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

  • AIA welcomes Government cash for local UK road maintenance
    June 28, 2013
    The Asphalt Industry Alliance (AIA), which represents companies producing and laying the materials for asphalt roads, has welcomed the UK Government’s pledge to spend US$9.174 billion (£6bn) on local road maintenance for the period 2015/16 to 2020/21. Reacting to the spending commitment announced made by the Chancellor of the Exchequer, George Osborne , and the Chief Secretary to the Treasury, Danny Alexander, AIA chairman Alan Mackenzie said, “The AIA has been lobbying for additional funds to tackle the lo
    Read More
  • Safety technology to cut crashes
    January 22, 2020
    Bloomberg Philanthropies has commissioned a new road safety report that shows 42,000 lives could be saved and 150,000 serious injuries prevented by 2030.
    Read More
  • European regulations for engine emissions are getting tougher
    January 4, 2013
    Emissions remain the focus for engine development but equipment manufacturers want clarity from regulators. Emissions remain a major challenge for the off-highway construction equipment market. The EU has tough targets in this respect and its objective is an overall reduction of CO2 emissions of 80-95% by the year 2050, compared to 1990 levels. There is considerable research already underway on how to reduce fuel consumption and to help ensure the security of energy supply. A number of industry sectors, suc
    Read More
  • Road marking system providers’ latest technology in-demand
    April 3, 2014
    The latest road marking systems from leading manufacturers are in demand in Europe, Africa, the Middle East and South America. Guy Woodford reports Ennis-Flint recently saw its Third Generation Waterborne Fast Dry Paint with low VOC applied on a Portuguese motorway by Trafiurbe and F.L Gaspar, two of the country’s leading contractors. The line marking is said to have been applied in response to demands from Portuguese authorities for higher specifications of line markings across the country’s highway net
    Read More

Highlighted Content