Determinants of bus rapid transit (BRT) system revenue and effectiveness – A global benchmarking exercise

Abstract

Bus rapid transit systems (BRT) have evolved in all shapes and sizes around the world in the last 30 years motivated by providing greater efficiency and value for money than potential alternatives. This paper aims to explore and compare the effectiveness (including its determinants) and revenue potential of 58 BRT systems globally. A key research question for this paper is to what extent there is a trade-off between long term capital expenditure and short term operating cost. The results suggest that BRT systems located in developing countries or countries that have high population densities are successful in generating higher revenues per passenger and unit of input than their conventional bus counterparts but are from a community perspective not more cost effective in doing so. Better BRT standards and hence higher capital expenditure, while significantly increasing patronage and input effectiveness do not have a significant impact on either yields or cost effectiveness. In contrast, public ownership and the number of stations are on average associated with higher cost effectiveness scores.

How Does Operational Environment Influence Public Transport Effectiveness? Evidence from European Urban Bus Operators

“…Sampaio et al [47] developed a DEA model to compare cost-effectiveness of 19 metropolitan PT systems globally and stressed the importance of power partition among the components of the administrative agency of the transport system as well as the diversity of tariff structure for achieving better performance results. Merkert et al [48] performed a DEA global benchmarking exercise to compare performance of 58 bus rapid transit systems and pointed out population density, status of ownership and number of stations as serious explanatory factors of cost-effectiveness. Georgiadis et al [14] developed a conditional non-parametric setting to highlight population density as a critical exogenous determinant of bus PT effectiveness within a sample of 34 multimodal PT systems worldwide.…”

Kajian Pra-Implementasi Aplikasi Layanan pada Bus Rapid Transit Purwokerto-Purbalingga: Perspektif Penumpang Wanita

“…Pada penerapannya, BRT bertujuan untuk menghubungkan titik-titik peluang kerja baru [4] dan aksesibilitas terhadap fasilitas kesehatan [5]. Selain itu, pengoperasian BRT pada negara berkembang akan meningkatkan pendapatan negara atau wilayah tersebut [6] dengan mempertimbangkan area transit yang mudah dituju (transit catchment area). Transit catchment area ini diukur berdasarkan densitas jaringan moda, pola pemberhentian moda, urban gravity, dan kualitas pelayanan [7].…”

“…(3) H1: µb0 ≠ µb1 (4) Aspek traceability terdapat pada persamaan 5 dan 6, H0: µc0 = µc1 (5) H1: µc0 ≠ µc1 (6) Jika p-value < α, maka H0 ditolak, artinya terdapat signifikansi antara demografis dengan perspektif dari ketiga aspek.…”

Workshop 3 report: Sustainable funding sources and related cost benefit measurements

“…In some cases, the risk problem is tackled by separating bidding for the design/build part of a project from the bidding for the operation stage, the completed project being put to market after traffic volumes have settled. Merkert et al (2015) looked at 58 BRT systems, from Latin America (18), Europe (12), Asia (12), North America (8), Oceania 6and Africa (2), to assess factors likely to increase yield and system efficiency. They found no significant association between system yield and BRT system standards, although the yield measure used in the analysis (fare revenue per passenger) may need some refinement, because it will often be primarily a reflection of government fare setting policies, particularly since many of the systems analysed were publicly owned, rather than being associated with service quality and performance.…”