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ERP 2.0 installation will commence from 1 Nov 2023, starting with fleet vehicles

The Land Transport Authority (LTA) said it will install the new on-board unit (OBU) for all vehicles in phases.

Vehicles passing through an ERP gantry.
Installation of the new on-board unit (OBU) under the ERP 2.0 system will commence from 1 November 2023. (PHOTO: Yahoo News Singapore)

SINGAPORE — The Land Transport Authority (LTA) will begin installation of a new on-board unit (OBU) under the Electronic Road Pricing (ERP) 2.0 system from 1 November 2023.

Starting with fleet vehicles, which are vehicles registered to a company or an organisation, LTA said that the OBU will be installed progressively. Vehicle owners will receive a notification from LTA when it is their turn, with instructions on how they can schedule an installation appointment.

New vehicles will also be fitted with the new OBU, starting from the first quarter of 2024. All remaining existing vehicles will be scheduled for installation in batches, based on the age of the vehicles.


The OBU exercise is expected to be completed by end-2025. More details about the installation for individual vehicles will be announced early next year.

LTA added that installation of the new OBU is free for eligible Singapore-registered vehicles if it is completed within the two-month period stated in the notification.

Global Navigation Satellite System (GNSS)-based system

LTA said that the new Global Navigation Satellite System (GNSS)-based system will replace the existing ERP system which has been in operation since 1998 and is reaching the end of its operational lifespan.

The new OBU, which will replace the existing in-vehicle unit (IU), comprises three components – a processing unit, an antenna, and a touchscreen display. These three components are integrated into a single-piece OBU for motorcycles.

OBU on motorcycles.
OBU on motorcycles. (PHOTO: Land Transport Authority) (Land Transport Authority)
OBU with all three components installed in a car.
OBU with all three components installed in a car. (PHOTO: Land Transport Authority) (Land Transport Authority)

The touchscreen display will provide motorists with ERP-related information such as ERP charges and card balance as well as road and traffic updates, such as the locations of Silver Zones, School Zones, speed cameras and bus lanes.

Once all vehicles have transitioned to ERP 2.0, LTA said that the touchscreen display can support additional features such as real-time traffic alerts, payment of roadside parking and tolls at the checkpoints.

While motorists are strongly encouraged to install all three OBU components to access the full range of features, LTA has also considered public feedback to cater to motorists who wish to opt out of installing the touchscreen display. Such motorists will instead be able to access key OBU information via compatible mobile applications on their smartphones.

Additionally, LTA has also released a software development kit (SDK) to allow software developers to develop handphone applications that integrate and display ERP 2.0 data, such as key charging and traffic information. Strict security safeguards, such as ensuring that applications can only receive key ERP information from the OBU in a one-way manner, have been put in place with the release of the SDK.

While ERP 2.0 has the capability to support distance-based charging through its global navigation satellite system, LTA said that it has no immediate plans to introduce distance-based charging.

Transition period

There will be no change to how motorists are currently charged for ERP during the transition period, as the new OBU is designed to work with existing systems, including ERP and parking gantries.

Additionally, ERP gantries will remain during the installation period to facilitate a smooth transition for motorists and will be gradually removed thereafter. ERP charging locations will also be clearly indicated by other visual markers or signage, which LTA said it is currently studying.

The OBU will also inform motorists of upcoming ERP charging locations and their applicable ERP charges in a timely manner, with LTA saying it will share more details when ready.

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