* ri-COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 29.11.1995 
COM(95)601 final 
THE CITIZENS' NETWORK 
Fulfilling the potential of public passenger transport in Europe 
European Commission Green Paper 
Brussels, 1995 

EXECUTIVE SUMMARY 
PART A: TRENDS AND POLICY REQUIREMENTS ON PASSENGER TRANSPORT 
I. Recent developments and current challenges to passenger transport in 
Europe 
II. Towards an integrated "Citizens' Network" 
PARTB: GOOD PRACTICES IN PASSENGER TRANSPORT PLANNING -
DEVELOPING THE "CITIZENS' NETWORK" 
PART C: THE EUROPEAN UNION'S ROLE 
I. Disseminating know-how and setting targets 
II. Aligning R&D priorities with user needs 
III. Making Community instruments effective 
IV. Modernizing the regulatory environment 
V. Improving standards 
Conclusions 
ANNEX A: Basic regulatory options for planning and operating public 
passenger transport services 
ANNEX B: Manual of Community Policy instruments of relevance for 
passenger transport 
ANNEX C: Cost Recovery Rates of Urban Public Transport Systems. 
1 *\ 
EXECUTIVE SUMMARY 
Effective passenger transport systems are essential for European economies and for the quality 
of life of European citizens. It is vital that transport systems are designed to meet people's 
needs, and are flexible enough to respond to their changing requirements, including the growth 
in demand for transport. This increasing demand has, to date, largely been met by greater use 
of private cars which now accounts for 75% of travel. The car has brought many advantages 
in particular it gives people independence and flexibility in making their journeys. But it has also 
resulted in increased congestion, pollution and accidents, all of which affect both car users and 
those who do not have access to cars. 
Technological development including the possibility for introducing new pricing mechanisms will 
create opportunities for dealing with congestion and the increasing demands for access to 
employment, services, leisure facilities and holiday destinations. Nevertheless if further 
consequences for our quality of life and for the environment are to be avoided then the 
development of public passenger transport systems must be given greater priority as part of an 
integrated approach. This is true for everyone and particularly the estimated 40% of European 
households who do not have private cars. 
This paper suggests ways of making public passenger transport more attractive and usable. We 
want to reduce dependence on the car by achieving that objective and to extend the transport 
choices of those without access to cars. This means that public passenger transport must become 
more flexible and better suited to meeting the needs of its users. In particular, public transport 
systems and vehicles must be designed to be accessible to the 80 million or more European 
citizens who, permanently or for some periods of their lives, have to deal with reduced mobility. 
Clearly, it is essential that the needs of passengers are put at the centre of decision making at 
local, national and Community level. The goal must be the achievement of networks of public 
passenger systems which fit together so that passengers can change easily from train to bus to 
tram, from car or bike to public transport, which interconnect long-distance and local transport 
networks and which enable those people with cars to reserve them for journeys where flexibility 
and independence of movement are important. In addition, public transport should ideally be a 
service open to all citizens in terms of accessibility to vehicles and infrastructure, affordability 
in terms of fare levels, and availability in terms of coverage of services. That is the way to 
establish the Citizens' Network. 
This is the first time that the European Commission has issued a policy document on public 
passenger transport. It is not intended to be some sort of "master plan". Decisions should be 
taken at a level close to those using the service. The Commission recognizes that the nature of 
passenger transport means that measures necessary to build up the Citizens' Network must and 
will be taken at a local, regional or national level. The European Union's role is to inform, to 
promote and to enable. In addition, since many existing EU policies have an impact on public 
transport, our actions in these areas can be improved and better focused. 
Information and the promotion of best practice 
There are many examples of best - indeed excellent - practice in passenger transport across the 
Union, but information about them does not always reach a wide public. The Commission will 
work to improve existing mechanisms, including databases, to promote best practice. This paper 
suggests criteria for modern, user-friendly public passenger transport systems and considers the 
role of target-setting in providing incentives to public transport operators. 
it 
The Commission is also considering launching an award to European towns and cities whose 
transport systems provide high standards of quality. This would enable citizens to see whether 
the transport arrangements in their town or city met such standards and, if they did not, to press 
for improvements. 
This paper is a consultative document, and the Commission wishes to draw in expertise and 
experience from as many sources as possible. As part of the consultation process we will convene 
a "Citizens Network Forum" in 1996, to give interested parties - including, of course, users -
an opportunity to consider and evaluate the extra value of measures proposed. 
Using EU policies to promote passenger transport 
The Commission intends to refocus its research and development work on transport to give 
greater emphasis to efforts to improve public transport and to promote a door-to-door service. 
This will require an assessment of how each project will foster an integrated and intermodal 
approach to transport. 
Research often involves local and small scale initiatives. The Commission will consider how 
innovative passenger transport concepts can be promoted by means of a more solid framework 
for support and exchange of information. 
The Trans-European Networks, (TENs), which cover transport, telecommunication and energy, 
were established by the Treaty on European Union to, "enable citizens of the Union...to derive 
full benefit from the setting up of an area without internal frontiers" and for "promoting the 
interconnection and interoperability of national networks" while taking account "of the need to 
link island, landlocked and peripheral regions with the central regions of the Community". 
Guidelines for the development of the TENs represent a new dimension in planning. They create 
the basis for the development of the European transport network in the Union and its neighbours 
which is environmentally sustainable, has a social dimension, and is tailored to specific transport 
requirements. 
The TENs obviously relate to long distance links, but equally clearly these long distance routes 
must link into local transport systems. The Commission will favour those TENS links which 
interconnect with local systems and which promote public transport. Implementation of the 
Commission's action plan towards establishing the Global Information Society will support 
further development of services for transport users such as travel information and traffic 
management techniques in order to encourage the effective integration of individual and public 
passenger transport. 
The Union's Regional Development policies already provide a significant contribution to public 
transport. Whilst respecting the existing legal framework and eligibility criteria of cohesion 
instruments, the emphasis should be on Community co-finance for projects containing integrative, 
intermodal features in the course of fulfilling the employment and development objectives of 
regional and structural policies. 
1c 
There are several options open to Member States for the ways in which markets can be 
structured, including publicly planned, owned and operated systems and systems where 
competition is completely open with no controls. However, the Commission believes that the 
concession system - where services are subject to open tender but within a defined operational 
framework - is well suited to providing an environment which gives incentives to operators to 
raise standards whilst safeguarding system integration which is particularly important in relation 
to urban and regional transport. The Commission considers that contracting concessions should 
be based on transparent, Europe-wide public tendering and will look at ways of promoting the 
concession system. 
Conclusions 
The European Commission wants to ensure that the needs of citizens are put at the centre of 
decisions about transport provision. As part of this effort, we seek to stimulate discussion and 
debate on the best ways to promote public passenger transport in the European Union. All 
interested parties, including Member States, the Council, the European Parliament, the Economic 
and Social Committee, and the Committee of the Regions are invited to submit their observations 
on this paper by 31 July 1996. 
1JI 
PART A: TRENDS AND POLICY REQUIREMENTS 
CHAPTER I: RECENT DEVELOPMENTS AND CURRENT CHALLENGES TO 
PASSENGER TRANSPORT IN EUROPE 
Recent Trends 
1. Passenger transport is a growth industry. Between 1970 and 1993 passenger transport 
in the 15 European Union countries grew at an annual rate of 3,2 %, whereas the average 
growth rate of the GDP (in real terms) was 2,4%. The average distance travelled every 
day by each European citizen has increased in that period from 16,5 km to 31,5 km. 
The growth in demand for transport has been met largely by increased use of private cars 
which now account for 75% of kilometres travelled. Ownership of cars in the EU has 
increased between 1975 and 1995 from 232 per 1,000 people to 435 per 1,000. 
Graph 1: GROWTH IN PASSENGER TRANSPORT BY MODES 
growth 70-93 
•1-990 
1993 
Source: European Commission (based on ECMT and national statistics) 
n 
Graph 2: MODAL SPLIT BASED ON PKM (EU 15, 1993) 
bicycles 1.5 % 
walking 3% other <0.5% 
5% air 6% railway 
1% tramS.metro 
8% bus 
Source: European Commission (based on ECMT and national statistics) 
Transport accounts for on average 7% of Gross Domestic Product in the European 
Union1. Around 8.5 million people are on the payroll of the transport and transport 
equipment industry. But more generally, all business depends on transport systems to 
enable its customers, employees and suppliers to travel. 
The social element of personal mobility is equally important. Public passenger transport 
is particularly important for those who have no access to private cars, if they are to have 
access to employment, services such as shops and schools, to leisure activities, holiday 
destination and to family and social contacts. In Europe there are about 100 million 
elderly people. About 80 million people are mobility impaired of whom about 50 million 
are disabled. Older people - and others with reduced mobility - are particularly 
dependent on public transport. It is estimated that at least 50% of older people do not 
have access to private cars. 
Transport m ihe 1990's - Europe on the move. European Commission 1993 
2 
Additionally, access to mobility is of key importance for linking people living in rural and 
peripheral regions to places of economic, social and cultural activities. Moreover, if 
Europe is to reach its goal of regional cohesion, then each region should have access to 
the major markets of the European Union. This is particularly important for developing 
small and medium sized towns as a network of regional centres required for ensuring the 
availability of essential public services such as education and vocational training2. 
The need to travel 
There is growing recognition of the relationship between existing imbalances in the 
passenger transport system and the location of residential areas and work places. Their 
separation caused by industrialisation and accelerated by increasing access to individual 
transport means (private cars) has led to urban sprawl and a significantly increased need 
to travel. At the same time dispersion of residential areas has made it difficult to establish 
effective public transport means as an effective alternative to the use of private cars. 
Changes in the structure of families (smaller households) have accentuated these trends. 
Transport demand fuels itself, access to mobility creates new demand for mobility which 
can often be served effectively only by use of private cars. The historical function of 
towns to combine activities at one place reducing the need to travel is being replaced by 
a situation where the location of leisure services, homes, shops and work places 
continuously increases the need to travel: 
Increased car use Facilitates dispersion of 
' residential areas 
î l 
promotes further Reduces public transport 
dispersion of patronage 
residential areas ( 
necessitates additional 
car use 
The demand for mobility will continue to be high although technological developments 
and changes in work patterns (e.g. teleworking) may reduce the need to travel in certain 
sectors. 
see report Europe 2000+, Cooperation for European territorial development, European Commission 
Congestion and the Environmental Consequences of Road Transport 
6. Many more people in Europe now have access to cars. That is a reflection of greater 
prosperity and brings greater freedom. But the increasing demand for mobility and 
growth in car ownership have, combined with limits to the provision of more road 
infrastructure, produced an enormous increase in congestion, notably in urban areas and 
on key transit routes. According to OECD estimates, vehicle speeds have declined by 
10 per cent over the last 20 years in major OECD cities3. Since 1971 inner London 
transport speeds have fallen to less than 18 km/h. Estimates indicate that in some 
European cities average traffic speeds at peak times are lower than in the days of the 
horse drawn carriage. 
7. Various attempts have been made to calculate the costs of congestion. A recent OECD 
study estimated that these costs amounted to 2% of GDP4, that implies that congestion 
costs in the European Union are about 120 billion ECUs. That is four times more than 
is spent on public passenger transport across the EU. 
8. The environmental consequences of road traffic in general are particularly important. It 
has been estimated that transport causes 62% of carbon monoxide (CO), 50% of 
nitrogenoxide (NOx), 33% of hydrocarbon and 17% of carbon dioxide (C02) emissions5. 
