IDEAS home Printed from https://ideas.repec.org/a/spr/pubtra/v10y2018i2d10.1007_s12469-018-0181-7.html
   My bibliography  Save this article

Fare discrimination and daily demand distribution in the BRT system in Bogotá

Author

Listed:
  • Luis A. Guzman

    (Universidad de los Andes)

  • Carlos A. Moncada

    (Universidad Nacional de Colombia)

  • Santiago Gómez

    (Universidad de los Andes)

Abstract

Bogotá transport authority changed Bus Rapid Transit (Transmilenio) fares in August 2012 to manage congestion, particularly during peak hours. They reduced fares and implemented fare discrimination between peak and off-peak hours to balance demand and make the system more affordable. To estimate the variation in the relative distribution of daily demand between peak and off-peak hours, we used information pertaining to passenger demand on working days. Our main data source was the number of entrances into Transmilenio stations daily between 2011 and 2013. The data before the fare intervention was gathered between March 2011 and July 2012. Post intervention data was gathered between August 2012 and December 2013. We assumed that the users’ observable characteristics did not change either before or after the intervention was carried out. The fares decreased from a flat fare of COP 1750 (1 USD = 1780 COP in August 2012) to COP 1700 in peak hours and to COP 1400 in off-peak hours. This paper proposes a fixed effects model to estimate the effect of fare reduction in the ratio between peak and off-peak ridership hours. The results suggest that fare reduction produced changes in demand behaviour between peak and off-peak hours, reducing the peak to off-peak demand ratio (P/oP) by around 9%. This change has different levels of impact depending on the income levels associated with each Transmilenio station, with a stronger impact in low-income zones.

