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What does telematics really cost? Separate TMA from the rest of the bill

Gavin Hill’s price benchmark applies to straight TMA. It does not price a complete hydraulic Smart OBM installation.

The short answer

Compare the core TMA subscription separately from weighing equipment, fitment, tax and optional services. Gavin Hill’s interview benchmark is not a supplier quote.

An operator comparing the cost of compulsory monitoring can be looking at several different bills disguised as one number.

There is the vehicle-monitoring subscription. There may also be weighing hardware, installation and integration. A provider may bundle additional fleet services into the same monthly charge.

In his interview with WWTG, Gavin Hill, Austroads/TCA General Manager Strategic Engagement and Performance, said an informed customer should be able to obtain straight TMA for less than about $200 per vehicle a month, depending on the service being purchased.

Hill’s September interview provides a benchmark for the TMA service. It does not set a retail tariff or establish the price of weighing hardware, installation or a complete Smart OBM system.

Ask what the number includes

Hill said providers compete on price, product and service. Some offer a basic regulatory service; others include more extensive support or optional features.

Those extras may be useful. The problem arises when the whole package is described as the cost of TMA without explaining what the operator is actually buying.

Using $200 a month as an illustrative budgeting point gives $2,400 a year for one vehicle's subscription. At that same assumed rate, 16 vehicles would produce $38,400 a year. Those are simple calculations, not evidence of a quote or a complete fitment cost.

Neither calculation includes a hydraulic weighing system, any upfront charges, GST treatment or services outside the assumed subscription.

An assessment is not a retail price list

A government cost-benefit assessment and a supplier quotation answer different questions. An assessment uses assumptions to estimate costs and benefits across a proposed arrangement. A quote identifies the price and terms offered for a particular customer, vehicle and service.

That is an argument for testing the assumptions with comparable quotes. It does not establish that a published government estimate is wrong, or that an operator can buy an entire compliant system for the straight-TMA benchmark.

Compare the service behind the price

The cheapest offer also needs a service question attached: who responds when the monitoring system fails, and how quickly can the operator get a problem resolved?

Hill said an operator's preference for more direct or rapid support can affect the price. A fair comparison therefore needs the same required service, equipment, contract period and support expectations on each side.

The reporting task is to turn a broad estimate into an itemised, comparable operator bill. Until those quotes exist, the TMA benchmark and the hydraulic Smart OBM cost should remain separate.

Primary sources