This has fuelled concerns relating to both local and global air pollution. It has also been 
calculated that 20% of Europe's citizens suffer from unacceptable levels of noise from 
road traffic. 
9. Reducing pollution and congestion by means of increasing road capacity is - in many 
cases - not the best option. The cost of construction of road (and parking) capacities in 
densely populated areas continues to increase. Studies indicate that improving and 
extending infrastructure results in more journeys overall as road users make use of the 
new or improved facilities. The environmental impact both of these extra journeys and 
of the construction of the road infrastructure may outweigh any benefits in improved 
traffic flows. 
Public Passenger transport: the way forward 
10. Reinforcing public passenger transport services offers an alternative6: congestion is 
usually based on traffic patterns that fit particularly well with the comparative advantages 
of collective transport since it is caused by collective demands in space and time. In such 
situations, public transport is particularly efficient in terms of resources required. (At an 
occupancy rate of only 50% energy consumption per passenger-km of bus and regional 
rail services is about five times lower than for private cars.) Moreover, technological 
progress has made it possible to improve the performance of public transport in terms 
of reliability, accessibility, comfort, safety and flexibility. 
see "Urban Travel and Sustainable Development" OECD-ECMT, Paris J 995 
4 idem 
5 source: CORINAIR, 1990 
6 "Public transport sendees" in this document means collective transport sen'ices offered to the public, 
regardless of legal status or ownership of the operator. 
IL Public passenger transport is also more sustainable in environmental terms. Data on air 
pollution show that emissions of the main urban air pollutants per passenger km are 
between four and eight times less for public transport and use five times less energy per 
passenger than cars as well as causing less noise and pollution. In terms of land use, 
public transport again demonstrates advantages. For example, per passenger, buses 
require only 5% of the road space required for cars. Studies indicate that public transport 
is also safer for the travelling public, particularly in the case of rail transport. 
12. However, the challenges facing public passenger transport are enormous: dispersion of 
residential areas; outdated equipment; lower staffing levels and increasing street crime 
leading to reduced personal security for passengers; all act to deter the user of public 
transport. Most surface public transport systems in Europe are heavily dependent on state 
support7 for running operations and unable to generate the financial resources needed for 
updating systems without recourse to external financing, and constraints on public budgets 
make the funding of improvements additionally difficult. 
7 see Annex C for table on cost recovery rates of urban public transport systems. 
5 
CHAPTER II: TOWARDS AN INTEGRATED "CITIZENS' NETWORK" 
13. The challenges resulting from developments over recent decades indicate the key objective 
of policy-making on passenger transport in Europe: how to meet the increasing demand 
for transport in the most efficient manner to better fulfil economic, social and 
environmental objectives. To do this, efforts must be made to improve the effectiveness 
of existing modes, including more appropriate pricing mechanisms, to integrate them and 
to promote exploitation of their respective comparative advantages. Much of this work 
is, and will continue to be, taken forward at national and/or regional and local level. A 
number of common features emerge which indicate some of the options which could be 
pursued by the relevant authorities in the improvement of public passenger transport 
systems. 
14. Access to passenger transport systems is crucial. Improving system accessibility covers 
a wide range of areas. This includes the design of rolling stock and (intermodal) stations, 
linking residential areas to central trip-attracting activities (workplaces, shopping, leisure 
activities) serving rural and peripheral areas and meeting the needs of people with reduced 
mobility. The needs of people who have no access to private cars means that a "Citizens' 
Network" must also aim to provide opportunities for door-to-door travel without reliance 
on private car use. 
15. In addition to ensuring system accessibility, passenger transport systems must be 
affordable, safe (in both personal security and accident terms) and reliable. Furthermore, 
quality requirements such as frequency, cleanliness and comfort are important 
preconditions for making public transport more attractive. Well-qualified and motivated 
staff are essential for meeting important quality criteria. 
"CITIZENS' NETWORK" QUALITY CHECKLIST 
System accessibility: needs of people with reduced mobility 
physical design of rolling stock 
design of stations including, intermodality 
linking trip attracting areas to public transport 
linking rural and peripheral regions 
Affordability: fare levels 
socially desirable services (concession fares) 
Safety / Security: safety standards 
quality of lighting 
qualification of staff 
number of staff on duty/surveillance system 
Travel convenience: journey times 
reliability 
frequency 
cleanness 
comfort 
information 
integrated ticketing 
flexibility 
Environmental 
impact: emissions 
noise 
infrastructure 
16. Such quality requirements must be met if public passenger transport systems are to become 
an effective alternative and supplement to the use of private cars. However, the impact of 
"stand-alone" quality improvements to public transport is limited if the overall transport 
system is not integrated. The main areas of relevance for system integration are: 
Integration of individual and public transport 
17. The effective integration of individual modes (including walking and cycling) and public 
transport operations is essential. In particular, the construction of interconnecting transport 
infrastructure (e.g. multi-modal terminals, park and ride facilities) and the establishment of 
an information and traffic management system (incorporating the use of transport telematics) 
which allows for the reassessment of travel choices before and throughout the journey. 
Integration of public passenger transport 
18. Better coordination of sub-systems such as bus, tram, metro and rail operations is essential 
for fulfilling the potential offered by public transport. This applies to both hard-ware 
(terminals, multiple use of rail tracks) and software (combined ticketing, information 
systems, tariff-systems) improvements. 
19. In order to make the most of improvements in each individual transport mode, transport 
planning should be integrated between all the modes, so that for example, a passenger can 
buy a ticket covering the whole of the journey - even if that includes a change from, for 
example, tram to bus. Transport planning should include the use of intermodal techniques 
(for example, easy change terminals, through-tickets), establishment and use of measures to 
give priority to public transport such as separate bus lanes and a mix of measures designed 
to encourage people to use public transport ("pull" measures) and, where appropriate, 
measures to reduce the use of private cars ("push" measures). 
20. Broadly, push-measures can be divided into financial instruments applicable either generally 
(e.g. higher fuel taxes) or at bottlenecks of the systems (e.g. tolls for using the inner-city, 
higher parking fees) and technical and regulatory constraints (bans on use of cars in certain 
areas, removal of parking areas). This paper largely concentrates on pull measures for 
improving public transport. But on their own, pull measures are not always sufficient to 
effect a change in transport patterns. A mix of pull and push measures should aim at 
widening effective choice and improving access to mobility. The best mix for any given 
situation will vary. But the policy-mix should be determined by a number of basic 
requirements: 
CRITERIA FOR DETERMINING MIX OF "PULL" AND "PUSH" MEASURES 
level of congestion (journey times) 
impact of quality improvements to the public transport systems 
impact of measures to give public transport priority 
flexibility in relation to coping with traffic fluctuations 
achievement of critical mass for efficient provision of public transport services 
needs of business and commerce 
particularities of local town and land-use planning 
21. The issue of push measures is closely related to the discussion on more efficient and 
equitable transport pricing (i.e. internalization of external costs). For example, asking 
transport users to bear a greater proportion of the real cost (including costs of pollution, 
accidents, and infrastructure) of their journeys is likely to result in reduced use of private 
cars in congested, urban areas. This issue is vital to decongesting our cities and reducing 
pollution and accidents. Considerable work has already been undertaken in some Member 
States. The Commission will bring forward a Green paper "Towards Fair and Efficient 
Pricing" on policy options for the internalization of external costs in order to advance the 
debate. Progress on this area is essential if transport policy makers are to have the 
necessary tools to bring transport systems into balance. 
Integration with other policy areas 
22. The effectiveness of passenger transport planning depends on good coordination with other 
policy areas. An appropriate system of charging and coordination with land-use planning 
and information and communication technologies are particularly important tools. 
23. Public policy should consider the relationship between the cost of transport, of 
infrastructure needs and costs, and planning decisions, as well as the wider social cost and 
benefits of public transport provision. Further research is needed to assess the overall 
benefits to society of improvements in public transport. A UK study estimated that in the 
health care and social services sectors annual benefits of between 200 to 900 MECU were 
possible as a result of increased use of public transport by those with reduced mobility8. 
24. Implementation of land-use rules aimed at improving access to work and other services 
offers an opportunity to improve passenger transport systems and reduce the need for 
mobility. Concentrating residential development at stations along public transport corridors, 
creating a high density of trip-attracting activities in central areas well served by public 
transport and issuing guidelines which seek to ensure that new development is accessible 
to public transport should help to promote public transport use without the need to 
influence the decisions to use one particular mode or another. Developments towards the 
information society will have implications for the need to travel and the structure of the 
demand for mobility. 
Subsidiarity: What it means for the "Citizens' Network" 
25. The Commission recognizes that developing integrated solutions to passenger transport 
problems is primarily a task for national, and local (municipal) and regional authorities. But 
there are areas where action at a Community level can assist the achievement of 
improvements in public passenger transport systems. For example, the establishment of 
effective Trans-European Networks depends in part on good reception points and links 
within European towns and cities. But these are frequently those most affected by 
congestion. Congestion and its effects reduce the quality of life and undermine the potential 
for creating jobs and for strengthening competitiveness. Sharing information and spreading 
the know-how about best practices and state-of-art technologies throughout Europe should 
be of immense benefit to the planning and implementation of transport policies at whatever 
level. 
8 Cross Sector Benefits of Accessible Public Transport by Fowkes, Oxley and Heiser, Cranfield, 1994 
8 
26. At European Union level, policv instruments such as R & D programmes, regional policies, 
technical harmonisation and Trans-European Network projects can contribute to improving 
public passenger transport systems in Europe and already do so in some areas. Taking 
account of how public passenger transport can contribute to economic, social and 
environmental policies will help give clearer guidelines for use of relevant Community 
instruments. Defining a coherent EU policy towards public passenger transport systems 
will give a clear guideline for use of the various Community instruments. 
27. Finally, the regulatorv framework on transport and related measures as already established 
by Community legislation, such as rules on market access, public services and state aids, 
is extremely important for the effectiveness of both national and regional/local transport 
policy measures and the decisions of transport undertakings and investors. The existing 
framework should be reviewed with a view to identifying options to improve its impact on 
the quality and the attractiveness of Europe's public transport systems. 
28. An EU framework which combines all these measures will guarantee the best overall effect 
of the thousands of private and public decisions necessary to develop public passenger 
transport systems. It would not only fulfil the subsidiarity requirements of the Treaty but 
also support implementation of this principle at national level. 
PART B: GOOD PRACTICES IN PASSENGER TRANSPORT PLANNING - DEVELOPING 
THE CITIZENS9 NETWORK 
29. Passenger transport in its broadest sense involves many different means of transport, or 
modes. The principle of a Citizens' Network is to integrate these different modes so that, 
as far as possible, the potential traveller will have a choice. The previous chapter set out 
a quality checklist for public passenger systems. This section considers this in more detail, 
starting with a brief look at how other forms of transport interact with public passenger 
transport and how integration might be improved with a view to promoting usage. It then 
considers other quality criteria, using examples of best practice from inside and outside the 
EU to illustrate what is already being achieved. The initiatives listed below have been 
implemented at a national or regional level, in some cases with Community support 
Walking 
30. The use of public transport (as well other transport modes) involves some walking, both 
at the beginning and end of the journey, and when changing between modes or vehicles. 
Planning should seek to minimise this "in journey" walking, as well as making 
environments such as metro stations, as user friendly and secure as possible. More 
generally, for the shortest journeys (of up to 3kms), walking offers a viable alternative. Bad 
traffic management, congestion and pollution are disincentives for people to walk in an 
urban environment, while in rural areas, lack of adequate footpaths may make walking on 
busy roads dangerous. Fear of crime or attack also plays a role. Clear segregation of 
traffic from pedestrians, and the trend towards pedestrianisation in towns and cities are 
positive developments, as are better lighting and more consideration in the design of 
residential areas to avoid enclosed areas. 
