Recent technology advancements provide
opportunities for alleviating traffic congestion throughout
the U.S. Traffic congestion is at an all time high in
the country and urbanization, population growth, higher
employment rates, stronger economies and lower gas prices have
all resulted in more drivers on the roads. In 2014, U.S.
drivers spent an average of 50 hours stuck in traffic - an all
time high for traffic congestion in the country.
Entrepreneurs and
innovators are aiming to discover new ways of reducing traffic
congestion with the use of technology. Big data
analytics, for example, can be used to identify traffic
patterns and re-route drivers. The Internet of
Things (IoT) can be utilized to allow communication between
vehicles, prevent accidents, and even minimize downtime spent
at traffic lights. Smart phone apps can be used to
identify traffic patterns from a distance and make better
decisions and avoid traffic. Smart highways, or
active traffic management technology (ATM) can dynamically
control traffic based on real-time roadway conditions.
Innovators developing these and similar technologies are
eligible for federal and state Research & Development
(R&D) Tax Credits which are available to stimulate
innovation.
The Research &
Development Tax Credit
Enacted in 1981, the Federal Research and
Development (R&D) Tax Credit allows a credit of up to 13
percent of eligible spending for new and improved products and
processes. Qualified research must meet the following four
criteria:
New or improved products,
processes, or software
Technological in nature
Elimination of uncertainty
Process of experimentation
Eligible costs include
employee wages, cost of supplies, cost of testing, contract
research expenses, and costs associated with developing a
patent. On December 18, 2015, President Obama signed the
bill making the R&D Tax Credit permanent. Beginning
in 2016, the R&D Tax Credit can be used to offset
Alternative Minimum tax and start-up businesses can utilize
the credit against payroll taxes.
The Growing Traffic
Problem
In 2014, the time spent sitting in traffic
amounted to a total of 14.5 million hours every day, commuting
or moving goods to market. An INRIX 2015 Traffic
Scorecard analyzed and compared the state of traffic
congestion in countries and major metropolitan areas
worldwide. The U.S. had the worst congestion rating with the
average commuter spending nearly 50 hours in
traffic. New York City commuters spent an average
of 73 hours sitting behind the wheel - a 20% increase compared
to the prior year. What was previously a 45 minute
drive from Manhattan to JFK Airport on any given day is now
closer to an hour. The list below shows the average hours
wasted sitting in traffic per commuter in major cities
across the nation:
Los Angeles, CA – 81 hours
Washington, DC – 75 hours
San Francisco, CA – 75 hours
Houston, TX – 74 hours
New York, NY – 73 hours
Seattle, WA – 66 hours
Boston, MA – 64 hours
Chicago, IL – 60 hours
Atlanta, GA – 59 hours
Honolulu, HI – 49 hours
Since 1970, the U.S.
population has grown by 32%. The number of licensed
drivers has grown by 64% while the number of registered
vehicles has grown by 9%; and the vehicle miles traveled per
vehicle has grown the most – 131%. Despite increases in
all these categories, the total number of road miles has grown
by only 6% since 1970. These factors have resulted in an
unusual and all time high levels of congestion on the nation’s
roadways.
There is however a
practical solution. Most of the congestion in the U.S.
is caused by bottlenecks, traffic incidents, and poor
signaling/timing as shown in the following chart. Unlike
other inevitable factors such as bad weather, these
factors can be significantly controlled with the use of
innovative technology. Driverless cars will soon make
accidents a thing of the past; bottlenecks can be eliminated
with smart technology that re-routes drivers; and similar
intelligent technology allows communication between vehicles
to better coordinate intersection crossing and lane changing
which can also significantly reduce traffic congestion.
Intelligent
Transportation Systems
Intelligent transportation systems is used
to describe a range of different technologies interacting with
each other to provide innovative services. It includes
smart cars, smart highways, active traffic management
technology (ATM), autonomous intersection management
technology, and the use of big data to make more intelligent
traffic management decisions. Some technologies that are
being developed and experimented with throughout the industry
include:
Overhead Gantries - Display changing speed
limits and real-time traffic information for drivers in each
lane.
Variable Speed Limits - Dynamically and
automatically reduce/increase speed limit signs so drivers
are to slow down when approaching congestion,
collisions, or backups at off-ramps.
Queue Warning - Alerts drivers of backups and
directs drivers passing through to use alternate lanes.
Junction Control - Changeable traffic signs,
electronic pavement markings, and lane to direct drivers to
specific lanes based on varying traffic demand.
Dynamic Rerouting - Overhead signs, lights, and
changing lane markings to alert drivers that they need to
change their route based on current traffic conditions.
Travel Time Signs - Display estimated travel
times other traffic conditions so drivers can make on-the-road
route decisions.
