Service contracting as a policy response for public transport recovery during the Covid-19 Pandemic: A preliminary evaluation

Abstract

We examine and assess the service contracting (SC) program implemented for the first time in Metro Manila, Philippines as a response to the impact of the pandemic on road-based public transport sector. We develop an evaluation framework, consisting of three indicators: social amelioration, increase in transport supply and performance improvement. These indicators are the purported objectives of SC. Using a mix of qualitative and quantitative methods, our evaluation suggests that although SC has brought positive impact in terms of the first two indicators, there is no robust evidence so far that may suggest that SC has improved the performance of public transport service delivery. We also find that while the primary objective of providing social amelioration to affected operators is appropriate during the time of the pandemic, this has also brought challenges in financially sustaining the program and in effecting improvements to public transport services. Our work aims to contribute as an empirical case study on the upsides and downsides of service contracting implemented as a business model for public transport provision during the pandemic.

On the bumpy road to recovery: resilience of public transport ridership during COVID-19 in 15 European cities

“…Nevertheless, research on the resilience of the PT system during COVID-19 and its enabling recovery factors is still scarce (Sunio et al. 2022 ; Hsieh and Hsia 2022 ; Laroche 2022 ; Vickerman 2021 ; Xiao et al. 2022 ; Wang et al.…”

“…Some studies emphasize the role of government and financial support and the type of contracting in PT resilience (Laroche 2022 ; Sunio et al. 2022 ; Vickerman 2021 ). Others stress the role of anti-pandemic measures (Hsieh and Hsia 2022 ; Zhou et al.…”

Beyond fear and abandonment: Public transport resilience during the COVID-19 pandemic

“…Finally, the ways in which systems are maintained and financed have important policy implications in relation to PT resilience. In response to emerging challenges, transport operators had to adjust to reduced vehicle utilisation owing to fewer passengers and measures to improve social distance, and trialled innovative forms of service delivery or financing, such as demand responsive transport in Milton Keynes (United Kingdom) or service contracting for Metro Manila (Philippines), in the hope of finding alternatives for resilient PT after the pandemic ( Potter et al, 2021 , Sunio et al, 2022 ). The COVID 19 pandemic has also led to several hundred municipalities worldwide—including at least 60 in Europe and 270 in the United States alone—temporarily suspending fare collection ( Goldberg, 2021 ).…”

On the bumpy road to recovery: resilience of transit ridership during COVID-19 in 15 European cities

“…Nevertheless, research on the resilience of the PT system during COVID-19 and its enabling recovery factors is still scarce (Hsieh et al 2022;Laroche 2022;Sunio et al 2022;Vickerman 2021;Wang et al 2022;Xiao et al 2022;Zhou et al 2021). Some studies emphasize the role of government and financial support and the type of contracting in PT resilience (Laroche 2022;Sunio et al 2022;Vickerman 2021). Others stress the role of anti-pandemic measures (Hsieh et al 2022;Zhou et al 2021).…”

“…These studies report various findings: decline in PT use in favor of the car, the impact of policy stringency on PT, fear of contamination in PT, and the wide adoption of remote activities, particularly during the first months of the pandemic (Gkiotsalitis et al 2021). Nevertheless, research on the resilience of the PT system during COVID-19 and its enabling recovery factors is still scarce (Hsieh et al 2022;Laroche 2022;Sunio et al 2022;Vickerman 2021;Wang et al 2022;Xiao et al 2022;Zhou et al 2021). Some studies emphasize the role of government and financial support and the type of contracting in PT resilience (Laroche 2022;Sunio et al 2022;Vickerman 2021).…”