The bicycle 
31. Measures which better integrate the use of bicycles with public transport are particularly 
important as they significantly extend the distance which can be travelled. The bicycle also 
offers an alternative to the car for short journeys (eg below 8 km). Bicycles are compact 
and relatively fast, with average urban speeds of 15-25 km/h9, and there would be a 
significant environmental benefit if urban car journeys could be substituted by bicycle trips. 
The European Cyclists Federation (ECF), has drawn up a plan on how to promote cycling 
in urban areas, which focuses on better provision for cyclists both in terms of infrastructure 
and in shared road space. In the Netherlands there are Bicycle Centres at 80 railway 
stations. Operated by Dutch railways, these centres provide guarded parking, bicycle hire, 
repair, and sales.10 
" Cyklisthastigheder" Jensen, Copenhagen, 1988 
Bikes and Trains, a research project carried out by the European Cyclists Federation and funded 
by the European Commission 
10 
The powered two-wheeler 
32. The term pov/ered two-wheeler (PTW), covers powered bicycles, mopeds, and motorbikes. 
Sales of PTWs are increasing throughout the Union, with a trend towards being a leisure 
vehicle and, increasingly, a means of commuting. The primary advantage of PTWs in urban 
areas is their relatively efficient use of space and fuel. A 1992 report by the Commission's 
Motor Vehicle Emissions Group (MVEG), calculated that a PTW could carry out an urban 
trip in between 16 to 46 % less time than a car while using between 55 and 81 % less 
fuel11. Organisations such as the Federation of European Motorcyclists (FEM), and the 
International Federation of Motorcyclists, (FIM), have advocated a number of policy 
measures to facilitate the integration of PTWs into the urban transport chain, covering 
secure parking at Park and Ride facilities, traffic segregation, and the freedom to use bus 
lanes. 
quoted in FEM policy paper on measures to promote PTWs, Brussels, July J 995 
11 
The Taxi 
In some Member States taxis arc viewed as an integral part of public transport systems. 
In all cases, they are an important mode of transport for groups such as non car owners, 
the elderly, and the mobility impaired'2, and in some circumstances provide the most cost 
effective means of transport. Despite their importance, taxis tend to be under-used13. 
Possible reasons for this include the level of fares, (although a shared taxi can be cheaper 
than public transport), quality and accessibility of equipment as purpose designed taxis, 
such as Spanish and Swedish fully accessible taxis, and the British Black Cabs, are 
relatively rare. 
Measures have been taken to better integrate 
taxis into the transport chain. An innovative 
approach in the Netherlands is the Train-
Taxi Ticket, which, for the payment of a 
fixed supplement, of 5Hfl, allows the travel­
ler to transfer to a waiting taxi for the final 
leg of the journey. 
A Dutch Treintaxi waits at a railway station 
The Private Car 
14. Measures to more efficiently utilise cars tend to focus on improving traffic flows in general 
and on increasing vehicle occupancy rates for example through car-pooling and car-sharing. 
Actions to help the private motorist better cope with congestion are centred on developing 
transport telematics technologies within the framework of the broader Integrated Road 
Transport Environment (IRTE). Measures to increase vehicle occupancy rates also include 
schemes giving traffic privileges to vehicles carrying three or more occupants. A feature 
in operation in the United States, and on an experimental basis in Madrid, is the reservation 
of particular carriageways for high occupancy vehicles. Such schemes require a high level 
of observance, and enforcement of the rules. In some Member States, schemes have been 
started which use private cars to supplement public transport use particularly for older 
people. Other initiatives seek to promote car pooling, (several people sharing a car to a 
common destination) which will also assist the more efficient use of private cars. 
12 Improving Public Transport Attractiveness, DGXVII, April 1995 
13 Taxis, the neglected mode in public transport planning, Beuret, PTRC, 1994 
12 
INTEGRATED ELECTRONIC TRAFFIC MANAGEMENT 
(Munich) 
Since 1991 Munich and surrounding municipalities are gradually introducing a cooperative traffic 
management system largely based on electronic devices. Important elements are 
installation of information screens at stations and connecting points advising travellers on first 
best option to get to the destination 
inclusion of public transport alternatives in traffic information for drivers 
dynamic adjustment of information to individual travellers in line with given traffic flows 
construction of high-capacity park and ride facilities 
The system is supplemented by measures aimed at reducing the use of cars in the inner city ("Blue-
Zone") significantly. Innovative and attractive ticketing (jobtickets), partly co-financed by the 
employers (Siemens, BMW) has supported enhanced use of public transport means. 
An EU supported exchange of information on experiences made has been established with other cities 
(Amsterdam, Lyon, London and Dublin). 
Public Passenger Transport 
35. Throughout the European Union and outside it an enormous amount of work is being 
undertaken to promote public transport and allow it to realise its potential. Improvements 
cover the key areas of vehicles and rolling stock, system integration, information provision, 
quality of service, increased convenience, planning priority for public transport, and land 
use planning within an integrated policy approach. This list is not exhaustive, and there 
are many more examples of good and innovative practice that are not mentioned. 
36. The use of unsuitable equipment is a common cause of passenger dissatisfaction. This can 
be because vehicles or rolling stock are not easily accessible, too old, too cramped, or too 
dirty. Infrastructure such as shelters and turnstiles may be inadequate. Lack of accessibility 
is a problem for many passengers, and not just the disabled. The elderly, pregnant women, 
passengers with prams or small children, or bulky shopping, may all experience problems 
when using public transport. However, throughout Europe investments are being made in 
vehicles and rolling stock, with a new generation of midi, mini, and city buses being 
developed to serve once inaccessible areas or newly pedestrianised zones. 
13 
A low floor Service Bus, Aalborg, Denmark 
A highly manoeuvrable low floor city bus, running 
on clean diesel Bruges 
An electric city bus in Florence Using a low floor tram, 
Sheffield, UK 
37. In the light rail sector there has been something of a renaissance, pioneered by Grenoble, 
with cities and towns introducing or reintroducing tramways of ultra modern design, with 
a high level of accessibility. 
«*• 
The Manchester Metrolink annually 
carries J 2.5 million passengers, 20% 
of whom are elderly, and has 
replaced over a million car journeys 
per year into the city centre 
14 
Typical of the modern rolling stock 
used in France, a low floor tram in 
Rouen 
38. As well as vehicle standards there have been innovative approaches to better utilising 
existing systems, such as guided busways, and trams which can use railway tracks. 
Guided buses are conventional buses 
adapted to run on a dedicated 
busway. They can operate as 
standard buses on normal roads. 
Their advantages over bus lanes are 
that they only require a 2.6 m right 
of way, rather than 3.5m for 
conventional buses, and other traffic 
can by physically prevented from 
entering the bus ways. 
A guided bus beats congestion in Leeds 
System Integration 
39. Potential users of collective transport may be discouraged if a journey which involves 
changes of mode or within mode, for example bus to tram or bus to bus, also involves 
long waiting times, because schedules are not synchronised, or buying additional tickets, 
because fares systems are not integrated. Projects carried out in Norway,14 and a study in 
Sweden,15 show that out-of-vehicle waiting time is viewed up to 3 times more negatively 
than in-vehicle waiting time. 
40. System integration aims to bring together all the public passenger transport modes into 
a common operating environment. The principle is that the different modes: tram, 
suburban train, metro, bus, operate within a network. The tliree most important elements 
of an integrated system are co-ordinated timetables, through ticketing, and multimodal 
terminals. ; 
14 Norwegian Trial scheme for public transport, Oslo, 1993 
15 Algers and Wildert, 1987 - quoted in Factors influencing modal choice, Rotterdam Transport, 
September 199/ 
15 
Timetables 
41. Co-ordinating the timetable is vitally important. The need to change mode should be 
reduced as much as possible, but where it is unavoidable the time spent waiting for the 
next vehicle should be kept to a minimum. There is the all-too-familiar scenario of one 
form of transport leaving its stop just as another, carrying connecting passengers, is 
arriving. 
A simple and effective means of overcoming this problem is in operation in Graz, 
Austria, where a signal announces to a waiting bus if an approaching tram is within 
a few minutes of the stop, thus allowing the bus to slightly delay its departure. 
42. Where the system is managed by a single organisation coordination is simplified, 
however coordination can of course be carried out between different operators, including 
those operating across national borders. 
Two operators on either side of the French - Swiss border, Annemasse and Geneva, 
have signed an agreement harmonising the arrival and departure times of 
connecting services. 
Tickets 
Fare systems are often complex and the method of payment too restrictive, for example, 
allowing only prepaid tickets, not available on the vehicle, or requiring exact fares. An 
integrated and harmonised ticketing system makes travelling easier for passengers as they 
are able to purchase a ticket at the start of their journey which is valid throughout. 
Where such systems have been introduced, this has also been accompanied by increases 
in use of public transport. 
VEFT'OERVpORWAARDEN 
STADS- EN sf REEKVERVOER. 
The Dutch "Nationale Strippen Kaart" is 
available with 2, 3, 15, and 45 strips, each 
of which equals a zone, the more zones 
passed through the more strips used and is 
valid throughout the whole country. 
16 
Carte Orange, introduced in Paris 1975 
and covering all modes. Bus patronage 
increased bv 36%. Travelcard, introduced in London in 
1982, and valid on tubes, buses and 
rail services increased public 
transport usage by 16% at a time of 
decline elsewhere. 
.2 Umweltkarte nirï 
en 
oo 
o 
CO 
O 
R2 Muster 
APR. 9 3 .o 1 An example of a card covering a region is 
the Freiburg "Regional Environment Card" 
which allows passengers to travel 
throughout the region on 14 différent 
companies, and during the weekend, for it/1 
to two adults and four children to travel on 
a single card. 
Monatskarte persdnfic 
The most simple cards contain a fixed 
value or number of trips which decreases 
with use. More complex "Smart Cards" 
contain memories which can differentiate 
fares depending on, for example, distance 
travelled or time of day. In addition to 
allowing for precise allocations of 
revenue between different operators, 
advanced ticketing is a valuable 
management tool as it provides precise 
information on how the system is being 
used and allows it to be more responsive 
to customers needs. For example, it can 
tell the operator if a particular service, 
or part of a service, is heavily used at a 
particular time of day, or on a certain 
day, enabling them to plan for extra 
services to cover this period. I0RJTTEN 10-VOYAGES 
M o e I j I g e s I e m p e I d warden t> • i h e l 
begm vjn de rit en telkens men een 
bovengronds ri|dend voertuig • nst.ipt of 
de.gecontrolee'de ;onp v,in een station 
bctreedt 
voo< de meerniienkaart contrôlées net 
afstempeltoesîel de geldighe>d van de 
overstap en annuleert slechts een 
bi|komende rit als de geld.ghfidsduur 
verlopen is 
A oblitérer Ju debut du voyage et lors 
de chaque montée dans un véhicule de 
surface ou entree en station au 
franchissement de la zone contrôlée 
Pour les cartes à voyages l'oblitérateur 
vende la validité de la correspondance 
et n annule un voyage Supplémentaire 
que si le délai de validité est dépasse 
MULTISERVICE PAYMENT CARD: 
DUBLIN 
Under the EU funded GAUDI telematics project, 
(Generalised and Advanced Urban Debiting 
Innovations), Dublin is trailing a multi-service 
payment card which can be used for public transport, 
parking charges, and telephone calls, public transport 
trips, and time in car parks. The card automatically 
debits units dependent on the service used. 
