Ecuador’s joint fund system is joined by 80% of public transport operators

A novel system in the Ecuadorian capital of Quito requiring public transport operators to share a payment fund has been joined by 80% of operators. The new system aims to reduce competition on the roads, as, prior to adoption of the payment fund approach earlier this year, different operators sought to transport as many passengers as possible, due to their income being based on the money earned from passengers on their routes each day. Under the payment fund operation, money earned enters a joint fund w
December 11, 2013 Read time: 2 mins
RSSA novel system in the Ecuadorian capital of Quito requiring public transport operators to share a payment fund has been joined by 80% of operators. The new system aims to reduce competition on the roads, as, prior to adoption of the payment fund approach earlier this year, different operators sought to transport as many passengers as possible, due to their income being based on the money earned from passengers on their routes each day.

Under the payment fund operation, money earned enters a joint fund which is then distributed proportionally between all participating operators, based on the working fleet, demand, efficiency, timetables and kilometres covered. Operators have until 30 December 2013 to join the payment fund scheme. If they fail to do so, they will not receive the necessary operators’ accreditation.

The payment fund scheme is already reported to have resulted in better working conditions, with a calmer atmosphere and regulation of timetables. Paquisha, Quitumbe and Catar are among the operators already taking part in the scheme.

Conventional public transport companies will not have to implement the second phase of the scheme, which will require Metrobus-Q operators to have an automatic payment system with transport card, until 2016.
Highway & Network Management

Related Content

  • The UK is working with Jamaica to drive down its road deaths
    April 11, 2013
    A new partnership between Jamaica and the UK is intended to reduce road deaths in the Caribbean country. This novel agreement on improving road safety forms part of international twinning programme. The Inter-American Development Bank (IDB) and the International Transport Forum (ITF) at the OECD are joining forces for this twinning initiative. Under the programme Jamaica and the UK will promote the implementation of best practices in road safety data collection. The goal of the twinning is to help Jamaica a
    Read More
  • Efkon India wins four tolling and ITS contracts
    April 30, 2012
    Austria-headquartered Efkon Group has announced that its Efkon India subsidiary has received four prestigious tolling and ITS contracts valued at some US$8.8 million in total. The company has received a repeat contract from Oriental Structural Engineers to provide the complete ITS product-mix for the Nagpur Bypass project. This contract includes the delivery of advanced traffic management systems (ATMS) for 117 kms and 44 lanes of semi-automatic toll system integrated with a weigh-in-motion (WIM) system. Ef
    Read More
  • Chile’s crowded roads face further congestion
    June 21, 2017
    Road congestion is a growing problem in Chile as the country’s vehicle fleet is fast outstripping road capacity. In 15 of the county’s major urban areas, the vehicle fleet is growing 10 times quicker than the rate of road construction.
    Read More
  • Importance of continued transportation investment
    February 27, 2012
    The US infrastructure network requires urgent attention - * T Peter Ruane. America's transportation infrastructure was once the "shining light on top of the hill." Major investments in a national highway, bridge, transit, airport, port and waterway system during the 20th century paid great dividends. The free and efficient flow of goods and people across the 50 states led to unparalleled economic expansion. The mobility and prosperity resulting from an interconnected infrastructure was a model for the world
    Read More

Highlighted Content