Financing local public transport: costs and benefits evaluation
economics - appraisal/evaluation, economics - benefits
Currently, an increasing consensus is endorsing the introduction of competition in public transport (PT), through public service contracts. At the same time, whilst in some countries subsidies (or financial compensation) are a well-established practice, in others they are considered unmotivated. In this paper a framework is proposed to estimates and evaluate transit costs, benefits, and impacts to support transport planning and policy making as well as operator management. The proposed methodology aims at computing the (total operating) cost and the revenue resulting from the fares and the features of each option, thus allowing public transport service plan appraisal. In particular, the subsidies, or financial compensation, are given a clear socio-economic meaning
Cantarella, G., & de Luca, S., & Di Gangi, M. (2005). Financing local public transport: costs and benefits evaluation. Paper from The Association for European Transport Conference held in Strasbourg, France on 3-5 October 2005.