17 
44. An example of an integrated tariff can be found in the Rhcin-Main Verkehrsverbund. 
Created in May 1995, 115 operating companies and 150 fare structures covering 4.9 
million people over an area of 14000 square kilometres, were merged into a single 
operational area with a single ticketing system and a single fare structure. A difficulty 
with tickets which cover more than one operator is knowing which services were used, 
and how to divide the revenues. To facilitate revenue splits more and more operators are 
turning to Advanced Ticketing Systems which make use of microelectronics. 
Multimodal terminals 
45. The creation of an effective Citizens Network is crucially dependent on integration of 
transport modes - between public transport systems, but also pedestrians and private 
vehicles (the car, PTW, and the bicycle). Multimodal terminals, or transport 
interchanges, allow for the speedy and easy change between these different modes. The 
simplest form of a multimodal terminal is the Park-and-Ride, which allows for the 
interchange between the private car and public transport. Ideally such facilities should 
offer secure, covered parking for bicycles, thus enabling cyclists to fully utilise public 
transport. A more comprehensive multimodal terminal currently under construction is 
La Defense in Paris which will integrate urban, suburban and regional buses, metro and 
RER, (the high speed regional metro), suburban trains, private cars, taxis, tourist coaches, 
and, eventually, the TGV high speed train. In both cases the principle remains the same: 
providing a quality, accessible environment where the transfer between transport mode 
can be made easily and quickly. 
Information 
46. If transport systems and services are to be used effectively, it is essential that people who 
need to travel are kept informed about what is available in terms of transport choices and, 
when they are using the system, kept up to date on the progress of their journey and of 
the choices and changes they may need to make. Real time information on arrivals and 
departures is the norm at airports and recent technological developments, particularly in 
the field of telematics and telecommunications (the information society), have created 
the scope for achieving major improvements in providing timely customer-friendly 
information for the urban transport user. For example, there are systems which allow the 
time of arrival of trams and buses to be predicted and displayed at stops, or to advise car 
drivers of available parking spaces at a transport interchange. 
Looking for a parking place in Madrid 
18 
47. There are already systems operating in most Member States which provide real time 
information on public transport via teletext, minitel, and local radio, or at user friendly 
computer terminals installed at transport interchanges. But the provision of information 
need not always be state of the art technology, the simple measure of naming bus stops 
allows users unfamiliar with the system to orient themselves better, and can be combined 
with on vehicle information such as on Berlin bus route 100, where information on final 
destination and next stop is displayed automatically on the bus. Operation Assistance 
Systems (OAS), such as in operation in Barcelona allow for constant communication 
between vehicles, users, and the control centre. This allows controllers to take account 
of unforeseen delays and inform passengers both on the vehicles, by public address 
systems, and those waiting at bus stops, by alpha numeric displays. 
Door to door service 
48. Choice of transport will be determined largely by the quality of service offered. For those 
who have a choice, public transport is often considered to be only a second best to the 
private car. One of the primary advantages of the car is its ability to provide door to door 
service (insofar as parking is available). Public transport may never equal this flexibility, 
but measures can be taken to increase its ability to compete on convenience. Some 
operators now arrange for taxis to interchange with night buses or even operate the 
service with taxis, and in the Hamburg suburb of Wedel, night buses will, on payment 
of a small supplement, stop directly outside passengers' homes, even if this involves a 
route detour. In residential areas, often served by minibuses, the bus will follow a set 
route, but stop on demand. The system is known as Hail and Ride, and may feature 
buses adapted for the mobility impaired. 
Giving planning priority to public transport 
49. In urban conditions it has to be recognised that, whatever measures are taken to improve 
public transport, these are unlikely to be adequate to reduce congestion to levels 
permitting optimal use of equipment so long as the system is heavily weighted in favour 
of the private car. We now consider some so called push measures designed to place 
public transport in a more competitive position. 
Reserved lanes for public transport 
50. Bus lanes or reserved tramways allow public transport to avoid the congestion caused by 
other traffic, which has important effects for promoting public transport. 
19 
Priority at traffic signals 
51. By allowing public transport vehicles priority at traffic signals they can make 
considerable gains in time and, more importantly, keep to their timetables more 
effectively. The simplest system is a magnetic loop built into the road which is activated 
as the vehicle passes over it and changes, for example, a traffic signal to green. A more 
complex system uses infra red and is known as Selective Vehicle Detection. Vehicles are 
fitted with transponders which talk to the traffic signals. A green signal can be held open 
or a red signals time shortened. Where vehicles are turning a filter light can be activated 
allowing the bus to run against coming traffic. Where bus lanes exist even greater time 
savings can be obtained by an extra set of traffic signals ahead of the junction and 
reserving areas for public transport vehicles. 
Restricting car access 
52. Some measures to give priority to public transport also have the effect of restricting 
access for cars. Many towns have banned cars from central zones freeing the space for 
public transport. Many towns which have not banned cars have nevertheless restricted 
available car parking space in the central zone. Ideally this should be linked to the 
provision of Park and Ride facilities in the outer zone. 
Land use planning 
53. Land use planning can help to increase access to locations and facilities but reduce the 
need to travel. Businesses and other activities can be concentrated in areas well served 
by public transport. Distances between, for example, residential areas and shops and 
schools can also be reduced. For example, at a national level, the Netherlands has a 
policy of "The Right Business in the Right Place", better known as ABC, aims "to ensure 
that businesses and services with a high potential of public transport utilisation by 
employees and visitors are sited on locations which are easily accessible, or can be made 
easily accessible, by public transport". 
In the ABC system locations are classified 
according to their accessibility. 
A = good access by public transport, eg 
near public transport termini. Car 
commuting no more than 20% 
B = good access by public transport and 
car, eg near ring roads crossed by major 
public transport corridors. Car commuting 
no more than 33% 
C = Good access by road, eg alongside 
motorways. No limit on cars. 
Business and services are classified according to their mobility profile which takes 
account of number of employees and visitors, dependency on road freight, dependency 
on car traffic. Shops and offices are located in A or B, transport based activities in C 
The development of out-of-town shopping centres in C areas is not permitted. 
20 
54. In the United Kingdom, 1994 planning policy guidance to local authorities underlined the 
need to "address...the role of land use planning in reducing the need to travel and 
encourage...use of means of transport other than the car.."16. At the same time there has 
been a move away from granting planning permission to out-of-town shopping 
developments. On a more local scale, the cities of Bremen and Edinburgh are both 
planning residential developments which will have no infrastructure for cars, while 
Portland in the USA is often given as an example of an integrated approach with its 
policy of favouring public transport, siting businesses next to public transport terminals, 
and restricting car parking. 
INTEGRATION OF TRANSPORT AND LAND-USE PLANNING: 
PORTLAND 
Portland in the State of Oregon, is part of a greater metropolitan area of 1.4 
million people. Decentralisation of employment and population in the 1960's and 
70's led to sprawling suburbs, a derelict city centre, and social problems. To 
tackle urban sprawl, protect rural areas, and conserve energy, the State set up a 
Commission with special powers. Its aim was to reduce reliance on the car which 
was causing increased problems of congestion, noise and pollution. In downtown 
Portland high density housing was built to increase the resident population and 
measures to make the area more pedestrian friendly were undertaken, including 
replacing a riverside motorway with an esplanade, stringent parking restrictions, 
and the provision of free public transport in the central area using anew light rail 
system. New road schemes have been scrapped in favour of new public transport 
lines. The result has been a revitalised city centre with 30.000 more jobs, and 
40% of commuters using public transport. As a measure of their commitment to 
the policy, the Department of Transportation for the State of Oregon recently 
moved to new offices in Portland which have no car parking spaces, but are well 
served by public transport. 
16 Greening urban transport - Land use planning, T&E, October 1994 
21 
PART C: THE EUROPEAN UNION'S ROLE 
55. The previous part looked at various best practice examples at a national, local and 
regional level. In this section, the paper considers those areas which affect public 
transport where either Community action might be appropriate or where there is already 
action at Community level which has a bearing on public transport. 
CHAPTER I: DISSEMINATING KNOW-HOW AND SETTING TARGETS 
56. Numerous good practice examples indicate the value of sharing information. Various 
institutions, authorities and associations have already started to organise a systematic 
sharing of information for those who run and use public passenger transport systems. The 
EUROCITIES-initiative is an example of a concerted initiative of European cities aimed 
at cross-border sharing information on best practices in fields such as transport. The 
POLIS-network and the Urban Transport Telematics Forum have proven to be useful 
instruments for sharing information. The Car Free Cities organisation, created in 1994, 
bring together over 50 European cities to work on measures to improve urban mobility 
while respecting the environment, and the European Federation for Transport and the 
Environment (T&E), groups 25 Non Governmental Organisations from 15 countries, all 
specialising in transport and environment issues. 
57. Some Member States regularly organize exchange of information with operators and 
public authorities on passenger transport. The European Conference of Ministers for 
Transport (ECMT) is monitoring developments in this area. However, such expert 
conferences and studies are not always followed by improvements in the day to day 
experience of the travelling public. The regularity and completeness of information 
exchange on options to improve existing systems can also be improved. 
Working towards a higher profile on the political agenda 
58. The Commission believes that the issue of improving public passenger transport should 
be much higher on the policy agenda. It wishes to promote a better exchange of 
information and follow-up at European level. Users'17 interests also need to be 
represented more strongly in these discussions. The Commission will consider how best 
users' views might be represented, including the appropriateness of supporting 
information networks for groups of users with particular needs (e.g. older people). It is 
also working on the integration of consumer policy into other areas including the 
transport sector. 
17 The terms "users" and "passengers" - which are in common use in the transport sector - in this paper 
mean consumers as defined in Article 129a of the Treaty. 
22 
59. Existing frameworks for sharing and spreading information could be improved and 
supplemented to ensure that existing know-how (and know-how not) is more widely 
available. Such a framework should not prepare uniform mandatory solutions but should 
promote awareness of different approaches. It might also consider whether (voluntary) 
targets on issues such as reducing pollution, improving journey times, passenger 
consultation, enhancing system accessibility and increasing public transport ridership 
would be useful. The European Parliament, the Council and other EU-institutions 
should play an important role in setting and promoting any such targets. These targets 
could assist operators and transport planning authorities when seeking political support 
for measures required to achieve them. Criteria for land use planning to enhance 
accessibility and reduce the need to travel should also be covered. Similarly, 
establishment of criteria for a transport systems quality rating could help to promote 
accessibility and higher quality across the European Union through voluntary measures. 
The Commission intends to examine the feasibility of such a quality rating and to 
consider whether it could form the basis for an award scheme open to all European towns 
and cities whose transport systems met a high quality standard. 
60. Systematic availability of information for planning and operating passenger transport 
systems could be improved by consolidation of existing data-bases on R&D and the 
results of practices and experiences made in the European Union and beyond. The 
Commission, therefore, intends to cooperate with research institutes and national and 
regional transport planning authorities to develop complete data-bases easily accessible 
for transport planners and operators. 
61. Existing rules on the terms of carriage and liability are examples where gradual 
consensus building on minimum standards could pave the way for progress. Promoting 
quality enhancements to the transport system could also be supported by awarding 
imiovative practices of operators or planning authorities on the basis of recognized 
criteria. 
62. Practical ways of improving dissemination of information and consensus-building on 
targets be achieved will be discussed during a "Citizens' Network Forum" which the 
Commission will convene during 1996 as a part of the consultation process. This forum 
will give interested parties - including passengers - and public authorities responsible for 
public passenger transport systems an opportunity to explore how knowledge could be 
better shared and how the needs of users can be better communicated to those making 
decisions about transport systems. Further steps will be decided in the light of the 
outcome of the forum. 
