Installation of new on-board units for next-generation ERP system delayed until mid-2023

The installation of the new on-board units (OBUs) for the next generation ERP system will be delayed until mid-2023 due to a global chip shortage.

Originally slated for an end-2021 release date, the chip shortage, which will be expected to end around mid-2023, has delayed the installation of the all-new on-board units (OBUs) into Singapore cars. 

LTA had planned to replace the existing in-vehicle units with the OBUs last year. Eventually, it was pushed to the end of this year citing Covid-19 complications.

COVID-19 has also hampered LTA, as well as its partner companies, for this project's ability to source for the OBU parts due to the suppliers being unable to meet the expected delivery date. 

However, once delivered, we can expect the installation process to take approximately 18 months, due to the sheer amount of vehicles in Singapore. This means that the new ERP system would likely be rolled out by 2025. 

LTA, as well as its partner companies for this project, cited this move was for a smoother installation process.

Minimal impact on current ERP system 

The LTA also announced that even with the delay, the current ERP system will be operational until the next-generation system is operational. 

Regarding when exactly the installation process will take place, LTA's CEO Mr Ng Lang mentioned that ample notice will be given to motorists as well as the vehicle industry ahead of the exercise.

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The first OBU will be installed free of charge for existing Singaporean vehicles and will monitor the timeline and make changes according to the impact of Covid-19.

More about the system

On top of having more features than the current version, the new ERP system would provide information on ERP charging locations as well as their rates. 

The OBU will also provide real-time road traffic updates in addition to Silver Zone and School Zone locations, says LTA. 

These updates will come in lieu of the current 23-year-old system reaching the end of its operational life. 

This article was first published in Motorist.