Development in Market Structure and Regulation of Urban Bus Services in Developing Countries and Countries in Transition

Abstract

The market for urban passenger transport has experienced major change in many developing countries in Africa, Asia, and the Middle East, as well as in countries of political and/or economic transition in the Commonwealth of Independent States (CIS) and China. Such changes have included planned market opening to private operators and new entrants; unplanned market opening by the entry of unlicenced operators; privatisation and other changes to the ownership base of large public-sector transport companies; emergence of large-scale minibus and paratransit; national and urban policies and programs to upgrade the transport supply and quality. This paper presents relevant developments in Africa, Asia, Middle East, the CIS and China, and clusters them according to (i) changes in the role of the regulator and market structure; (ii) changes in the structure of the operator and of private sector participation; and (iii) changes in the transport supply. The paper then identifies critical factors leading to change in the urban transport sector, factors which can be identified with successful outcomes and issues associated with the development of the minibus, paratransit and informal sector which have played major roles in the urban transport sector of developing countries and countries in transition.

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