23 
CHAPTER II: ALIGNING R&D PRIORITIES WITH USER NEEDS 
63. The Community's Fourth Framework Programme in the field of research, technological 
development and demonstration, includes a specific programme for transport. From 1995 
to 1998, some 240 MECUs will be spent on research into transport network improvements. 
Strategies to promote sustainable mobility will also be addressed in a horizontal programme 
covering strategic research. The research in the urban transport sector will cover a variety 
of research and demonstration activities in the fields of transport management, strategies 
for promoting modal shift and pricing and financing. 
Existing Research Programmes 
64. The Commission has been particularly active in the area of using telecommunications and 
information technologies known as transport telematics (in particular in funding the 
DRIVE I and ATT programmes). There are pilot tests currently running in more than 50 
cities. The programme has concentrated on seven areas of operational interest, six of which 
made a significant contribution to the applications and techniques which will be needed to 
improve transport in the European cities of the future. 
65. The specific Telematics Applications programme within the Fourth Framework Programme 
has a budget of 205 MECU for transport issues and will continue and consolidate the 
research of earlier programmes. The POLIS network of over 40 cities and regions 
interested in the introduction of transport telematics for solving transport and environmental 
problems has been co-financed by the Commission. This co-operative venture aims to 
introduce new technology to help solve problems of urban mobility. 
66. The European COST Transport programme has coordinated studies on propulsion systems, 
alternative fuels, energy use, demand in interregional transport, low floor buses, urban 
goods transport and the complementarity between High Speed Rail and air transport. A 
new action is under consideration regarding cross-sector benefits of accessible public 
transport. 
67. The achievements to date in step-free access have demonstrated the need for the whole 
transport chain to be accessible. Certain national developments of low-floor buses resulted 
in the launch of the COST 322 research project to produce a cost-benefit analysis of low 
floor buses in order to define criteria or specifications for vehicles and bus-stops, especially 
for people with reduced mobility. Finland, France, Germany, Hungary, Netherlands, Spain, 
Sweden, Switzerland and the UK participated and - thanks to their participation in the 
project - have become world leaders in the successful development and operation of low 
floor buses. 
68. The success of the COST project on low floor buses has led to the launch of another COST 
project on transport for people with reduced mobility: COST 335 on accessibility of heavy 
rail systems. This project aims to draw together best practice in providing for the needs 
of disabled and elderly people in all aspects of rail travel and, where appropriate, to 
recommend best design practice. It has implications for any (potential) passenger with 
luggage, and implementing its recommendations should significantly improve access to 
railway systems. Both COST 322 and COST 335 emphasize the importance of staff 
qualifications and training. 
24 
Research Task Forces 
69. A series of R&D Task Forces was launched early 1995. Its aim is to coordinate the 
research activities of the Commission, the Member States and industry to maximise the 
impact of research on the competitiveness of European industry and make R&D support 
more transparent for European citizens. The output of this initiative will be the definition 
of common projects of industrial interest which at the same time are in line with the 
priorities of the Common Transport Policy. Task Forces of relevance to the "Citizens' 
Network" are the Car of tomorrow, Trains and Railway systems of the future and 
Transport Intermodality. 
70. The ^transport intermodality" task force brings together users, transport operators and 
suppliers, authorities and infrastructure providers. Its aim is to contribute to the 
development of technologies, systems, innovative concepts and strategies which improve 
the intermodal transport operations in the field of passengers and freight transport. It will 
focus on stations, ports, airports and inland terminals where freight or passengers change 
transport mode, and on other aspects of the intermodal system such as transfer technologies 
and telematics tools. 
71. The work of the task force will be implemented through an action plan which will identify 
the needs, priorities and actions to be addressed at the European level, from RTD, 
validation and demonstration, through to acceptance in the market place of a new 
generation of transfer points and facilities. The action plan will also identify the 
performance, environment and efficiency targets for a series of projects and a time scale. 
It will set up the basis for demonstrations of best available technologies and strategies. 
Technological bottlenecks in single mode technologies and organisational questions will be 
addressed in order to make interconnection and interoperability work. 
Support for first large scale applications 
72. First time application of the results of research can face organisational, institutional and 
financial barriers. Therefore, the Commission will consider how the bridge between 
research and development and practical application at the market place could be improved. 
In some areas, Community involvement in planning, implementation and sharing financial 
risks may help create a "critical mass" for new concepts. For example, by the promotion 
of multi-modal through ticketing systems in a cross-border context. 
Technical regulation, standardisation and dissemination 
73. Research activities and the experiences with first applications will provide a solid basis for 
the best use of new technologies and other methods for improving the transport system. 
In the course of this work, the research should highlight "best practices" and "required 
standards". The work should also inform future development of the regulatory framework, 
including technical regulation and standardisation. Regulatory implications should, 
therefore, be included as a horizontal topic in all RTD activities. In addition to informing 
the regulatory process at European level, the results of research should reach all those 
involved in transport policy making (including the Member States, international institutions, 
research institutes and industry). Results should also be presented in an understandable way 
to the general public. The Commission is developing an overall dissemination policy, that 
will be applicable for all Fourth Framework RTD programmes. 
25 
CHAPTER III: MAKING COMMUNITY INSTRUMENTS EFFECTIVE 
74. Many Community policy instruments have an impact on public passenger transport systems 
and effort is needed to ensure that, where possible, they encourage the improvement and 
use of public passenger transport. 
Trans-European Transport Networks and "Citizens' Network" 
75. A major priority for the European Union is the establishment of Trans-European Transport 
Networks (TENs) "to enable citizens of the Union....to derive full benefit from the setting-
up of an area without internal frontiers" (Article 129B,1 of the Treaty on European Union) 
and for "promoting the interconnection and interoperability of national networks as well as 
access to such networks. It shall take account in particular of the need to link island, 
landlocked and peripheral regions with the central regions of the Community". Guidelines 
for the network development are currently being discussed by Council of Ministers and the 
European Parliament18. 
Interconnectivity long-distance/short-distance public transport 
76. Implementation of the TENs has initially focused on long-distance (cross border) 
infrastructure projects. However, for TENs to maximise their benefit to ordinary citizens, 
the interface between long distance systems and regional/urban networks must be improved. 
77. A Community objective is to encourage the creation of "individualised collective transport", 
that is a system which meets the needs of the individual traveller within the framework of 
an integrated collective transport system. There is scope for improving interconnectivity 
between modes, in particular in the physical design of interchange points (stations and 
airports) and the creation of integrated information and ticketing systems spanning the 
whole of the journey. 
78. A key element in ensuring the success of the "Citizens Network" is to integrate the needs 
of local travel into the planning of TENs infrastructure projects. As far as the rail TEN is 
concerned, the high speed rail network, airports and urban transport should be integrated 
further together. TENs design should reflect the need to promote public transport. Greater 
emphasis would then be placed on the interchanges between systems, on joint information 
networks and other actions to put public transport on a better basis in relation to the private 
car. 
79. Ensuring the best interface between long-distance and local travel will be crucial if the new 
Treaty provisions on the TENs are to be fully effective. The Commission will, therefore, 
seek to promote projects which will improve the interconnectivity between trans-European 
links and transport systems at national, regional and local level in applying the TENs 
guidelines. All passenger transport projects submitted for TENs-support will have to be 
assessed from this point of view and the results will affect the allocation of financial 
support. The Commission will monitor this area and consider whether the concept should 
be developed further. 
18 COM(94) 106 of April 1994, at present in second reading in the European Parliament. 
26 
Regional policy 
80. The structural funds.of the EU and the Cohesion Fund provide significant amounts of aid 
towards transport infrastructure and management in eligible regions and Member States. 
In particular the Cohesion Fund will dedicate over 8 bn ECU (about 5,0% of its global 
allocation) during the period 1993-1999 to transport infrastructure including aid to several 
TEN priority projects, railway development, port improvements and aid for traffic 
management systems in the four Member States concerned, namely Greece, Ireland, Spain 
and Portugal. The ERDF also provides substantial aid to transport infrastructure (road, 
railways, ports and airports) in the context of the objective 1 Community Support 
Frameworks both for improvements of infrastructure at the national level as well as at the 
regional and local level through the relevant operational programmes. In addition to the 
Community Support Frameworks and the Cohesion Fund activities, which essentially co-
finance the development programmes of Member States, several Community initiatives such 
as INTERREG and URBAN contribute to the resolution of transport problems in the 
context of cross-border cooperation and tackle specific urban imbalances. 
81. In the above context, the Commission in partnership with Member States contributes to 
improving public transport systems. The funds available are mainly destined for the finance 
of public infrastructure works which provide the citizen with better means of transport 
rendering the peripheral regions more accessible and also contribute to the resolution of 
sometimes acute congestion and environmental problems in the eligible areas. 
82. Regional policies and the Cohesion Fund interact with transeuropean networks (TENs), in 
particular as far as the planning level is concerned. The contribution of Cohesion policy 
to public transport is important nevertheless and the development of public/private 
partnerships is being examined in order to maximise the benefit for public transport users. 
83. Working towards an integrated "Citizens Network" should contribute to a significantly 
enhanced system integration and intermodal approaches to constructing new transport 
infrastructure. While respecting the existing legal framework and eligibility criteria of 
Cohesion instruments, the accent should be put on Community co-finance for projects 
containing integrative intermodal features. 
Energy policy instruments 
84. Improved public passenger transport systems will contribute to a reduction in energy 
consumption. Better use of energy can also reduce the costs of public passenger transport. 
In the transport sector, the THERMIE programme has concentrated on measures to improve 
the overall efficiency of collective transport systems, promoted the use of innovative and 
cleaner energy sources, hybrid propulsion and has demonstrated their application in real 
market conditions. Other Community programmes have promoted use of alternative energy 
sources such as compressed natural gas to power buses. 
85. The SAVE programme aims to increase energy efficiency in the EU. In the period 1991-
1995, 31 pilot projects improving energy efficiency of goods and passenger transport mainly 
in urban areas have been supported. The new SAVE II programme includes action for 
energy management in regions and cities, which will contribute to the creation of energy 
agencies. Local agencies aim, among other things, to improve public transport systems so 
as to reduce energy consumption, C02 emissions and to improve the quality of life in cities. 
27 
Telematics technology 
86. The new telecommunication and information technologies (which are part of the 
Transeuropean Network) offer major opportunities for improving both individual and public 
transport. Traffic management and information services can provide essential decision 
making tools by supplying high quality information from easily accessible data-bases. 
Research has already indicated areas where this might be used. Projects will continue under 
the 4th Framework Programme focusing on large-scale validation and demonstration of 
developed transport telematics systems. Important resources are now made available though 
the Transeuropean Transport Network provisions. (Guidelines also exist to coordinate the 
implementation of the telematics tools). 
87. Telematics enables the public passenger transport operator to monitor the traffic situation, 
both in terms of network congestion, occupation rate and minor waiting time for the 
passengers. Monitoring to ensure safety is also possible. The Global Navigation Satellite 
System (GNSS) is also being developed and will provide a positioning service for trams, 
buses and trains. These systems will also provide information to private car users and 
should be of use in general traffic management. The resulting reduction in congestion 
should be of significant benefit in reducing public transport journey times. 
The Information Society 
88. As outlined in the Commission's Action Plan on "Europe's Way to the Information 
Society", establishment of a legal framework on issues such as standardization, 
interoperability, tariffs and data security is essential for promoting applications. Progress 
in this area will support effective use of telematics in transport. 