Many state and local
governments and even the federal government are relying on
Intelligent Transportation Systems to reduce traffic
congestion in the U.S. In Woodbridge NJ, state officials
integrated a 22 foot-high mounted screen at their control
center to make real-time decisions and alerts about traffic
conditions. The screens are linked to supercomputers
which collect data from millions of cell phones and GPS
signals. Those devices relay information about vehicle
speed, weather conditions, and other identifiable
patterns. For example, if vehicles are repeatedly
slowing down around a certain area, a service truck can be
sent out to identify and solve the problem. It may be a
piece of debris in the road or a large pothole in the
road.
New York City plans to
retrofit thousands of government vehicles with smart
technology in order to reduce traffic accidents, automobile
pollution, and congestion. The federally funded initiative
involves integrating trucks, buses, and taxis with intelligent
devices the size of a smartphone to alert drivers to potential
collisions ahead, traffic jams, and other hazards such as
crossing pedestrians or large potholes.
Meanwhile, the federal
government is developing regulations requiring new vehicles to
have technology that has the ability to communicate with other
cars and roadside infrastructure. So far, United Parcel
Service Inc., the Metropolitan Transportation Authority and
trucking associations will take part in the program, according
to city officials.
Cities embracing the
developing Federal regulations and investing in intelligent
transportation systems should see a substantial return on
their investment in reduced transport network and
infrastructure costs, as well as in enhanced business
and economic growth. Reducing traffic congestion by 25%
across the country would result in $185 billion in economic
savings according to analysts at IBM. Those savings are
also estimated to increase national retail sales by 6%.
Smart Cities
Some of the most capable companies in the
world are currently working to reduce traffic congestion and
make smart cities a reality. Alphabet Inc., Google’s
parent company, is currently recruiting people to close the
gap between traditional urban policy and the latest
technology. The Sidewalk Labs start-up team members
include Craig Nevill-Manning, founder of Google’s NYC-based
engineering group and Anand Babu, a cities and transportation
expert at Google. The idea is to integrate technology
such as the Internet of Things, advanced computing power, and
new design and fabrication technologies in order to make
smarter use of existing infrastructure.
Sidewalk Labs will
utilize the arsenal of fast-developing technologies, includes
sensors, smart phones, and the resulting explosion of digital
data combined with software to help alleviate the traffic
challenges.
IBM has a similar vision
as the company expects the number of vehicles on the world’s
roads to double to around 2.5 billion by 2050 however, they
envision less traffic. How? By using data from sensors in
roads and vehicles, predictive analytics, and social media to
reduce traffic congestion. The company is working with
cities such as the Dutch City of Eindhoven to pilot a traffic
management solution that collect and merge braking,
acceleration, and location data from in-vehicle sensors with
traffic data gathered.
IBM is helping
Volkswagen advance this concept in Wolfsburg, Germany, as well
where geospatial data generated by vehicles helps the town see
traffic density and patterns in real time. VW’s connected car
also offers personalized guidance to drivers, such as ideal
departure time and the best route to avoid traffic jams.
Internet of Things
(IoT)
The IoT network of devices embedded with
electronics, sensors, and network connectivity enables these
objects to collect and exchange data with each other.
The most practical application of this technology may be on
the highways where vehicles will soon collaborate with road
signs, traffic lights, and other vehicles. Other applications
in the transportation industry involve monitoring drivers’
speed, detecting potential vehicle failures, controlling
carbon emissions, and providing internet access for
passengers. Realizing the potential of the technology,
the government is exploring the idea of possible widespread
integration of the IoT in the public transport sector.
The federal government
is in the process of developing regulations requiring that
cars have technology to communicate with other cars and
roadside infrastructure. The Department of
Transportation is in the process of developing what it calls
connected-vehicle technology. Though still in its infant
stages, the wireless technology will soon allow drivers
to receive real-time traffic warnings that could prevent
accidents, avoid property damage and save lives. For
example, the technology already has the ability to warn
drivers that a car 200 yards ahead is braking or that road
work is being done ahead.
In addition, Portland
local government installed a one-of-a-kind active warning
system requiring drivers at busy intersections to look over
their shoulders and yield to passing bicyclists. If a
bicycle is nearby, a flashing sign lights up warning the
driver that a bike is approaching. As bikes become more
common, one growing hazard is cars colliding with cyclists.
Big Data
Analytics
While some industries have used big data
methods for years, gadgets like mobile phones and the growing
power of computers to store and analyze data quickly and
easily has made it more practical in the traffic monitoring
industry. Start-ups like Birds Eye Systems and
tech giants like Google and Uber Technologies Inc are
also using big data to reduce traffic congestion.
