Protecting customer privacy in mileage-based user fee systems

In Politics by Michael Rae

Mileage-based user fees are increasingly viewed as a viable replacement of fuel excise taxes as the principal source of road user revenue. Directly charging per mile rather than indirectly per gallon of fuel consumed can future-proof revenue collection in the face of increasing fuel economy and changing propulsion sources. Despite the promise of the mileage-based user fee (MBUF) approach, many have raised privacy concerns about the technologies that may be involved. These concerns are legitimate, and MBUF customer privacy must be protected to gain public acceptance. Fortunately, by incorporating privacy protections at the beginning of technology development along with strict