28 
CHAPTER IV: MODERNIZING THE REGULATORY FRAMEWORK 
General 
89. European Union measures directly addressing access to the provision of public passenger 
transport services have focused on liberalising long distance services, for example, air 
transport and coach services.19 This liberalisation is generating encouraging results. The 
number of air and coach services has increased and the networks have been extended. The 
competitive environment promotes choice and value-for-money for users. The Commission 
will bring forward proposals to develop the legislative system further and in particular, 
proposals concerning the provision of non-regular coach services and access of non-resident 
carriers to coach services will be presented. However, the extension of open market access 
to all public passenger transport services would imply far reaching consequences for the 
overall attractiveness of systems. Therefore, policy options to ensure that wider transport 
policy goals are met must be safeguarded when developing further the regulatory framework 
taking into account the variety of national approaches to this fundamental issue. In 
particular, there should be further consideration of the notion of public service obligations. 
Ideally, public transport should be accessible, affordable and available to all citizens. 
Financial and technical considerations may constrain this, but the Commission believes that 
this goal is important and worthy of debate, especially in the context of further 
developments in the regulatory framework. 
Criteria for modernizing the regulatory framework 
90. A regulatory framework which ensures the fulfilment of transport planning requirements 
including system integration and built-in incentives for efficient service provisions should 
be identified. First the underlying objectives should be defined and be compatible with the 
quality checklist for the "Citizens' Network". They are: 
to encourage increases in use of public transport; 
to encourage system integration and fulfilment of public service requirements; 
to establish incentives for service providers and planning authorities to improve 
accessibility, efficiency, quality and user-friendliness of public passenger transport 
systems; 
to promote financial conditions required for making public transport services more 
attractive, both for public and private investors; 
to ensure minimum requirements in respect of the qualification of staff, thus 
guaranteeing high levels of reliability, safety and security; 
to safeguard flexibility in relation to specific national, regional and local priorities 
and the particularities of national legal systems. 
EC legislation which has a bearing on public transport should aim to assist public transport 
systems to meet these criteria. 
19 Council Regulations (EEC) 2407/92, 2408/92 and 2409/92 , O.J. L 240 of 24 August 1992; Council 
Regulation (EEC) n° 684/92, O.J. 174 of 20 March 1992; Council Regulation n 2454/92, O.J. L 251 
of 29.08.92 
29 
Market Structures 
91. In the area of urban and regional passenger services public transport systems are often 
publicly planned, owned and operated. This allows for direct implementation of measures 
to achieve transport policy goals. But such a structure is often accompanied by a lack of 
managerial incentives to respond to the needs of passengers, to improve the quality or the 
cost-effectiveness of operations and thus fails to meet some of the quality criteria set out 
above. 
92. At the other end of the scale, complete deregulation of access to the provision of public 
passenger services has increased cost-effectiveness. However, very often this approach 
implies a reduced scope for integration of systems. As a result, full deregulation, where 
applied in the area of urban transport, has not halted the decline in use of public transport. 
93. In an attempt to better balance fulfilment of public service requirements and built-in 
incentives for quality and cost improvements, various public authorities appear to have 
achieved positive results by tendering concessions20. Contracting public passenger transport 
services on the basis of tendering concessions for a limited duration instead of granting 
them ad personam establishes a competitive environment without compromising the 
achievement of predefined transport policy objectives. Furthermore, this approach offers a 
means of attracting private finance without disrupting existing systems. The Commission 
will consider how tendering concessions for the provision of urban and regional passenger 
services might be promoted. 
Public procurement rules 
94. With the increased use of tendering concessions, the implications for the Union's public 
procurement legislation should be examined. The present Community legislation on public 
procurement applies to three core areas: supplies, works and services21. Public undertakings 
and enterprises that operate networks providing a service to the public in the field of 
transport by railway, automated systems, tramway, trolley bus, bus or cable, on the basis 
of special or exclusive rights granted by a competent authority of a Member State fall under 
a specific sectoral Directive (93/38) which leaves in practice free choice of procedures for 
awarding contracts: to open-tendering, restricted tendering and negotiation of contracts. 
95. However, neither the granting of concessions for public passenger transport services nor the 
granting of special or exclusive rights for the operation of networks providing a service to 
the public in the field of passenger transport are covered by the Directives mentioned at 
point 94. Therefore, there is room for: 
improving the quality and cost-effectiveness of transport operations by more 
systematic tendering of concessions; 
promoting public-private partnership for an industry with high investment capital 
needs; 
improving integrated solutions to transport problems by means of using public 
procurement instruments. 
20 see descriptions of innovative case studies in annex A 
21 see Council Directives (EEC) n° 93/36 (supplies), 93/37 and 92/50 (services) 
30 
96. Contracting concessions for public passenger transport on the basis of transparent, Europe-
wide public tendering might assist the fulfilment of these objectives. However, this has to 
be done in a way which supports transport policy objectives including the need for system 
integration: criteria used for the identification of the economically most favourable offer 
should provide sufficient scope for safeguarding quality requirements. This requires a 
specification that would promote the inclusion of specific quality criteria such as system 
accessibility standards for rolling stock, integration of operations, security aspects and 
minimum qualifications of staff. It should also safeguard the option of adjusting, within the 
framework of a given concession, existing networks in line with market needs without the 
obligation to tender such adjustments. 
97. Specifications attached to the invitation for tenders should aim to encourage increases in 
ridership, improving the cost-effectiveness and quality of the operations. Therefore, 
operators rather than the awarding entities should primarily benefit from lower than 
expected operating costs and higher than expected revenues. Implementation of this is 
made easier by new ticketing technologies (smart-cards) allowing for a precise allocation 
of revenues among different operators. 
98. Finally, the system should encourage private capital investments in the hardware required 
for running transport systems (for example, stations, terminals and the rolling stock). 
Particular consideration should be given to the procedures which might apply where 
integrated systems are tendered which cover works, supplies and services within the 
framework of public/private partnerships. 
Public service requirements 
99. It is generally recognized that in the transport field market forces alone do not ensure in all 
situations the level, coverage and quality of transport service provision required for 
fulfilment of essential economic, social and regional policy goals. This is particularly valid 
in the field of urban and regional public passenger services. Therefore, irrespective of the 
ownership of operators, public authorities must have room to safeguard fulfilment of public 
service requirements. 
100. Regulation n° 1191/69 and 1893/91 define the meaning of the notion of public services as 
established in Article 77 of the Treaty. They distinguish between long-distance surface 
transport services for which fulfilment of public service requirements in the form of legal 
public service obligations shall be abolished and urban/regional passenger services for which 
public authorities may continue to impose such obligations upon public transport 
undertakings if they choose to opt out from the general contracting rule. Superficially, the 
possibility to establish public service obligations offers the best option for ensuring 
fulfilment of pre-defined public service requirements. However, practice has shown that 
regulating public transport services by means of imposing obligations upon undertakings 
without directly related financial compensation has serious side-effects because of the lack 
of financial and managerial incentives to improve services and to render them more 
efficient. Therefore, the Commission intends to review the scope of this general derogation 
with a view to ensuring that it meets its objectives more effectively. 
31 
"Citizens' network" and passenger services by rail 
101. The principles for the provision of rail services were established by Council Directive 
EEC/91/440 and are: to ensure managerial autonomy from governments; to separate rail 
operations from the provision of infrastructure; to improve the financial standing of rail 
companies; and to open-up access to rail infrastructure. The Commission's recent 
communication on the implementation of Directive 91/440 contains proposals to develop 
the system including further liberalisation of access to the provision of cross-border 
passenger services by rail. However, policy requirements for interregional and intra-
conurbation (urban) rail transport differ considerably and require a separate assessment, 
taking into account the needs of integrated traffic planning (i.e. coordination with other 
modes) and public service requirements. 
102. Some Member States such as Germany and France have started to establish a specific 
regulatory scheme for this part of the railway business. For example, the German authorities 
decided to shift the regulatory authority for regional rail passenger services from central 
bodies to regional governments ("Regionalisierung"). This decision was accompanied by 
major financial restructuring22. 
103. This type of innovation may offer a means of better reconciling rail service provision with 
local/regional needs for example, integrated multi-modal transport planning and improved 
communication with passengers. It also creates the conditions for finetuning liberalisation 
of access to commuter and regional rail passenger services in line with urban and regional 
needs. This could be an important insurance against across-the-board approaches which 
might favour trunk routes and discriminate against regional needs. The Commission will 
monitor these developments and will consider whether specific action to promote access to 
regional rail passenger services is desirable and appropriate. 
22 
see annex A 
32 
CHAPTER V: IMPROVING STANDARDS 
104. The Community's role in promoting improved standards by means of dissemination of best 
practice and in funding research has already been covered in this paper. The Community 
also has an established role with respect to the regulatory framework in relation to 
standards. 
A particular concern: Transport of people with reduced mobility 
105. Some 80 million people across the European Union have some form of mobility impairment 
which makes access to public transport systems more difficult. The long-term aim of the 
Commission and of associations of transport authorities and operators is to ensure that 
public transport is accessible for all. 
106. The findings of the European COST project on the accessibility of heavy rail systems (see 
point 68), with the ECMT/UIC Guidelines for Improved Access to Trains, will form the 
basis of a Council Directive on the approximation of the laws of the Member States relating 
to railways. (This has been announced in the Commission's Action Programme on 
accessible transport.) Other Council Directives will be proposed for bus and coach 
construction standards (see below) which will incorporate the findings of the COST 322 
research on low floor buses and on aspects of accessibility to and within airports and 
aircraft (based on ECAC Document No. 30). 
Rules for transport equipment 
107. The scope for improving the quality, security and efficiency of public transport is partly 
defined by the regulatory framework for transport equipment. Rules on technical 
harmonisation of equipment and on environmental standards are of particular importance. 
108. On technical harmonization, the Commission is preparing a Directive on construction 
standards for buses and coaches. As part of the Whole Vehicle Type Approval legislative 
work, the aim will be to lay down uniform technical provisions for buses and coaches 
throughout the EU, eliminating the differences in existing standards in so far as necessary 
to remove technical barriers to trade. This will increase economies of scale and should 
reduce prices. 
109. The Directive will cover aspects of bus and coach design which have a direct effect on 
safety and access, and will prescribe the necessary standards to guarantee it. It will not seek 
to define characteristics best left to operators and will take account of local and regional 
preferences. It will therefore be limited to minimum requirements such as the number of 
doors and emergency exits, seat width and seat spacing, gangway width and height, total 
passenger capacity and physical access provision (including step height.) It will have a 
direct impact on the aims of the "Citizens' Network" insofar as it will help to define the 
types of buses available to passengers. 
110. Improving accessibility of public transport by means of low entrance/low floor buses would 
directly affect the attractiveness and usability of urban transport for all users. Low floor 
designs and the use of minibuses to increase the flexibility of public transport will be 
safeguarded and promoted. 
33 
Environmental legislation 
111. The Commission believes that environmental problems related to transport should be 
addressed by an integrated approach incorporating several elements. First, technical 
measures to improve the environmental performance of individual vehicles should constitute 
an integral part of the EU's vehicle type approval legislation. Second, the efficiency of 
relatively environmentally friendly modes such as rail should be improved through better 
market organisation. Third, transport users should be charged the real costs of their 
transport choices. Fourth, research and development programmes should aim to improve 
environmental standards and fifth, environment legislation should specify targets and 
standards. 
