An automated fare collection (AFC) system is the collection of components that

automate the ticketing system of a public transportation network - an automated version

of manual fare collection. An AFC system is usually the basis for integrated ticketing.

System description
AFC systems often consist of the following components[citation needed] (the "tier"
terminology is common, but not universal):

 Tier 0 - Fare media

 Tier 1 - Devices to read/write media
 Tier 2 - Depot/station computers
 Tier 3 - Back office systems
 Tier 4 - Central clearing house
In addition to processing electronic fare media, many AFC systems have equipment on
vehicles and stations that accepts cash payment in some form.
Fare media
AFC systems originated with tokens or paper tickets dispensed by staff or from self-
service vending machines. These have generally been replaced with magnetic stripe
cards.
Since their introduction in 1997 with the Octopus card in Hong Kong, contactless smart
cards have become the standard fare media in AFC systems, though many systems
support multiple media types.
More recently, contactless smart cards from bank networks have been seen more
frequently in AFC.
Devices to read/write media
These take numerous forms, including:

 Ticket office terminals - where a media holder can purchase a right to travel from
staff in an office, or enquire as to the value and travel rights associated with the
media

General ticketing machines at the Expo Station in Singapore, where commuters can
add value to their EZ-Link card or purchase a single trip ticket.
 Ticket vending machines - where a media holder can purchase a right to travel from
a self-service machine, or enquire as to the value and travel rights associated with
the media
 Fare gate - often used in a train station so a media holder can gain access to a paid
area where travel services are provided
 Stand-alone validator - used to confirm that the media holds an appropriate travel
right, and to write the usage of the media onto the media for later verification (e.g. by
a conductor/inspector). Often used in proof-of-payment systems.
 On-vehicle validator - used by a media holder to confirm travel rights and board a
vehicle (e.g. bus, tram, train)
 Inspector/conductor device - used by staff such as a conductor to verify travel rights
Unattended devices are often called "validators", a term which originated with devices
that would stamp a date/time onto paper tickets to provide proof of valid payment for a
conductor.
Depot/station computers
Used to concentrate data communications with devices in a station or bus depot.
Common in older AFC systems where communication lines to upper tiers were slow or
unreliable.

Servers and software to provide management and oversight of the AFC system. Usually
includes:

 Fare management - changing of fares and fare products

 Media management - support for blacklisting of lost/stolen media
 Reporting - periodic reports on performance of the AFC system, financial details and
passenger movements
Clearing house (Central Management System)
In environments where multiple system operators share common, interoperable media,
a central system similar to those used in stock exchanges can be used to provide
financial management and other services to the operators such as:

 Clearing and settling of funds

 Common reporting
 Apportionment of revenue between operators

Solution:
There are multiple components for an AFC system , and we develop all of our
technologies in-house. Our system enables users to pay for goods and services city-
wide, using contactless technology. Not only does this lessen risks and costs
associated with handling cash, it also gives merchants a platform for better record
management and leaner, meaner operations.
An AFC system generally lends transparency and efficiency to transactions.
Implementing Agency

Department of Transportation (DOTr)

Project Description

The project involved the decommissioning of the oldmagnetic-based ticketing system and
replacing the same with contactless-based smart card technology called the Beep Card ™ on
LRT Line 1 and 2 and MRT Line 3, with the introduction of a centralized back office that will
perform apportionment of revenues. The private sector operates and maintains the fare
collection system.

Project Cost/budget

PHP 1.72 Billion

Procurement Mode

Solicited Mode

PPP Structure

Build-Transfer-And-Operate (BTO) and Build-Own-And-Operate (BOO)

Cooperation Period

10 years inclusive of 2 years development/delivery

Region

 NCR REGION - NATIONAL CAPITAL REGION

Sector

Transportation,Rail

Private Proponent

AF Payments, Inc. (consortium of Ayala and Metro Pacific Groups)

Status

Operational since December 16, 2015.

Reaction/ Critique:
Faster transactions. More affordable operations. More efficient collection. Our transport
solution, TapToPay, makes these possible through an automatic fare collection (AFC)
system that can cover bus, rail, ferry, road toll, parking, fastfood establishments and
convenience stores.
An AFC system can increase convenience in a city and improve its image. It can
broaden customer bases for transport systems and establishments, because end users
would naturally gravitate towards solutions that make their lives easier. All in all, an AFC
system makes a city a better place to be.

References:

https://www.gov.ph/project-list

https://en.wikipedia.org/wiki/Automated_fare_collection

Bautista, Roy Mitz V A.

Santillan, Noreen Mae T.

Yboa, Precious Ann A.