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High passenger growth in 15 years – some stagnation in the last 3 years

Results and lessons to be learned from the liberalisation of long distance bus and coach lines in Norway. High passenger growth in 15 years – some stagnation in the last 3 years. High costumer satisfaction over time - express bus scores higher then ordinary public transport.

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High passenger growth in 15 years – some stagnation in the last 3 years

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  1. Results and lessons to be learned from the liberalisationof long distance bus and coach lines in Norway

  2. High passenger growth in 15 years – some stagnation in the last 3 years

  3. High costumer satisfaction over time- express bus scores higher then ordinary public transport

  4. Development in Express bus market from 2000 Kilde: TØI

  5. Conclusions from a new study from Institute of Transport Economics • Express bus industry has grown after liberalisation (1998-2003). Stagnation and small decline slightly from 2007/2008 • In general, the routes are commercially-driven.But there is an element of grant • Important services in rural areas when it is complementing the public transport offered by the county. • The express bus system gives favourable economic benefit for the society

  6. Driving forces behind the successful development in the market • Innovative entrepreneurs who were willing to take risks • Creation of new routes • Establishment of new concepts • Cooperation with the county on routes • Express bus = local transport in area wit low population density • PTAs buy capacity (seats) for pupils • Liberalisation of the access to the market

  7. What happened ? • Allowed to compete with the railway after the permission was given. • Full liberalisation in two steps • Free to compete with railway in eastern Norway • Free access to market in the whole country • Competitions from low cost airline, train and PTA taking over some lines 1

  8. Conclusions • The bus industry can and will make new and attractive express bus services if the conditions are right • The market and competition functioning, it gives more passengers • between modes of transport • between different express bus services • Cooperation between PTA and exspressbuscompanies are important • Terminals and travel information • Rural areas

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