Suggested Citation

  • Luis A. Guzman & Carlos A. Moncada & Santiago Gómez, 2018. "Fare discrimination and daily demand distribution in the BRT system in Bogotá," Public Transport, Springer, vol. 10(2), pages 191-216, August.
    • Handle: RePEc:spr:pubtra:v:10:y:2018:i:2:d:10.1007_s12469-018-0181-7
    DOI: 10.1007/s12469-018-0181-7
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s12469-018-0181-7
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s12469-018-0181-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Hidalgo, Darío & Pereira, Liliana & Estupiñán, Nicolás & Jiménez, Pedro Luis, 2013. "TransMilenio BRT system in Bogota, high performance and positive impact – Main results of an ex-post evaluation," Research in Transportation Economics, Elsevier, vol. 39(1), pages 133-138.
    2. Cullinane, S., 2002. "The relationship between car ownership and public transport provision: a case study of Hong Kong," Transport Policy, Elsevier, vol. 9(1), pages 29-39, January.
    3. Dargay, Joyce & Gately, Dermot, 1997. "The demand for transportation fuels: Imperfect price-reversibility?," Transportation Research Part B: Methodological, Elsevier, vol. 31(1), pages 71-82, February.
    4. Haywood, Luke & Koning, Martin & Monchambert, Guillaume, 2017. "Crowding in public transport: Who cares and why?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 100(C), pages 215-227.
    5. Nayel Urena Serulle & Cinzia Cirillo, 2016. "Transportation needs of low income population: a policy analysis for the Washington D.C. metropolitan region," Public Transport, Springer, vol. 8(1), pages 103-123, March.
    6. Paulley, Neil & Balcombe, Richard & Mackett, Roger & Titheridge, Helena & Preston, John & Wardman, Mark & Shires, Jeremy & White, Peter, 2006. "The demand for public transport: The effects of fares, quality of service, income and car ownership," Transport Policy, Elsevier, vol. 13(4), pages 295-306, July.
    7. Sergio Jara-Díaz & Antonio Gschwender & Meisy Ortega, 2014. "The impact of a financial constraint on the spatial structure of public transport services," Transportation, Springer, vol. 41(1), pages 21-36, January.
    8. Glaister, Stephen, 1974. "Generalised Consumer Surplus and Public Transport Pricing," Economic Journal, Royal Economic Society, vol. 84(336), pages 849-867, December.
    9. John C. Panzar, 1976. "A Neoclassical Approach to Peak Load Pricing," Bell Journal of Economics, The RAND Corporation, vol. 7(2), pages 521-530, Autumn.
    10. Hensher, David A., 2008. "Assessing systematic sources of variation in public transport elasticities: Some comparative warnings," Transportation Research Part A: Policy and Practice, Elsevier, vol. 42(7), pages 1031-1042, August.
    11. Prud'homme, Rémy & Koning, Martin & Lenormand, Luc & Fehr, Anne, 2012. "Public transport congestion costs: The case of the Paris subway," Transport Policy, Elsevier, vol. 21(C), pages 101-109.
    12. Haywood, Luke & Koning, Martin, 2015. "The distribution of crowding costs in public transport: New evidence from Paris," Transportation Research Part A: Policy and Practice, Elsevier, vol. 77(C), pages 182-201.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Guzman, Luis A. & Beltran, Carlos & Bonilla, Jorge & Gomez Cardona, Santiago, 2021. "BRT fare elasticities from smartcard data: Spatial and time-of-the-day differences," Transportation Research Part A: Policy and Practice, Elsevier, vol. 150(C), pages 335-348.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hörcher, Daniel & Tirachini, Alejandro, 2021. "A review of public transport economics," Economics of Transportation, Elsevier, vol. 25(C).
    2. Junya Kumagai & Mihoko Wakamatsu & Shunsuke Managi, 2021. "Do commuters adapt to in-vehicle crowding on trains?," Transportation, Springer, vol. 48(5), pages 2357-2399, October.
    3. Márquez, Luis & Alfonso A, Julieth V. & Poveda, Juan C., 2019. "In-vehicle crowding: Integrating tangible attributes, attitudes, and perceptions in a choice context between BRT and metro," Transportation Research Part A: Policy and Practice, Elsevier, vol. 130(C), pages 452-465.
    4. Haywood, Luke & Koning, Martin & Prud'homme, Remy, 2018. "The economic cost of subway congestion: Estimates from Paris," Economics of Transportation, Elsevier, vol. 14(C), pages 1-8.
    5. de Palma, André & Lindsey, Robin & Monchambert, Guillaume, 2017. "The economics of crowding in rail transit," Journal of Urban Economics, Elsevier, vol. 101(C), pages 106-122.
    6. Zhang, Junlin & Yang, Hai & Lindsey, Robin & Li, Xinwei, 2020. "Modeling and managing congested transit service with heterogeneous users under monopoly," Transportation Research Part B: Methodological, Elsevier, vol. 132(C), pages 249-266.
    7. Guzman, Luis A. & Beltran, Carlos & Bonilla, Jorge & Gomez Cardona, Santiago, 2021. "BRT fare elasticities from smartcard data: Spatial and time-of-the-day differences," Transportation Research Part A: Policy and Practice, Elsevier, vol. 150(C), pages 335-348.
    8. André de Palma & Robin Lindsey & Guillaume Monchambert, 2017. "The Economics of Crowding in Public Transport," Post-Print hal-01203310, HAL.
    9. Hörcher, Daniel & Graham, Daniel J. & Anderson, Richard J., 2017. "Crowding cost estimation with large scale smart card and vehicle location data," Transportation Research Part B: Methodological, Elsevier, vol. 95(C), pages 105-125.
    10. Qihao Liu & Yuzheng Liu & Chia-Lin Chen & Enrica Papa & Yantao Ling & Mengqiu Cao, 2023. "Is It Possible to Compete With Car Use? How Buses Can Facilitate Sustainable Transport," Urban Planning, Cogitatio Press, vol. 8(3), pages 69-83.
    11. Bouscasse, Hélène & de Lapparent, Matthieu, 2019. "Perceived comfort and values of travel time savings in the Rhône-Alpes Region," Transportation Research Part A: Policy and Practice, Elsevier, vol. 124(C), pages 370-387.
    12. Thommen, Christoph & Hintermann, Beat, 2023. "Price versus Commitment: Managing the demand for off-peak train tickets in a field experiment," Transportation Research Part A: Policy and Practice, Elsevier, vol. 174(C).
    13. Lin, Joanne Yuh-Jye & Jenelius, Erik & Cebecauer, Matej & Rubensson, Isak & Chen, Cynthia, 2023. "The equity of public transport crowding exposure," Journal of Transport Geography, Elsevier, vol. 110(C).
    14. Wang, Bin & Zacharias, John, 2020. "Noise, odor and passenger density in perceived crowding in public transport," Transportation Research Part A: Policy and Practice, Elsevier, vol. 135(C), pages 215-223.
    15. Bounie, Nathan & Adoue, François & Koning, Martin & L'Hostis, Alain, 2019. "What value do travelers put on connectivity to mobile phone and Internet networks in public transport? Empirical evidence from the Paris region," Transportation Research Part A: Policy and Practice, Elsevier, vol. 130(C), pages 158-177.
    16. Jiechao Zhang & Xuedong Yan & Meiwu An & Li Sun, 2017. "The Impact of Beijing Subway’s New Fare Policy on Riders’ Attitude, Travel Pattern and Demand," Sustainability, MDPI, vol. 9(5), pages 1-21, April.
    17. Varghese, Varun & Moniruzzaman, Md. & Chikaraishi, Makoto, 2023. "Environmental sustainability or equity in welfare? Analysing passenger flows of a mass rapid transit system with heterogeneous demand," Research in Transportation Economics, Elsevier, vol. 97(C).
    18. Paudel, Jayash, 2021. "Bus ridership and service reliability: The case of public transportation in Western Massachusetts," Transport Policy, Elsevier, vol. 100(C), pages 98-107.
    19. repec:diw:diwwpp:dp1293 is not listed on IDEAS
    20. Guillaume Monchambert & Stef Proost, 2019. "How Efficient are Intercity Railway Prices and Frequencies in Europe?: Comparing a Corridor in Belgium and in France," Journal of Transport Economics and Policy, University of Bath, vol. 53(4), pages 323-32-347.
    21. Tirachini, Alejandro & Hurtubia, Ricardo & Dekker, Thijs & Daziano, Ricardo A., 2017. "Estimation of crowding discomfort in public transport: Results from Santiago de Chile," Transportation Research Part A: Policy and Practice, Elsevier, vol. 103(C), pages 311-326.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:pubtra:v:10:y:2018:i:2:d:10.1007_s12469-018-0181-7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.