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

  • Telvent introduces SmartMobility technology in Quito, Ecuador
    March 19, 2012
    Telvent GIT has been awarded a project to develop the smart mobility management system in the city of Quito, in Ecuador. This ambitious project, headed up by EPMMOP (the Metropolitan Public Mobility and Public Works Company) is intended to solve the traffic problems facing the two million citizens in Quito’s metropolitan area each day.
    Read More
  • Data and best practices on Africa’s response to impacts of COVID-19 on transport
    August 23, 2021
    The final results of the HVT-funded project on the impact of the COVID-19 response on transport and mobility in seven countries in Africa were presented on 27th May at a webinar hosted by the IRF and the Global Alliance of NGOs for Road Safety.
    Read More
  • Preventive maintenance - preserving pavements
    February 14, 2012
    In the first article of a three-part series on preventive maintenance, Alan S. Kercher, of Kercher Engineering, highlights the value to road agencies of a properly implemented pavement preservation programme For many road agencies, the budget for maintenance, rehabilitation and reconstruction (MR&R) of their roads is focused mainly on the pavements that are in the worst condition. In the short term, this common approach may seem very logical. However, when focused on expensive structural improvements,
    Read More
  • Indonesia’s Trans-Sumatra highway inches ahead
    March 11, 2015
    Indonesia will form a consortium of state enterprises to build all the 2,700km of the Trans-Sumatra toll highway, from Lampung to Aceh on the island of Sumatra. The finance department is also setting up special infrastructure banks to provide flexible loans for the state departments to fund the project, Indonesian media reported. Indonesia recently changed the law that had the state infrastructure company PT Hutama Karya as the only organisation allowed to build major projects. Other state enterprises can n
    Read More

Highlighted Content