Postby Krystal Car Part Imports » October 24th, 2012, 11:08 pm
This is a follow on from my post on optional de-registration and tax breaks as a means to reduce the increase in new cars on our roads. The proposal below outlines a path for an improved public transport system. Please read, and i look forward to your comments.
Thanks
K.A
I would also like to propose, that your Ministry can facilitate an expansion of the public transportation infrastructure that involves little capital expenditure on the part of the Government. I propose concessions be granted to private bus operators. The Public Transport Service Corporation has the largest fleet of omnibuses in the country. Three (3) small operators with a minimum seating capacity of five hundred (500) significantly add to the efficiency of the bus network without disadvantaging the revenues of the state corporation.
A deregulated omnibus public transportation system can work as follows:
a. PTSC can negotiate with prospective concessionaires for route packages; that is a combination of routes taking into consideration fleet size and departure times that will contain both peak and non peak times, urban and rural routes,(including the use of the Priority Bus Route) that will give the concessionaire a good return on investment and serve the public interest. Concessionaires are not allowed to deviate from their agreed routes or times unless a rival is unable to complete a trip and clearance is given. (in other words, a route package will contain high traffic main routes like Port-of Spain to Chaguanas and Arima, and low traffic, such as Munroe Road, Cumuto etc. at both peak and non peak times)
b. A new universal ticketing system is established for use by both PTSC and private operators printed and developed directly by the Ministry of Transport. Ticket prices are also determined by the Ministry of Transport and possibly the regulated industries commission which may work out in the best interest of the state operator PTSC. Both PTSC and the private operators will be paid by the Ministry of Transportation based on tickets collected at the end of each trading period.
c. PTSC will continue to serve secondary and primary school students and passengers above 60 whose transport is paid for by the Government.
d. Passengers will board and alight concessionaires’ omnibuses at established bus stops and terminals. PTSC and concessionaires can negotiate arrangements for daytime parking and facilities for operations and driver’s rest.
An omnibus concession is also an excellent way for the Ministry of Transportation to collect yearly license fee. This can be used to further improve terminals and other facilities necessary for public transportation.
The first concessionaires should come ideally from the existing maxi taxi associations, as a shareholding or a cooperative. In this way, maxi taxi owners are not disadvantaged, but invited to participate in the new public transportation system.
Omnibuses are a safe and comfortable proposition in public transportation. Benefits in implementing this proposal include:
- Cost efficiency: An effective network of buses at the cost of private operators is more economical and effective than a fixed rail service sponsored by the State.
- Price stability: Universal ticket pricing means that competition will be based on improved levels of service.
- Passengers will benefit from predictable point to point service and will be less exposed to price gouging of unscrupulous maxi taxi operators that double charge passengers at peak times.
CONCLUSION
It is understood that the measure proposed here are bold and will be met with both scepticism and outright rejection by stakeholders involved. In the case of the plan to provide tax exemptions, the used and new car associations may see the moves as having a negative impact on their businesses. Instead, they can become a part of the program by offering other branded deals and some form of option that involve the exemption: For example, marketing that encourages further dealer discounts for customers who de register their car and purchase the same brand or supply firm of the de-registered vehicle and so on. If a new or used vehicle dealership also can entice customers to make down payments on cars upfront in advance, which allows the car dealers to do better stock planning. If the customers then decide they do not want to purchase a newer vehicle from the company or agent that sold them the de registered automobile, the dealer gets to keep the ‘option’ deposit.
In the same way, the maxi-taxi association may view new omnibus operators as harming their livelihoods. Although it is unlikely that a minimum of three or four concessions of five hundred seats each will have seriously negative effect on the incomes of maxi drivers, a special concessionaire with can be reserved and offered exclusively to an amalgamation of all the maxi taxi associations, involving them in the transformation to a more formal transportation system.
