The Cross-Israel Highway was built in stages, beginning in 1993. It is Israel’s first and only toll road, and its users are billed at home. Cross Israel Highway users who don't pay their road fees on time are charged with compensation and reimbursement expenses (CnRE) amounting to the proportion of the actual operation costs incurred by the concessionaire/operator for enforcing this payment. The purpose of this study was to measure the combined costs of enforcement faced by the concessionaire/operator and the implementing authority, the Cross Israel Highway Ltd, and to update the extent of the CnRE accordingly.
We had to meet the challenge of conducting a thorough study of the concessionaire's cost structure and enforcement costs based on the statutory law and regulations while relying mainly on information provided by the concessionaire, who is an interested party. The results of this study had substantial financial implications for the concessionaire, which entailed dealing with powerful economic interests on the concessionaire’s behalf.