Singapore: The Land Transport Authority (LTA) said on Wednesday (November 17) that the installation of an on-board unit (OBU) for the new electronic road pricing (ERP) system has been delayed due to a shortage of microchips.
These devices were originally scheduled to be installed in vehicles at the end of 2020. After the COVID-19 pandemic affected the global supply chain, it was postponed to the end of 2021. Installation will now begin in the second half of 2023.
When Singapore switches to a satellite-based next-generation ERP system, it will use new devices to replace the physical gantry-based system that has been more than 20 years old.
LTA stated in a joint press release with NCS and Mitsubishi Heavy Industries Asia Pacific: “After the suspension of operations of major semiconductor foundries in multiple countries/regions, the COVID-19 pandemic has increased global demand for microchips and affected them at the same time. Production.” The new ERP system.
“This has seriously affected the production of electronic equipment in many fields, from consumer electronics to industrial machinery and automobiles.”
LTA said that the production of on-board devices has also been similarly affected. The parts come from different suppliers, and some suppliers stated that they could not meet the delivery schedule required for key components.
The agency stated that the shortage of microchips is expected to continue until next year, and added that production is expected to gradually resume between the end of 2022 and the middle of 2023.
Ng Lang, Chief Executive Officer of LTA, said: “Our first priority is to ensure that the OBU installation work-at the beginning-goes smoothly for the driver, so we don’t want to start and stop.”
“For this reason, we decided not to be anxious, but to wait for a while and wait for the global chip supply situation to stabilize… We may not start the OBU installation process until the second half of 2023.”
Mr. Ng said that LTA is working with its partners to solve the production challenges posed by the pandemic.
He assured the drivers and the automotive industry that they would give “adequate notice” before installation work.
LTA previously stated that in addition to providing information about ERP charging locations and rates, the new on-board unit will also provide other information, such as real-time road traffic updates, and the location of nearby school districts and Baiyin District.
The first unit will be installed free of charge on existing Singapore-registered vehicles.
LTA stated that it will continue to monitor the impact of the pandemic on the installation schedule. Until the new system is implemented, the existing ERP system will continue to operate.
