Management & Operations

Free rides mean no revenue in Moscow

Posted on July 1, 2002

Too many social welfare recipients in Moscow receiving free rides have drained the nation’s public transportation system’s revenues. There are 64 categories of privileged passengers in Moscow, including veterans, the elderly, pensioners, handicapped and employees of the Defense and Interior ministries. The privileged groups account for 60% of all passengers nationwide and more than 75% in Moscow, reported The Moscow Times. In the last decade, the share of paying passengers has decreased from 80% to 40%, reported the paper. As a result, the number of public transportation vehicles has decreased and, without any compensation for carrying the privileged groups, transport companies cannot afford new vehicles. Last year, public transport companies spent about $1.7 billion servicing privileged passengers but received only $1 billion from local and federal budgets, reported the Times. Nonprivileged passengers must also pay 20% more to help offset the cost of servicing the privileged passengers. Since 1990, the number of public transport vehicles has fallen more than 40%, with public transport operating at only 60% capacity and fewer areas being serviced. Of the vehicles currently in service, half should have been already decommissioned for being unsafe, reported the Times. The state budget allocated for the purchase of 4,800 new buses, 686 trolleybuses and 83 trams. The minimum number of vehicles actually needed is 13,500 buses, 1,200 trolleybuses and 600 new trams per year, reported the Times. The Labor and Social Development, Transportation and Railways ministries are working on a federal law to address compensation for transporting privileged passengers.

View comments or post a comment on this story. (0 Comments)

More News

JTA's Ford wins prestigious COMTO award

The Thomas G. Neusom Founders Award is the highest honor bestowed by COMTO. Ford accepted the award at the 46th National Meeting and Training Conference in Detroit.

NJ Transit weighing disciplinary actions for no-show train engineers

It's unclear how many of the cancellations stemmed from engineers exercising a contract provision that allows them to take two days to report for work when schedule changes are made.

National Express Transit acquires Cook DuPage Transportation

Established in 1975 and based in Chicago, CDT operates 275 paratransit vehicles providing more than 80,000 trips per month to PACE users in the Chicago Metropolitan area.

MTA chief weighs food ban on subway after track fire snarls service

A garbage fire crippled subway service along four lines for more than two hours during the peak of Monday’s morning rush hour.

BYD commits to hiring from communities facing significant barriers to employment

In addition to targeting veterans and returning citizens, will also target populations that have historically been excluded from the manufacturing industry, such as women and African-Americans.

See More News

Post a Comment

Post Comment

Comments (0)

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The number 1 resource for vocational truck fleets

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

LCT Magazine

Global Resource For Limousine and Bus Transportation

Please sign in or register to .    Close