112. Traffic has a major impact on air quality. EC environment legislation attempts to maintain 
or improve air quality, by setting limit values, and objectives and by ensuring that 
policymakers and the public are properly informed about air pollution levels. A Council 
Directive on air pollution by ozone specifies procedures for monitoring ozone levels and 
for informing the public when certain values are exceeded. The Commission has also 
proposed a draft framework directive for air quality as the first step in the revision of 
existing air quality legislation. This draft directive (which is being considered by the 
Council and the European Parliament) includes medium term objectives for air quality. 
This involves setting limit values and alert thresholds for 14 pollutants. The limit values 
are below the current permitted value, and will be mandatory within 10-15 years. In areas 
where the air pollution levels are above the current levels, the Member States/regions/cities 
will develop programmes in order to meet both the current levels and future limit values. 
In view of the importance of transport emissions in the overall emissions of air pollutants, 
measures for transport will feature in the programmes. The choice of instrument will be left 
to the relevant authority. 
Fuels and Vehicles 
113. Various European Directives specify emission standards for buses and lorries, petrol and 
diesel passengers cars and for light commercial vehicles. Recent improvements (and some 
stiil to come into force) will significantly reduce total emissions from transport over the 
next 10-15 years. The Commission is also applying a new, multi-faceted approach to 
developing proposals for new standards in 2000. This will take into account the cost-
effectiveness of different measures, including both technical (vehicle emission reductions, 
fuel quality improvements) and non-technical measures (e.g. enhanced public transport, 
traffic restrictions) as well as regular vehicle inspection and maintenance. In 1992, the 
European Auto-Oil Programme was set up by the Commission in cooperation with the 
European automobile and oil industries, to provide the technical basis for new legislation 
according to this approach. 
Noise 
114. Legislation governing sound levels of motor vehicles (Cars, Lorries and Buses) dates back 
to 1970 (Directive 70/157/EEC, now amended several times) The limit values for bus and 
lorries have been reduced by over 10 dB(A) over the period that the legislation has been 
in place and those for cars by 8 dB(A). The relevant type approval test seeks to limit noise 
produced in a typical urban traffic situation. As the limits have fallen tyre noise has 
become more significant and may restrict further lowering of limits. 
34 
CONCLUSION 
115. The European Commission wants to put the needs of citizens at the centre of decisions 
about transport provision. As part of this, we want to promote public passenger transport. 
This Citizens' Network Green Paper identifies the key challenges to be addressed, outlines 
the main policy actions required for ensuring quality improvements to the system and 
indicates the European Union's contribution to fulfilling the potential offered by public 
transport. 
116. Interested parties, Member States of the European Union and the European Economic Area, 
states applying for membership to the European Union, the Council, the European 
Parliament, the Economic and Social Committee and the Committee of regions are invited 
to submit their observations on this document until 
31 JULY 1996 
to 
The European Commission 
Directorate-General for Transport 
"Green Paper on Citizens' Network" 
200, Rue de la Loi 
B-1049 Brussels 
35 
ANNEX A: BASIC REGULATORY OPTIONS FOR PLANNING AND OPERATING 
PUBLIC PASSENGER TRANSPORT SERVICES 
36 
Basic regulatory options for public passenger transport systems 
Main features 
I Integration of public 
planning and 
operations ("public 
obligations") 
II. Separation of public 
transport planning 
and operations by 
"Contracting" (legal 
separation) 
III. Separation of public 
transport planning 
and operations by 
"Contracting" based 
on "tenders" 
IV. Full liberalisation of 
access to markets 
("Deregulation") Planning- and Management responsibilities 
Networks 
Public transport 
undertaking (in 
cooperation with public 
authorities) 
Public transport 
planning authorities 
("cahier des charges") 
Public transport 
planning authorities 
("cahier des charges") 
Transport undertakings 
(plus intervention 
option for socially 
necessary services) Operations 
Public transport 
undertaking 
Transport undertaking 
One or several transport 
undertakings23 
Transport undertakings Financial responsibilities 
Operations 
Public transport 
undertaking (plus 
subsidies for covering 
losses) 
Transport undertaking 
(plus subsidies ex-post 
or ex-ante) 
Transport undertakings 
(plus ex-ante 
subsidies)24 
Transport undertakings 
(plus subsidies for 
specific services) Investments 
Public authorities 
Mixed 
Transport undertakings 
(or mixed) 
Transport undertakings Ownership of operators 
Public 
Public, semi-public or 
private 
Private or semi-public 
Private 
The call for tenders may cover complete systems or segments 
24 Usually, the bidder requesting the lowest amount of subsidies for carrying out the specified services is successful. 
37 
Contracting public passenger services by means of tendering 
Innovative case studies 
Option A: 
Tendering of whole systems ("Concessions") 
The French example 
The organisation of urban transport in France (outside Ile-de-France) involves two main players 
the transport organizing authority 
(a municipality or group of municipalities) defining the transport policy for the region 
the operating company which is responsible for the provision of public passenger services 
The relationship between the organizing authority and the transport company are governed by an 
operating convention ("concession") specifying the scope and quality of services, public services 
constraints, the operators' remuneration and the tariff level. The operating conventions concluded 
on the basis of a tendering procedure are limited in time. This application period depends on 
whether the rolling stock is owned by the operator (longer periods) or by the municipality (shorter 
periods). The revenue risk is in most cases borne by the municipality. 
Nationwide three major operating companies (VIA, Transcet, and CGEA) cover more than 80% 
of the French urban transport market. Special provisions are made for investments during the 
application period. 
Option B: 
Phasing-in of tendering for major segments of the market 
The Swedish example 
Each of the 24 counties in Sweden has a Passenger Transport Authority (PTA) responsible for 
procuring public passenger transport services. Since a modification of the law in 1989 PTAs are 
owners of transport concessions. They have the option either to conclude a new contract with the 
traditional operators (contracting without tendering) or to issue a public tendering on the basis of 
predetermined terms of reference covering routes, timetables and fares. 
The Swedish example is innovative in particular in terms of gradually phasing in tendering and in 
respect of far reaching quality requirements in terms of maximum and average age of the fleet, 
seating accommodation, washing and cleaning intervals etc.. However, it lacks built-in incentives 
for increasing ridership since the revenue risk is born by the PTA. It has generated considerable 
cost savings (up to 45%) and improved the quality of public service operation. 
Certain cities (e.g. Gothenburg) have used the flexibility of Swedish legislation to tender not the 
market as a whole but major parts of it, preferably to different operators. This method creates a 
competitive corporate climate without compromising too much on the need for integrated transport 
planning. 
38 
Option C: 
Tendering of small segments of the systems (route-by-route) 
The London Bus Transport example 
The 1985 Transport Act deregulated bus services throughout Great Britain, with the 
exception of London, were the Act required the tendering of services. 
In London, in 1985, all but 2% of bus miles were operated by London Transport, (LT). 
Following an assessment of the capacity of independent operators to supply services, a 
first package of 13 routes was tendered. 
At the same time LT's bus operations were restructured with London Buses Ltd becoming 
a holding company with eleven subsidiaries covering different parts of the city, these 
subsidiaries took on increasing areas of management responsibility gradually moving to 
operational independence and culminating in the sale of the companies. As a result all bus 
operating companies in London are now in private ownership. 
By the beginning of 1994 half of the bus network was competitively tendered with the 
contracts being won in roughly equal numbers by former LT companies and independent 
operators. By the end of 1995 all the routes will have been tendered and London 
Transport will no longer be responsible for operating bus services. 
LT retains control of the network specifying fares and services, "with the aim of forming 
a blend of commercial and social elements, complementing and feeding the London rail 
and Underground networks". Similarly, LT retains responsibility for infrastructure such 
as bus stops, special facilities, and the funding of special services required for social 
reasons. 
Contracts for tendered bus services have been "gross cost" with the operator receiving a 
payment for providing a prescribed service and revenues going to LT. The operator is 
thus insulated from commercial risk, and their main concern is operating efficiency. 
During the period 1984/85 to 1994/95 the new system has contributed to a reduction of 
the network costs by 27% although the network was extended by 20%. Ridership 
remained largely unchanged. 
For the period 1995-2000 LT intends to move to "net cost" contracts where the operator 
has a direct stake in commercial performance, and receives the revenues from ticket 
sales. LT will continue to specify fares and services. The operator carries the risk, or 
takes the benefits of changes in financial performance. 
39 
Complete Deregulation of bus services: The British experience 
The system 
Against the background of continuously decreasing ridership and increasing subsidies the 
1985 transport Act deregulated and privatized completely from October 1986 onwards 
completely regional and urban bus services. 
The scheme is exceptional in Europe since it allows for direct competition "on the road" 
and free pricing. Planning of services by a central body does not exist (with the exception 
of tendering few socially necessary services). Quality safeguards are restricted to 
minimum safety requirements. 
Main results 
The new systems managed to improve cost-efficiency significantly and to reduce subsidies 
considerably. Average cost savings are roughly equal to savings made in London 
following the introduction of tendering (25%-35%). 
However, during the same period average bus ridership decreased significantly (-27,4% 
during 1985 to 1993/94), although bus kms performed increased considerably (+24%). 
This increase was concentrated in large part in the most heavily used routes. Real fares 
increased by app. 25%. 
The lack of integration of transport systems achievable in a totally deregulated operating 
environment is a major obstacle to improving the overall attractiveness of public bus 
transport systems. In addition, information to passengers became virtually non-existent 
because of competition between bus companies. Accordingly, the Confederation of 
Passenger transport (CPT) advocates modifications to the competition rules in order to 
enhance the planning and coordination capacity of the system. 
40 
Régionalisation of rail services: The German example 
On 1 January 1994 the German Federal Law restructuring the railways systems took legal 
effect. With the entering into force of the regionalisation-concept ("Regionalisierung") on 
1 January 1996 another major step will be taken. It implies shifting the regulatory 
authority over regional rail services to regional governments ("Lander") which may, on 
the basis of regional laws further delegate responsibilities to municipalities or groups of 
municipalities ("Verkehrsverbunde"). 
From the revenues of (increased) fuel taxes regional governments and municipalities will 
get a considerable financial compensation allowing for subsidizing regional rail services 
which are, normally, making losses: In 1996, a total amount of app. 15 billion DM will 
be paid. Similar compensations will be available from 1997 onwards. 
The regionalisation-concept implies that regional authorities will, on the basis of regional 
laws, be responsible for determining the volume and quality all regional and urban public 
transport services including rail services and for contracting them with operators. The 
opening-up of the rail infrastructure to "third" operators as necessitated by Council 
Directive 91/440 and, in the meantime, transposed into German Law creates the 
possibility of introducing competitive tendering of regional rail services. However, it is 
within the discretionary power of implementing authorities to use this instrument or not. 
Similarly, the concept for compensating operators is to be defined by implementing 
authorities (ex-post or ex-ante subsidies). 
The German régionalisation concept establishes the regulatory pre-conditions for a 
significantly enhanced system integration. It can be expected that integrated ticketing 
covering large geographical areas and different modes will become usual practice in 
Germany. 
