Private funding and management for public interchanges in Madrid

Abstract

Interchanges are key elements for improving seamless mobility in metropolitan areas where multi-stages trips are increasing. Interchange facilities make transfers short, easy and comfortable, and therefore Public Transport (PT) trips became more attractive and competitive. However, good quality interchanges are rather expensive, especially with regard to construction and operation. The solution launched in Madrid was a public–private scheme where all stakeholders involved play a key role. The first experience was Avenida America Interchange in the border of Madrid CBD, which opened in 2000. The construction was carried out through a Build and Operate and Transfer (BOT) tender. Three public bodies were involved: Municipality, Regional Government and Public Transport Authority. The concessionaire was a company constituted by a transport operator, several construction companies and a national bank. The revenues came from a fee which pays every bus using the facility, some shops, two parking lots, and other business. This positive experience has been extended to the construction of four new interchanges that were inaugurated in the years 2007 and 2008.