Photo Credit: Kristain Baty
Autonomous Shared Ride Vehicle, August 8, 2017.

Following the Government’s decision to promote a national plan for smart transportation, the Ministry of Transport, the National Public Transport Authority, the Israel Innovation Authority, and Ayalon Highways today announced the launch of a NIS 20 million ($6 million) national initiative to conduct autonomous public transportation pilots in Israel.

The two-phase initiative is aimed at examining the feasibility of integrating autonomous vehicles in the public transportation system in Israel, and includes an examination of various operational models, looking at economic and operational efficiency. Accordingly, the initiative will connect public transportation operators with innovative technology companies in Israel and around the world, and work to increase public awareness of autonomous vehicles and the issues surrounding their development, such as safety, driving experience, and environmental benefits.

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In the first phase of the pilot, the Israel Innovation Authority will issue a call for proposals for technologies for autonomous buses. The companies accepted will receive a grant, and be required to perform a series of pilots looking at operational technological feasibility.

In the second phase, companies that successfully completed the first phase and met all necessary regulatory approvals will receive a license to operate independent public transport services on public roads from the National Public Transport Authority – including passenger transport. This means that within two years, Israelis will be able to board autonomously operated bus lines and enjoy the use of this groundbreaking technology.

The initiative will also allow for the mapping of the infrastructure needed to operate an autonomous public transportation system, and support and test the business plan of public transportation operators, with the intention that within a year or two, companies successfully completing the pilot will be given the opportunity to commercially operate public transportation services in Israel.

In the past few years, Israel has been a leading country in the field of smart transportation, with over 600 Israeli relevant startups and over 20 development centers for car manufacturers and their suppliers. Simultaneously, in March 2022, an amendment to the country’s Traffic Ordinance was approved that would allow more advanced pilots to be conducted, including the commercial operation of an autonomous vehicle without a driver.

Additionally, Israel is interested in integrating the existing technologies on the market into the public transportation system in Israel, with the understanding that in the future, transportation in Israel will be based on efficient and smart public transportation. Harnessing Israeli technological innovation in the field of autonomous vehicles to improve Israel’s public transportation system will greatly contribute to Israel becoming a leading country in the development of autonomous public transportation.


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