Public-Private Partnerships in Urban Bus Systems

Page 169

Appendix A | 151

TABLE A.7  Lessons

learned from the Metrocali bus rapid transit project in Cali, Colombia

BEST PRACTICES

AREAS FOR IMPROVEMENT

• Metrocali modified its operations to mitigate the impact of lower-than-expected demand and to ensure the financial sustainability of operators. [operation risk] [financing risk]

• The project began operating without having finalized all of the infrastructure, which affected ridership and expected revenues. [interface risk] • The municipality could have awarded the construction function to a private partner to reduce the risk of delays. [construction risk] • Fare collection systems were only available in a limited number of stations. The operator in charge of fare ­collection systems refused to increase the number of fare collection points and card recharge stations in the system. [operation risk] • Incumbent service providers that were not included in the project (40 percent of the total) increasingly protested and disrupted project operations, affecting ridership and financial sustainability. [planning risk] [political and social risk] [operation risk] • The project exceeded the city’s local capacity to implement the bus rapid transit system. Multilateral development banks did not provide technical assistance for procurement and ­management of the contract. The government could have requested further technical assistance from them. ­[planning risk] [operation risk] • The municipal government missed the opportunity to develop this project as part of a greater transportation-oriented development plan. Integrating the project with an urban plan would have increased the system’s sustainability and value. ­[planning risk] • Demand estimates could have been more robust, and the project should have included mechanisms to mitigate demand risk, given that the project was supposed to be fully sustained with fare revenues. [operation risk] ­[financing risk] • The municipal government should have deepened the assessment of low-income people’s mobility needs at the planning and feasibility stages. The project failed to have an impact on this segment of the population. [planning risk] • The municipal government could have developed mechanisms to facilitate the transition of low-income users from a cash-based system to electronic payments. The government underestimated the impact of the cultural transition on low-income citizens. [operation risk] [political and social risk]

Source: World Bank.

Metrocali has failed to meet its operational targets and objectives. The municipality experienced construction delays of three years and cost overruns for the government and private sector, which amounted to more than US$700 million in extra costs for the government and US$370 million for the private sector. Ridership in 2015 was 525,000 passengers per day, 45 percent below the forecast demand and 30 percent short of the project’s break-even point. Metrocali failed to increase average bus speeds, increase bus service frequencies, or improve reliability in the bus system, resulting in a fall in the modal split for public transportation from 48 percent to 39 percent between 2005 to 2012, compared with personal vehicles and walking. Table A.7 shows the lessons learned from the project.

SYTRAL (LYON, FRANCE) SYTRAL, Lyon’s public transportation authority, has provided accessible and reliable transportation to citizens for more than 30 years (MassTransit Magazine 2014; World Bank 2015). This case describes the development of an integrated public transportation system—which includes metro, tram, and bus routes—through a combination of publicly financed infrastructure and rolling stock and management contracts. It demonstrates how a publicly financed transportation system can achieve its objectives and deliver affordable, reliable, efficient services.

Founded in 1985, SYTRAL manages Lyon’s public transportation system—the second-largest in France. It consists of three integrated public transportation networks, including 4 metro lines, 5 tram lines, 2 cable car lines, and more than 180 bus lines. In 2007 a survey of bus system users showed high levels of


Turn static files into dynamic content formats.

Create a flipbook

Articles inside

A.16 Lessons learned from the business collaboration agreements in Singapore

10min
pages 179-186

partnership

5min
pages 188-190

A.13 Lessons learned for urban mobility in Port-au-Prince, Haiti A.14 Lessons learned from the TransOeste bus rapid transit project in

2min
page 175

C.4 Essential elements of an operation concession contract

2min
pages 192-195

A.15 Lessons learned from the business collaboration agreements in Medellín, Colombia

2min
page 178

Rio de Janeiro, Brazil

5min
pages 176-177

A.11 Lessons learned from the Metrobús-Q System in Quito, Ecuador A.12 Lessons learned from the Avanza Zaragoza concession in Zaragoza,

2min
page 173

Spain

3min
page 174

A.8 Lessons learned from the SYTRAL integrated public transportation system in Lyon, France

2min
page 170

A.9 Lessons learned from the DART Phase I bus rapid transit project in Dar es Salaam, Tanzania

3min
page 171

Cali, Colombia

2min
page 169

Acapulco, Mexico A.7 Lessons learned from the Metrocali bus rapid transit project in

3min
page 168

Monterrey, Mexico A.6 Lessons learned from the Acabús bus rapid transit project in

5min
pages 166-167

Mexico City, Mexico A.5 Lessons learned from the Ecovía bus rapid transit project in

3min
page 165

Bogotá, Colombia A.4 Lessons learned from the Metrobús bus rapid transit project in

5min
pages 163-164

A.2 Lessons learned from the Transantiago bus rapid transit project in Santiago, Chile A.3 Lessons learned from the TransMilenio bus rapid transit project in

3min
page 162

in Lima, Peru

5min
pages 160-161

11.2 Situations affecting economic equilibrium A.1 Lessons learned from the Metropolitano bus rapid transit project

2min
page 156

Economic and financial elements

2min
page 155

Institutional and regulatory elements

7min
pages 152-154

11.1 Remuneration arrangements and incentives

4min
pages 150-151

Technical elements

1min
page 149

Setting up subsidies

4min
pages 145-146

Funding sources

9min
pages 141-144

Private financing instruments

12min
pages 135-139

10.1 Summary of the World Bank Group’s instruments

2min
page 140

Structuring a project’s capital

4min
pages 131-132

Model 4: Private finance and operation of electric buses

2min
page 125

Model 1: Bundled private finance and operation of buses

1min
page 115

bundled or unbundled

2min
page 122

Topical bibliography

5min
pages 108-114

Macroeconomic risks

1min
page 101

Topical bibliography

4min
pages 96-100

7.13 International lessons for achieving quality and level of service

2min
page 89

7.8 International lessons for managing fare evasion and cash risk

2min
page 85

7.7 International lesson for managing affordability risk

2min
page 84

7.1 International lessons for acquiring land

2min
page 80

Planning

1min
page 79

6.5 International lessons for defining technology components

2min
page 77

6.2 International lesson for dealing with incumbent operators

2min
page 71

5.1 Categories and types of direct risk, organized by project stage

2min
page 63

5.2 Definition of direct project risks

2min
page 64

Dealing with incumbent operators

1min
page 69

Identifying project risks

2min
page 62

Overview and guiding principles

1min
page 61

Institutional and regulatory elements

2min
page 56

Fiscal capacity

2min
page 55

Implement punctual infrastructure-related interventions

2min
page 47

Technical elements

2min
page 54

Support private sector initiatives to promote user-friendly technologies

2min
page 46

References

4min
pages 50-53

References

3min
pages 43-45

and Tendering

2min
page 41

2.2 Examples of the objectives and restrictions of key stakeholders

2min
page 42

References

2min
pages 39-40

public or private

2min
page 31

1.2 A public-private partnership: Three reasons why

2min
page 36

Notes

2min
page 38

What is a public-private partnership in urban bus systems?

4min
pages 29-30

Notes

2min
page 24

References

0
pages 25-26

Further discussion

2min
page 37

Key Messages

5min
pages 22-23
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.