Delivering Certainty in Electronic Vehicle Registration

Governments turn to Electronic Vehicle Registration (EVR) to increase overall security and improve vehicle registration rates. 

By Andrew Strauch

In EVR, naturally, RFID tags are the main component, but as the saying goes, a chain is only as strong as its weakest link. When it comes to RFID technology, the physical security link is broken.

Millions of unregistered vehicles cost the U.S. and other national government entities substantial revenue dollars due to non-compliance and inadequate enforcement policies. According to the U.S. Department of Transportation, it's estimated that at least 5% of vehicles are unregistered, costing the government $750 million in fees each year. EVR is a highly compelling RFID business application that combats lost registration revenue and fraud while reducing enforcement operating costs.

Preventing theft and fraud with EVR

EVR dramatically enhances registration enforcement through the use of RFID. The EVR tags, typically adhered to vehicle windshields, are monitored as vehicles pass under readers at normal driving speeds. Readers can be placed at tollgates, underpasses, and other convenient locations to automate the monitoring and enforcement of registration compliance. Additionally, law enforcement personnel may be equipped with handheld readers to interrogate tags while documenting traffic violations and other traffic stop encounters. But what prevents people from removing tags altogether or placing them on other vehicles?

Essentially, there are two types of EVR systems: standard systems with a simple RFID label attached, and secure systems that incorporate tamper-evident technology. The main difference between the two systems is that a secure system will be able to signal, both visually and electronically, that someone has tampered with the tag. If a tag is removed, the tag's RFID functionality is impaired and visible indicators show that the tag has been altered. Therefore, any vehicle passing an automated checkpoint can be automatically located and flagged as non-compliant.

Tamper-evident technology is imperative in EVR applications to safeguard against RFID tag theft and fraud. Without evidence of tampering, the removal of the RFID tag would have few consequences. Standard systems are not appropriate for preventing fraud because the tags can be removed and replaced elsewhere. A vehicle owner could share the tag between multiple vehicles to avoid paying registration fees. In a situation like this, the EVR system would fail to prevent fraud, and possibly even increase the rate of unregistered vehicles.

Automating EVR and minimizing police intervention

Vehicle registration and licensing is required in nearly every jurisdiction worldwide; however, compliance varies greatly due to low enforcement. It is not important enough for a police officer to enforce registration regulations alone, but it may be a vital concern at a traffic stop.

Standard RFID systems require more human intervention than secure systems, meaning more time lost and higher error rates. A police officer would have to manually verify that the tag matches the vehicle to which it is registered. This greatly reduces efficiency and increases time spent dealing with any traffic violation. Secure tags eliminate this need, allowing for the automation of the entire process.

It is not an efficient use of resources to designate police officers to focus exclusively on registration violations. Individual fees and fines are too low to make enforcement worthwhile financially. Not to mention that allocating personnel to this cause produces a large opportunity cost: police officers are spending more time performing regulatory duties instead of focusing on higher priority activities.

The challenge is to efficiently reduce non-compliance without significantly impacting the use of law enforcement resources, as well as avoiding any negative impact on those who use the technology. EVR systems can meet that challenge if adequate automation programs are put in place, significantly reducing the amount of time police officers need to perform this function.

The MIKOH solution

Identifying and controlling vehicles improves safety and creates revenue opportunities. In order to maintain the validity of EVR systems, mapping the EVR tag to its appropriate vehicle, physical security cannot be compromised.

Tamper-evident technology, such as the Smart&Secure technology provided by MIKOH, disables an EVR RFID tag if tampering occurs. Physically compromising or removing a Smart &Secure tag damages the tag's antenna preventing RFID readers from reading the tag. This inhibits tags from being stolen, removed, and reapplied to vehicles not matching the original registration information.

EVR in action

MIKOH recently supplied their Smart&Secure EVI (Electronic Vehicle Identification) tags to the Bermudian islands, where there are roughly 47,000 vehicles. At the time, the Bermudian Transport Control Department estimated about 8% of the vehicle population was unlicensed, and they desperately needed to address the situation and make up lost revenue.

Bermuda opted for RFID technology because it fit well into plans to streamline current licensing initiatives. Their plans involved a new license renewal system that allowed for speedy vehicle registration online. RFID tags worked well in this plan because they can be updated remotely without having to visit a registration office. MIKOH's Smart&Secure technology provides certainty for physical security to ensure the EVI tags are not stolen or counterfeited.

The Bermuda EVI initiative has greatly sped up and simplified the entire registration and renewal process. Bermuda is currently equipped with six reader sites in four major checkpoint locations around the country. It is estimated that the government will recoup its initial financial investment within one year of deployment, with a total payback of $11 million over the next five years.

The final point

The technology used in standard and secure RFID systems is very comparable. The basic difference lies in the fact that secure systems are backed by tamper-evident technology and standard systems are not. RFID technology has great potential in the field of EVR, but without RFID physical security, the only things protecting your assets are good intentions.

Andrew Strauch is the Vice President of Product Marketing and Management at MIKOH Corporation, a company focused on ensuring the physical security of RFID tags. For more information, visit www.mikoh.com.