THE FINANCING OF CAPITAL AND REVENUE COSTS OF PUBLIC TRANSPORT UNDERTAKINGS

A PICTURE IS PRESENTED OF CURRENT PRACTICE AND THE CASE FOR PUBLIC FINANCIAL SUPPORT FOR A PUBLIC TRANSPORT UNDERTAKING IS EXAMINED IN THE LIGHT OF THESE PRACTICES. THE PURPOSE OF VARIOUS TYPES OF COMMUNITY PURCHASE OF PUBLIC TRANSPORT SERVICE, WITH SOME REFERENCE TO THE USE OF SOCIAL COST/BENEFIT ANALYSIS TO JUSTIFY FINANCIAL GRANTS IS CONSIDERED. AFTER LOOKING AT POSSIBLE EFFECTS ON MANAGEMENT PERFORMANCE, AN ATTEMPT IS MADE TO EXAMINE THE RESOURCE ALLOCATION PROBLEMS IN AN UNDERTAKING THAT DOES NOT HAVE PROFIT AS ITS PRIMARY MOTIVATION. THE EXTENT OF FINANCIAL VIABILITY; THE TYPES AND EXTENT OF FINANCIAL SUPPORT FROM THE PUBLIC SECTOR; FINANCING OF EXTENSIONS TO THE TRANSPORTATION SYSTEM; THE NET BALANCE OF PAYMENTS TO AND FROM THE PUBLIC SECTOR; THE EXTENT OF COST-BENEFIT OR OTHER QUANTIFICATION; AND THE DEGREE OF CROSS-SUBSIDIZATION, ALL RECEIVE CONSIDERATION IN THE DISCUSSION OF THE EXISTING SITUATION. THE ARGUMENT FOR WHOLE COMMUNITY SUPPORT FOR PUBLIC TRANSPORTATION IS PRESENTED. THE OBSERVATION IS MADE THAT WHEN THERE IS AN INFLOW OF FINANCIAL SUPPORT FROM ANY EXTERNAL AUTHORITY, THE MANAGEMENT MUST EXPECT SOME DEGREE OF INTERFERENCE WITH THE RUNNING OF ITS AFFAIRS. THE REPORT ALSO EXAMINES THE NEED AND PLACE FOR A STANDARD CODE OF PRACTICE IN REGARD TO THE FINANCING OF PUBLIC TRANSPORT UNDERTAKINGS.

  • Corporate Authors:

    International Association of Public Transport (UITP)

    40th International Congress, Hague
    ,   Belgium 
  • Authors:
    • Ellen, E R
    • Phillips, I
  • Publication Date: 1973

Media Info

  • Features: Figures; Tables;
  • Pagination: p. 3-26
  • Serial:
    • Issue Number: 58

Subject/Index Terms

Filing Info

  • Accession Number: 00201082
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Aug 31 1982 12:00AM