Economic regulation

The economic regulation of urban passenger transport is covered in depth by the Urban Bus Toolkit, a PPIAF-sponsored project also administered by the World Bank. This focuses on the regulation of competition and the form of service contracting, but the control of tariffs is of even greater importance to the fare collection system.

The following are the key issues relating to the framework for fare collection:

• Regulation of competition
• Form of service contracting
• Setting of service standards
• Market entry requirements
• Control of tariffs
• Frequency of tariff adjustment
• Level of tariff adjustment
• Predatory pricing