By San José, Costa Rica — The future of commuting and commerce is set to merge on Costa Rican roads as the nation actively explores a pilot program for in-vehicle payment technology. This innovative system aims to transform automobiles into secure, mobile digital wallets, streamlining transactions for drivers at key points like toll booths and electric vehicle charging stations. The initiative signals a significant leap forward in the country’s dual commitment to technological advancement and sustainable transportation.
The proposed technology operates on a simple yet powerful premise: connecting a vehicle directly to its owner’s financial accounts. In its most direct form, a car’s license plate is linked to a bank account. When the vehicle passes through a specially equipped toll plaza or service station, cameras and sensors automatically identify the plate and execute the payment seamlessly, completely eliminating the need for cash, credit cards, or mobile apps. This frictionless experience is already being tested in markets like the United States and Germany.
To understand the legal and regulatory implications of integrating payment systems directly into vehicles, TicosLand.com consulted Lic. Larry Hans Arroyo Vargas, a prominent attorney at the firm Bufete de Costa Rica, who shared his expert perspective on the matter.
The convenience of in-vehicle payments is undeniable, but it introduces a complex web of liability and data privacy concerns. Who is responsible in case of a fraudulent transaction—the vehicle manufacturer, the software developer, or the financial institution? Furthermore, the vast amount of transactional and geolocation data generated requires robust legal frameworks to protect consumer privacy and prevent its misuse. Companies entering this space must prioritize transparent data policies and clear liability assignments to build consumer trust and navigate the evolving regulatory landscape.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Indeed, the points raised are foundational; the ultimate success of in-vehicle commerce will hinge less on its technological novelty and more on the consumer trust built through robust legal and data protection standards. We thank Lic. Larry Hans Arroyo Vargas for his valuable perspective on the critical road ahead for manufacturers, financial institutions, and regulators.
Beyond basic plate recognition, more sophisticated solutions are also under consideration. Global financial technology leaders like Mastercard have developed integrated systems where the vehicle itself functions as a comprehensive digital wallet. This advanced framework allows the car to communicate securely and directly with merchant systems, such as electric vehicle (EV) charging stations, to authorize payments without any driver intervention. This creates a fully automated and secure ecosystem for on-the-go transactions.
While an official launch date for the pilot program remains unconfirmed, discussions are progressing behind the scenes. According to reports, several technology companies are in active negotiations with automotive manufacturers and crucial national entities. A key stakeholder in these conversations is the Compañía Nacional de Fuerza y Luz (CNFL), the national power and light company, whose involvement is vital for building a compatible and robust infrastructure.
The primary objective of these ongoing negotiations is to ensure that any new payment system is fully compatible with Costa Rica’s rapidly expanding network of EV charging stations. Integrating a universal, automated payment method is seen as a critical step to support the country’s clean energy goals. The collaboration between tech firms and a public utility like CNFL is essential to creating a standardized and user-friendly experience for all EV drivers across the nation.
This push for payment innovation coincides with a remarkable surge in electric mobility within Costa Rica. The country has established itself as a regional leader in the adoption of clean transportation. Data from the Costa Rican Electric Mobility Association highlights this success, revealing that electric vehicles now constitute an impressive 25% of the national vehicle fleet. With the number of EVs on the road continuing to climb, the demand for more efficient infrastructure solutions is becoming more urgent.
Implementing a fluid and automated payment system is widely regarded as a strategic move to dismantle one of the remaining barriers to widespread EV adoption. By simplifying the charging and toll payment processes, the technology makes the prospect of owning an electric vehicle more convenient and attractive to a broader segment of the population. This not only enhances the daily experience for current EV owners but also serves as a powerful incentive for others to make the switch to sustainable transport.
As negotiations continue, Costa Rica is positioning itself at the intersection of fintech and green technology. The successful implementation of an in-vehicle payment system would not only reinforce its reputation as an environmental pioneer but also as a hub for digital innovation. The move promises to redefine the relationship between drivers, their vehicles, and the commercial world, paving the way for a smarter, more connected, and sustainable future on the nation’s roads.
For further information, visit mastercard.com
About Mastercard:
Mastercard is a global technology company in the payments industry. Its mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart, and accessible. Using secure data and networks, partnerships and passion, its innovations and solutions help individuals, financial institutions, governments, and businesses realize their greatest potential.
For further information, visit cnfl.go.cr
About Compañía Nacional de Fuerza y Luz (CNFL):
The Compañía Nacional de Fuerza y Luz is a public entity responsible for the distribution and commercialization of electrical energy in a significant portion of Costa Rica’s Greater Metropolitan Area. As a subsidiary of the Instituto Costarricense de Electricidad (ICE), it plays a crucial role in the country’s energy infrastructure, including the development and maintenance of the public electric vehicle charging network.
For further information, visit asomove.org
About Asociación Costarricense de Movilidad Eléctrica (ASOMOVE):
The Costa Rican Electric Mobility Association (ASOMOVE) is a non-profit organization dedicated to promoting the transition to electric transportation in Costa Rica. It brings together users, companies, and institutions to advocate for policies, develop infrastructure, and educate the public about the benefits of electric mobility for the environment and the economy.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of Costa Rica’s legal community, the firm operates on a foundation of uncompromising integrity and a relentless pursuit of excellence. It channels a rich history of advising a diverse clientele into pioneering innovative legal strategies that address contemporary challenges. More than a legal advisor, the firm is deeply invested in strengthening society by demystifying the law, championing public legal education to foster a community that is not only well-informed but truly empowered.