Using cloud technology
and analytics, these companies disseminate data from thousands
of sensors, vehicles, smart devices and surveillance
cameras. “For sensing traffic flow, it's not just
Bluetooth or Wi-Fi; it's also cellular-based data,” says Tony
Voigt, a research engineer at Texas A&M's Transportation
Institute. The city of Houston has been using Bluetooth
signals for nearly five years to aggregate data and compute
average travel times.
Recent technologies have
significantly assisted traffic coordinators in their routine
decision making processes. Ralf-Peter Schäfer, Vice President
of TomTom’s Traffic and Travel Information Product Unit
states, “With the emergence of connected GPS systems,
smartphones, and smart cars, we suddenly have millions of
connected users on the road, which has allowed us to gather
huge amounts of real-time floating vehicle data based on real
trips.”
The information gathered
from big data analytics can be used in a number of ways,
including planning trips, re-routing for commuters, helping
transportation companies arrive at their destinations faster
and using less fuel, and increasing roadway safety.
Smart Phone Apps
Traffic management technologies are also
useful for drivers with the development of mobile apps.
Veer Parking’s app provides a list of nearby parking
options sorted by price. The app guides users to their
chosen destinations and shows them a picture of the parking
area. Users can also use it to find their parking spot
in case they forget where they parked.
Some apps even connect
users with the owners of privately held parking spots,
allowing owners to rent their parking spots by the hour or
even on a daily or monthly basis. This is part of the
new consumer to consumer economy that is emerging in many
industries.
Tolling Technologies
Technology is at the heart of
everything tolling agencies do. Payments, collections,
traffic management, customer service, and enforcement all
involve constantly evolving technologies. The goal of
most of these new integrations is to relieve congestion at the
toll booths without the addition of new highways, lanes and
pavements. E-ZPass technology was an exceptional
breakthrough at the time and since then new vehicle
identification technologies have continued to evolve and
improve. Some ideas on the horizon involve the use of
social media to deliver tolling messages, charging per mile,
connection of infrastructure with vehicles and smart toll
lanes that can open and close based on traffic patterns.
Highway Maintenance
Emerging technologies have the potential to
change the way highways are monitored for maintenance and
repaired. The nation’s road system is vital to the U.S.
economy. Valued at close to $3 trillion, according to the
Bureau of Economic Analysis of the U.S. Department of
Commerce, 75% of goods are transported on roads by truck, 93%
of workers commute on roads by private automobiles and public
buses, and by far the largest share of non-work and pleasure
trips are taken by road.
Data from the Federal
Highway Administration’s annual publication, Highway
Statistics, indicates that although the condition of the
nation’s highways and bridges varies with general economic
conditions, as much as one third of the nation’s highways may
be in poor or mediocre condition, and one-quarter of the
nation’ s bridges may be functionally obsolete or structurally
deficient.
University of Michigan
The University of Michigan has a special
research program dedicated solely to traffic management
technologies. Typical research projects at the center
include innovative traffic safety devices, human-machine
interactions related to motor vehicles and driver interaction,
and SMART cities projects. Researchers at UMTRI also
maintain the Eco-Driving Index (EDI), a national index that
estimates the average monthly amount of greenhouse gases
produced by individual drivers.
University of Texas at
Austin
The University of Texas at Austin also has
a traffic management research center where researchers focus
on a range of technologies including autonomous intersection
management. At modern-day intersections, traffic lights
and stop signs assist human drivers in conducting their
vehicles safely through the cross traffic. Much of the
time we spend on the roads is actually at stop lights and
intersections. With autonomous intersection management
technology however the need to ever stop at a traffic light
could potentially be eliminated. Researchers believe that
vehicles properly communicating with each other could
precisely time the way they approach intersections so that all
vehicles pass through seamlessly and smoothly without
stopping.
Virginia Tech
Virginia Tech’s Center for Advanced
Automotive Research (CAAR) focuses on the research,
development, and evaluation of next generation automotive
systems. The primary research areas of CAAR include
crash warning/avoidance/mitigation, connected vehicles,
driver-vehicle interfaces, crash causation, and vehicle
automation. CAAR comprises two research groups: the Advanced
Product Test and Evaluation (APTE) group and the Connected
& Advanced Vehicle Systems (CAVS) group. These groups work
cooperatively with their industry and governmental partners to
solve complex transportation problems through technology
advancement.
Conclusion
Traffic congestion on U.S. roads and
highways is at an all time high. Meanwhile, existing
infrastructure is rapidly deteriorating. To avoid costly
infrastructure expansions innovators are working towards a
better solution to the traffic challenge. That solution
involves investments in technology to make more efficient use
of existing infrastructure. Those developing technology
such as this are eligible for federal and state R&D Tax
Credits.
