A SYSTEM FOR ALLOCATING SUBSIDIES TO URBAN PUBLIC TRANSPORT IN THE NETHERLANDS

Since the mid-sixties, urban public transport in the Netherlands has been suffering from severe losses which, if measured as percentage of the operating costs, are among the highest in Europe. The Ministry of Transport has tried to keep a check on subsidy budgets for urban public transport by requiring all changes in operations to be submitted to its approval but this arrangement proved unsatisfactory because it called for too many details and interfered too much with local responsibilities. Now, the ministry and the local authorities are considering various allocation systems by which to quantify the appropriate level of service for each municipality and on that base calculated the deficits to be incurred, leaving to local operators the responsibility for routeing and frequencies. The objectives and methodological issues were dealt with in the first phase of the study, reported on last year's summer annual meeting. In the present paper one of the selected "families of systems" the marginal benefit cost method, is elaborated. The system allocates part of the national subsidy budget in such a way that the benefit cost ratios of charges on the level of service tend towards the same value in all municipalities. Changes in the level of service are represented by changes in average frequencies and benefits are found in generalised time effects. The system is subject to a number of constraints, ensuring continuity and equitability between municipalities. (Author/TRRL)

Media Info

  • Features: Figures; References;
  • Pagination: p. 19-29

Subject/Index Terms

Filing Info

  • Accession Number: 00381608
  • Record Type: Publication
  • Source Agency: Transport Research Laboratory
  • ISBN: 0-86050-111-6
  • Files: ITRD, TRIS
  • Created Date: Mar 30 1984 12:00AM