41 
ANNEX B: MANUAL OF COMMUNITY POLICY INSTRUMENTS OF RELEVANCE 
FOR PASSENGER TRANSPORT 
42 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Regulation 
(EEC)n' 
11691/69 
modified by 
Regulation 
1893/91 
Council 
Directive n* 
93/36/EEC 
Council 
Directive n' 
93/37/EEC 
Council 
Directive n' 
92/50/EEC 
Council 
Directive n' 
89/665/EEC 
Council 
Directive n° 
93/38/EEC 
Council 
Directive n" 
92/13/EEC 
Council 
Regulation 
(EEC) n° 
2407/92 
Council 
Regulation 
(EEC)n' 
1108/70 Policy area 
Public services 
Public 
Procurement 
Public 
Procurement 
Public 
Procurement 
Public 
Procurement 
Public 
Procurement 
Public 
Procurement 
Admission to 
the occupation 
Access to the 
market 
(Use of) 
Infrastructures Transport 
Mode 
all surface 
transport 
modes 
all 
all 
all 
all 
all 
all 
Aviation 
Inland 
Transport Main features/objectives 
Definition of scope for 
establishing public 
service requirements, 
obligations of public 
authorities to 
compensate for carrying 
out public transport 
services 
Coordination of 
procedures for the 
.award of public supply 
contracts 
Coordination of 
procedures for the 
award of public works 
contracts 
Coordination of 
procedures for the 
award of public service 
contracts 
Application of review 
procedures to the award 
of public supply and 
public works contracts 
Coordination of the 
procurement procedures 
of certain entities 
operating in the water, 
energy, transport and 
telecommunication 
sectors 
Application of review 
procedures to public 
contracts now mainly 
covered by directive 
93/38/EEC 
Requirements for 
licensing of air carriers 
Introduces an accounting 
system for expenditure 
on infrastructure in 
respect of transport by 
rail, road and inland 
waterways O.J. publication 
L 156 of 28 June 
1969 
L 199 of 09 August 
1993 
L 199 of 09 August 
1993 
L 209 of 24 July 
1992 
L 395 of 30 
December 1989 
L 199 of 09 August 
1993 
L 76 of 23 March 
1992 
L 240 of 24 August 
1992 
L 130 of 15 June 
1970 
43 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Regulation 
(EEC) 
4060/89 
Council 
Regulation 
(EEC) 
1192/69 
Council 
Regulation 
(EEC) if 
1107/70 
Council 
Regulation 
(EEC) 
2830/77 
Council 
Regulation 
(EEC) 
2183/78 
Council 
Directive n' 
82/714/EEC 
Council 
Directive n" 
76/135/EEC 
Council 
Regulation 
(EEC) if 
95/93 
Council 
Regulation 
(EEC) if 
2408/92 Policy area 
Border 
controls 
State aids 
State aids 
Public 
undertakings 
Public 
undertakings 
Technical 
standards; 
safety 
Technical 
standards; 
safety 
Access to the 
market; 
competition 
Access to the 
market Transport 
Mode 
Road, Inland 
waterways 
Railways 
Inland 
transport 
Railways 
Railways 
Inland 
waterways 
Inland 
waterways 
Aviation 
Aviation Main features/objectives 
Elimination of controls 
performed at the 
frontiers of Member 
states in the field of 
road and inland 
waterway transport 
Common rules for the 
normalisation of the 
accounts of railway 
undertakings 
Rules on the granting of 
aids for road, railways 
and inland waterway 
transport 
Measures to achieve 
comparability between 
the accounting of 
systems and annual 
accounts of railway 
undertakings 
Lays down uniform 
costing principles for 
railway undertakings 
Technical requirements 
for inland waterways 
vessels 
Reciprocal recognition 
of navigability licences 
for inland waterway 
vessels 
Common rules for the 
allocation of slots in 
community airports 
Liberalisation of the 
access for Community 
air carriers to intra-
community air routes O.J. publication 
L 390 of 30 
December 1989 
L 156 of 28 June 
1969 
L 130 of 15 June 
1970 
L 334 of 24 
December 1977 
L258 of 21 
September 1978 
L301 of 28 
October 1982 
L 21 of 29 January 
1993 
L 14 of 22 January 
1993 
L 240 of 24 August 
1992 
44 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Directive n° 
93/65/EEC 
Council 
Regulation 
(EEC) if 
295/91 
Council 
Regulation 
(EEC) 
2409/92 
Council 
Directive n° 
89/459/EEC 
Council 
Directive n' 
91/671/EEC 
Council 
Directive n" 
88/599/EEC 
Council 
Directive n* 
93/89/EEC 
Council 
Regulation 
(EEC) if 
3925/91 Policy area 
Technical 
standards 
Air Traffic 
Control 
Consumer 
protection 
Price 
conditions 
Road safety 
Road Safety 
Social; Road 
safety 
Fiscality 
Border 
controls Transport 
Mode 
Aviation 
Aviation 
Aviation 
Road 
Road 
Road 
Road 
Aviation 
Maritime Main features/objectives 
Definition and use of 
compatible technical 
specifications for the 
procurement of air 
traffic management 
equipment and systems 
Common rules for a 
denied board 
compensation system in 
scheduled air transport 
("overboarding") 
Common rules on fares 
and rates for air services 
Approximation of laws 
relating to the tread 
depth of types of certain 
motor vehicles 
Approximation of laws 
relating to compulsory 
use of safety belts in 
vehicles of less than 3,5 
tonnes 
Standard checking 
procedures for the 
implementation of social 
legislation (Regulations 
3820/95 and 3821/95) 
Fiscal harmonisation 
Elimination of controls 
and formalities 
applicable to the cabin 
and the hold baggage of 
persons taking an intra-
community flight and 
the baggage of persons 
making an intra-
community sea-crossing O.J. publication 
L 187 of 29 July 
1993 
L 36 of 8 February 
1991 
L 240 of 24 August 
1992 
L 226 of 3 August 
1989 
L 373 of 31 
December 1991 
L 325 of 29 
November 1988 
L 279 of 12 
November 1993 
L 374 of 31 
December 1991 
45 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Directive n" 
91/440/EEC 
Council 
Directive n' 
92/6/EEC 
Council 
Directive n° 
77/143/EEC 
Council 
Directive n° 
80/1263 
Council 
Directive n' 
85/003/EEC 
Council 
Regulation 
(EEC) if 
3820/85 
Council 
Regulation 
(EEC) if 
3821/85 
Council 
Directive n" 
74/562/EEC Policy area 
Harmonisation 
of structures; 
Development 
of Community 
railway; 
Access to the 
market 
Road Safety 
Road Safety 
Road safety 
Road Safety 
and technical 
standards 
Road Safety; 
Social policy 
Road Safety; 
Social policy 
Admission to 
the occupation Transport 
Mode 
Railways 
Road 
Road 
Road 
Road 
Road 
Road 
Road 
passenger 
transport Main features/objectives 
- management independent 
of railway undertakings 
- separating of the 
management of railway 
operation and infrastructure 
from the provision of 
railway transport services 
- improving the financial 
structure of undertakings 
- access to the network of 
certain type of services 
Installation and use of 
speed limitation devices 
Approximation of laws on 
roadworthiness tests for 
motor vehicles 
Driving licence based on a 
community model; 
Approximation of 
conditions for obtaining the 
driving licence; Exchange 
of licences25 
. Approximation of laws on 
weights, dimensions and 
other technical standards of 
vehicles 
Harmonisation of rules on 
driving hours and rest 
periods of drivers and other 
social aspects 
Recording equipment 
(tachograph) for driving 
hours and rest periods 
Setting of common 
requirements for admission 
to the occupation of road 
passenger transport 
operators O.J. publication 
L 237 of 24 
August 1991 
L 57 of 2 March 
1992 
L 47 of 18 
February 1977 
L375 of 31 
december 1992 
L 002 of 3 
January 1985 
L 370 of 31 
December 1985 
L 370 of 31 
December 1985 
L 308 of 19 
November 1974 
25 This directive will be replaced on 01.07.1996 by directive 91/439. 
46 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Directive n" 
91/0672/EEC 
Council 
Regulation 
(EEC) if 
3921/91 
Council 
Regulation 
(EEC) n" 
684/92 
Council 
Regulation 
(EEC) if 
2454/92 
Commission 
Recommend­
ation 
if 922/82 1 Policy area 
Access to the 
market; 
Admission to 
the 
occupation; 
Mutual 
Recognition of 
certificates 
Access to the 
market 
Access to the 
market 
Access to the 
market 
Quality; 
development 
of railways Transport 
Mode 
Inland 
waterways 
Inland 
waterways 
Road 
passenger 
transport 
Road 
passenger 
transport 
Railways Main features/objectives 
Reciprocal recognition 
of boat masters 
certificates 
Lays down the 
conditions under which 
non-resident carriers 
may transport goods or 
passengers by inland 
waterway within a 
Member State 
Establishes common 
rules for the 
international carriage of 
passengers by coach and 
bus 
Lays down the 
conditions under which 
non-resident carriers 
may operate national 
road passenger transport 
services within a 
Member State 
Definition of a higher 
quality, international 
passenger transport 
system O.J. publication 
L373 of 31 
December 1991 
L373 of 31 
December 1991 
L 74 of 20 March 
1992 
L251 of 29 August 
1992 
L381 of 
31.12.1982 
47 
Manual of Community policy instruments with impact 
on public passenger transport 
Legal 
Instruments 
Council 
Regulation 
(EEC) 
2018/93 
Council 
Regulation 
(EEC) n* 
2082/93 
Council 
Regulation 
(EEC) if 
2083/93 
Council 
Regulation 
(EEC) if 
2084/93 
Commission 
notice to 
Member 
States (Urban) 
Commission 
notice to 
Member 
States 
(Interreg II) 
Council 
Regulation 
(EE) n 
2236/95 Policy area 
Use of 
structural 
funds 
Use of 
structural 
funds 
Use of 
European 
Regional 
Development 
Fund 
Use of 
European 
Social Fund 
Community 
Pilot 
programme on 
urban areas 
Community 
initiative for 
cross-border 
regions 
Trans-
European 
Networks Transport 
Mode 
all 
all 
all 
all 
all 
all 
all Main features/objectives 
Rules on coordinating 
regional policy 
instruments 
Rules on implementing 
regional policy 
instruments 
Rules on implementing 
ERDF 
Rules on implementing 
ESF 
Eligibility criteria for 
supporting 
improvements to urban 
.areas 
Eligibility criteria for 
supporting projects 
Rules for financial 
. contributions to TENs O.J. publication 
L 193 of 20 July 
1993 
L 193 of 20 July 
1993 
L 293 of 20 July 
1993 
L 193 of 20 July 
1993 
L 180 of 1 July 
1994 
L 180 of 1 July 
1994 
L 228 of 
23 September 1995 
48 
ANNEX C: COST RECOVERY RATES OF URBAN PUBLIC TRANSPORT SYSTEMS 
49 
COST RECOVERY RATES OF URBAN PUBLIC TRANSPORT SYSTEMS26 
CITY 
Amsterdam 
Athens 
Brussels 
Copenhagen 
Dublin 
Frankfurt 
Helsinki 
Lisbon 
London27 
Luxembourg 
Madrid 
Paris 
Rome 
Stockholm 
Vienna 1985 
25% 
21% 
25% 
54% 
80% 
44% 
44% 
70% 
57% 
24% 
68% 
36% 
16% 
37% 
51% 1993 
25% 
27% 
33% 
52% 
96% 
45% 
44% 
62% 
79% 
18% 
75% 
33% 
10% 
34% 
40% CHANGE 
0 
+ 6 
+ 8 
-2 
+ 16 
+ 1 
0 
- 8 
+ 22 
-6 
+ 7 
-3 
-6 
-3 
- 11 
Source: Janes' Urban transport 
26 Operating cost recovery from fare revenues only. 
27 London Regional Transport, 1993 figure is after depreciation is taken into account. 
50 



ISSN 0254-1475 
COM(95) 601 final 
DOCUMENTS 
EN 07 
Catalogue number : CB-CO-95-661-EN-C 
ISBN 92-77-97193-2 
Office for Official Publications of the European Communities 
L-2985 Luxembourg ^i