By Jean de Boisfleury, Director and Loïck ULLIAC, Consultant
Ecological challenges, particularly those linked to the reduction of greenhouse gases, call for greater use of public transport. But in a tight budgetary context, we still need to identify the levers that will make these modes of transport truly attractive.
In a few pioneering conurbations, free public transport has begun to take hold. But under what conditions? Is it really compatible with the «supply shock» called for by the French government?’Union des Transports Publics ? And what about nationwide deployment?
European and French pioneers
To meet the challenge of making public transport more attractive, Patrice Vergriete, then mayor of Dunkerque, Chairman of the urban community of Dunkirk and Opal Coast Metropolitan Cluster, was a pioneer in introducing free public transport in its conurbation in 2018.
Before he did, Tallinn became in 2013, the first european capital to introduce completely free public transport for its residents.
In 2020, the Luxembourg was developing this model across the country. Its main sources of funding are public budgets, tax revenues and other government funding sources.
Today, the subject is making its way into public debate in France. Since last December, residents of the Métropole de Montpellier benefit in turn. This transformation of the model prompted a number of political reactions on a national scale, and gave a new dimension to the subject of free public transport. Today, the model of free public transport, which can be either total or based on criteria (place of residence, age, etc.) depending on the choice made by the metropolis concerned, has become the norm in France. a dozen conurbations with more than 100,000 inhabitants.
From Dunkerque in 2018, with others following suit. So, good or bad idea? What are the keys to success and anticipation in this transition to free service?
Arguments
Supporters of free access
By making public transport totally or partially free of charge in their conurbation, political decision-makers bring a number of arguments to bear:
- Ecological, since the aim is to limit car use and road network saturation by promoting sustainable mobility.
- Health, by improving air quality
- Social equity and access to mobility for all
- And economic appeal to revitalize town centers and their image
The opponents
In response to agglomerations that have come out in favour of total or partial free public transport, several political figures such as Valérie Pécresse (President of the French Île-de-France region and President of’Ile-de-France Mobilités) and Bruno Bernard (President of Metropolis of Lyon and President of Sytral Mobilités) have voiced their opposition. This is essentially based on a scepticism about a model considered unsustainable and difficult to finance to maintain a high level of service performance. On the other hand, it has to be said that, in many respects, customers' real expectations are based on quality of service, rather than free.
So, is it really necessary to finance the implementation of a free service that does not correspond to the real expectations of users? How can we ensure its long-term financing? without downgrading other public services ? How to finance network upgrades and extensions in the absence of these revenues? How can we finance’increased supply required to guarantee a high level of service?
In Le Monde in 2023, economist Yves Crozet asserts that service levels take precedence over free service. Likewise, a GART study in 2019 confirms that the real expectation of users is quality of service.
Rolling out free transport: what are the prerequisites?
4 Essential prerequisites for deploying free services
The prerequisites are not a guarantee of success for the total or partial introduction of free public transport. But they must be taken into account in order to assess the relevance of setting up such a system.
Only an exhaustive analysis of the dimensions involved can facilitate informed decision-making, adapted to each context and territory.
Technical
The technical prerequisites are primarily based on a diagnosis of the current network condition, to determine whether it can withstand a sudden surge in visitor numbers. Subsequently, the implementation of tools to monitor attendance levels (e.g. counting cell, sensors, etc.) is essential to adjust the transport offer in line with demand and avoid a deceptive effect. Preventive measures to combat incivility (e.g. video surveillance, presence of security guards) will be necessary in order to guarantee a quality of service that lives up to users' expectations, since free access makes it easier for everyone to use the network, including malicious persons.
Economical
An assessment of the financial costs related to the loss of revenue from fares is essential in order to determine the level of sustainability of the business model envisaged. This loss of income will be accompanied by changes to the tax model (e.g. loss of VAT deduction) and will have to be offset by potential alternative sources of financing. (e.g.: public-private partnerships, property tax increases, increased company contributions through mobility payments, etc.).. A medium-term vision of the investments to be made in the coming years to maintain, modernize and even extend the network is essential to guarantee the long-term sustainability of the model (it is often on this point that the main conurbations give up the choice of free travel). In addition, anticipating the financial cost of an increase in supply in response to a potential increase in demand is also a key factor to consider if the model implemented is to be robust and successful over the long term.
Contract
Contractualization and definition of the responsibilities of project stakeholders (e.g. Mobility Organizing Authority, transport operator, infrastructure manager, companies working on the network, etc.). is the first thing to do. Thereafter, the setting up monitoring indicators to assess impact is essential in order to react quickly and make any necessary adjustments. (e.g.: measuring regularity/punctuality and quality of service). In the absence of revenue incentives from passengers, other forms of financial incentives could be explored to encourage transport operators to attract new passengers, notably by remunerating them on the basis of the performance of their offer and the quality of their service.
Steering & Communication
A large-scale communication campaign is obviously essential, but it must be coordinated with the implementation plan, which sets out the main stages of the project, This is particularly important in the event of a gradual transition to free travel. A massive, relevant communication campaign (specifying the criteria for free travel, the scope of the network concerned, and any adjustments made to the offer) will rapidly benefit from the expected gains in visitor numbers provided that the other three prerequisites (technical, economic and contractual) are met. Steering and coordinating the various projects is therefore essential to the successful deployment of the free service.
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As in all the strategic analyses carried out by our teams, our role is to guarantee a comprehensive analysis of all the dimensions involved, to facilitate informed decision-making, adapted to each context and territory.
