Financing Public Transport - The Example of Belgrade Doc. Dr Slaven M. TICA, T.E. Honorary Vice President of UITP UITP International Seminar on the Renewal of Public Transport Bus Fleets Skopje September 2012 Dr Slaven M. TICA, T.E. | University of Belgrade - Faculty of Transport and Traffic Engineering, Vojvode Stepe Belgrade, SERBIA | Phone: ; | |

Vicious circle Source: UITP and TICA S.

Lets break out of the vicious circle Source: UITP and TICA S.

Vision, Mission and Goals of the PT System, Transport Market, Organization and Management, PT Revenue, Tariff System and Fare Collection System, Quality of Service, Efficiency and Effectiveness, etc… Key Topics

Operators and number of vehicles in Belgrade GSP “BELGRADE” (PUBLIC COMPANY) 121 TRAMWAY GSP “BELGRADE” (PUBLIC COMPANY) 97 TROLLEYBUS GSP “BELGRADE” (PUBLIC COMPANY)) 685 CITY BUS PRIVATE COMPANIES, 407 CITY BUS SP “LASTA” (PUBLIC COMPANY) 143 SUBURBAN BUS PRIVATE COMPANIES, 60 MINI BUS BEOVOZ (PUBLIC COMPANY), 10 SUBURBAN RAIL

Number of transported passengers passenger / year Source: Statistical Yearbook of Belgrade

SUBURBAN BUS 8.23% MINIBUS 0.1% CITY BUS (PRIVATE OPERATORS) 20.42% CITY BUS (GSP “BELGRADE”) 46.14% TROLLEY BUS 8.73% TRAMWAY 15.23% SUBURBAN RAIL 1.21% Number of transported passengers passenger /day

Operation work vehicle km / year Source: Statistical Yearbook of Belgrade

Operating speed TROLLEYBUSTRAMWAYCITY BUSMINI BUSSUBURBAN BUSSUBURBAN RAIL km/h km/h km/h km/h km/h km/h

Vision: Vision of the urban public transport of passengers should include strategic choices and values ​​ that define the view of the purpose and mode of existence of the system. Mission: The mission of the public urban passenger transport should define the reasons and purpose of the system. Mission statements should be current and future business and operations of the system. Goals: Maximum level of quality of produced transport services for a defined level of costs, with maximum efficiency and effectiveness of the system of minimum negative impact on the environment. Vision Mision Goals

Transport Market

The Transport Market in Belgrade General information Coordinates: 44 O 49’14’’ north latitude 20 O 27’44’’ east longitude 116,75 m elevation Number of inhabitants: urban and suburban area urban area Area: ha Public transport service operates on continualy built area of 10 urban and 7 suburban municipalities in 52 urban units which cover area of ha. Welcome to the city of future of south Europe

Modal Split On weekday about 1.6 million passengers are transported in PT

Organizational Model

Risks in contractual relations The risk of production of transport services Revenue risk Financial risk Planning risk Environmental risk THE CONTRACT BETWEEN THE CITY GOVERNMENT AND THE OPERATOR

Revenue from the core business, Subsidy from the City budget, Credit arrangements with banks Other sources (parking fees at the cost of private vehicles, fees for the use of private cars in the City, etc...) Generate income in the Public Transport

Total Revenue in the PT

The Structure of Total Revenue

New ollection Fare CollectionSystem

New ollection Fare CollectionSystem + 11,15%

Reconstruction of the bus fleet The government of Japan has donated 93 new buses in (75 articulated and 18 standard) Purchased about 600 new buses (60 % low-floor) in the period from 2004 to (10 buses powered by CNG) It is planned to buy about 400 new low-floor buses in the next four years (280 articulated and 120 standrad CNG buses).

Reconstruction of the trolleybus fleet Athens city (Greece) has donated 30 reconstructed trolleybuses in Purchased 105 new modern low-floor trolleybuses in the period from 2005 to 2010.

Reconstruction of the tram’s fleet City of Basel (Switzerland) has donated 35 reconstructed trams and 35 tram trailers. Purchased 30 new modern low-floor trams in 2009.

Plan: The total reconstructed network length of tram lines (tracks, power network, electric power substation): 33.9 km Reconstruction of the tram’s network Funding model: 50 % EIB (European Investment Bank) : 50% City budget

Reconstruction of the tram’s network The value of completed and reconstructed tram network section is about 6,8 billion RSD (approximately 70 million EUR).

Quality of Service Customer Satisfaction Index Source: Tica S. - Research quality parameters of transport services in public transportation in Belgrade, Belgrade 2010

Project for the first line the first line of LRT system Estimated first LRT line investment is about 400 million EUR

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