 km) long

• Excess revenue goes toward improving free lanes

• 13 million trips last year

• Tolls vary between 15 cents and $1 per mile Interstate 405 Improvement Project • $1.7 billion to add general-purpose and toll lanes to 16 miles (25.7 km) • Busiest stretch of freeway in the U.S. • More than 370,000 motorists per day • Design-build delivery, construction expected in 2017 1. Are We Ready for Cooperation?

• Different Objectives, Priorities and Masters • Public Authorities (delivering on their remit, justifying budget allocations, answering to political masters….) • Private Sector (shareholders bottom line is P/L account, risk averse if faced with more reliance on trust) • Academic Sector (balancing education focus with obtaining R&D funding) • Users more focussed on private benefits • How do we achieve wider Cooperation today to maximise Tomorrow’s Opportunities? 2. What are the future Technology Drivers?

• Apps, Big Data, Open Data, Smart Cities…. These are today’s buzzwords but what is their life-cycle and what will replace them? • Is it a case that the future will be technology agnostic with the focus shifting to data and use of data? • How can strategies for the adoption of constantly evolving technologies balance with the traditional ‘specify / procure / operate’ cycle?

• How do we prepare Today to adopt Tomorrow’s technologies? 3. What are the Impacts of Harmonisation?

• Harmonisation and Standardisation provides the foundation for future cooperation and technology adoption. • This needs to be overlaid on existing legislative, commercial and operational regimes. • There are obvious future benefits but the adoption path can often be a large pill to swallow. • Harmonisation of Vehicle Classifications is an example of this.

Continued.. 3. What are the Impacts of Harmonisation?

• World Forum for Harmonization of Vehicle Regulations • UNECE definitions adopted by EC (Vehicle Tax, Eurovignette) • Classification based on “Maximum Mass” • Adoption requires changes to traditional detection and audit processes. • How do we prepare Today to meet Tomorrow’s Harmonisation Adoption Challenges? 4. Going from One Extreme to Another?

• Technological advances are very user-centric (apps, in-vehicle displays etc.) which encourage users to focus on their own private benefits. • This leads to consequential impacts on achieving social benefits such as increased road safety, improved integration between transport modes etc. • How do we get the balance right? 5. Commercialisation of R&D?

• As evidenced by Horizon 2020 policy objectives, commercialisation prospects are a major influence in determining allocation of R&D funding. • Commercialisation by definition focuses on current Market needs at the expense of ignoring potentially game-changing R&D?

• Does focus on commercialisation run the risk of missing out on wider R&D benefits? 6. Business Case and Benefits?

• Interoperability of Technology is never the main issue. Cooperative adoption often gets bogged down on legislative and commercial issues.

• Socio-economic benefits are difficult to quantify yet stakeholder consensus cannot be achieved without a clear understanding of the cost / benefits for their organisation. How can we address this? 7. What About Our People?

• The success of our industry is dependent on the calibre of people working within it.

• How do we encourage the best and brightest to enter our industry and how do we ensure that they are sufficiently motivated to stay on- board? Or is tomorrow’s world all about machines? Questions from the Floor? Thank You for Listening Expert Panel