Abstract

In free market conditions, if public passenger transport services are commercially unprofitable, there will be no interest for transport companies to perform them. However, directly because of the citizens’ interests, on the one hand, and indirectly because of the economy, passenger public transport services have become of a general public interest. The authorities must prepare appropriate legal fair market conditions, based on which public transport will be subsidized and conducted. In order to achieve that, for the mutual benefit of the public, users and transport companies, it is necessary that the right Public Service Obligation Model (PSO model or in some literature PCS—Public Service Compensation) be defined. Within this study, the optimal approach to assigning a PSC contract to transport companies for performing the PSO in integrated and regular public passenger transport systems is determined. A novel model, presented in this paper, can help national, regional and local authorities to choose and determine the way and level of PSCs for conducting the public transport of passengers and establishing a sustainable public passenger transport system.

Highlights

  • Public transport is one of the most important factors for the development of region

  • If no Public Service Obligation (PSO) contract is executed for the purpose of performing operations through the integrated transportation system, the Public Service Compensation (PSC) for each operation can be calculated in the following manner: PSCnraeitl = Corapil ·

  • The contract defines that the monthly PSO reimbursement that belongs to the operator may be decreased for the amount of the sum of the penalties agreed upon in the contract, and those penalties will be applied if there are any reasons for their application

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Summary

Introduction

Public transport is one of the most important factors for the development of region. The goal of the EU current transport policy is to overcome the unwanted domination of road transport in the “modal split” and open a possibility for the transport system’s development in the spirit of sustainable development. Regardless of the corresponding traffic needs (the number of passengers) during each period of the day and on certain days of the week/year, cities and municipalities choose to subsidize public transport, which is done in order to accomplish the goals defined by the wholesale/altogether transport policy [22]. These goals are different and their base provides a possibility of transport to every social category so as to increase the mobility of all citizens. This trend implies the need for increasing public transport subsidies so as to maintain its function or even increase the transport offer in an effort to change the modal distribution of travelling in favor of public transport

The PSC Level Determination
The Railway Operator Costs
The Bus Operator Costs
PSC Allocation
Testing the Model for Determining the PSC and the Analysis of the Results
Findings
Conclusions
Full Text
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