Public Private Partnerships in Bus Transit Systems

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This page provides links to:


Urban Bus Toolkit, (available in English, French and Chinese) - This toolkit is designed to help government officials and policy makers evaluate existing and alternative urban bus systems in developing and transitional countries. It offers practical advice to enact fundamental system reforms .

Toolkit for Public-Private Partnerships in Urban Transport Toolkit - Maharashthra, India includes term sheets for PPP projects in urban transport for (a) cost plus and gross cost contracts (lease contract) (private sector owns buses and operates and authority collects revenue), (b) licensing contract (O& M) with buses owned by authority, (c) bus depot development (DBO) and O&M for monorail (in English).

Bus Rapid Transit (BRT): Toolkit for Feasibility Studies - This Toolkit is Module 2 of the Guidelines and Toolkits for Urban Transport Development prepared by the Asian Development Bank (ADB) and the Ministry of Urban Development of India in 2008. The documents in this toolkit are designed to help decision makers and practitioners in states and municipal governments who are concerned with urban transport development in medium-sized cities in India.

World Bank Intelligent Transport Systems for Urban Transport (ITS) Toolkit including sections on fare collection and case studies of BRTs and other urban bus systems

European ITS Toolkit - in English, French, Spanish and other European languages

A toolkit for self-service, barrier free fare collection - Transportation Research Board (TRB) - A Toolkit for Self-Service, Barrier-Free Fare Collection addresses the full range of issues and parameters.

Examples of PPP Projects in Bus Transit Systems


Transmilenio Bus - The system opened in December 2000. With more than 10 years of experience, the Transmilenio bus-based rapid transit system has a solid legal framework and good practices that have served as examples to other areas of the world. The summaries of the contractual framework are both in English and Spanish. However, the actual contracts are in Spanish and annotated also in Spanish. All of the related documents are on the public domain.

South Africa

Cape Town, South Africa BRT - The PPP in Bus Rapid Transit (BRT) operations involved transfers of buses from government entities to private operators for specified contractual periods, during which the operators were required to operate and maintain the BRT fleet. Fleet expansion and replacement to be undertaken depended on future demand were defined in the contract accordingly. Fare collection is not part of the operator's scope of work. Payments are made to the operator on the basis of per kilometer availability payments paid out in pre-defined time intervals, with a minimum revenue guarantee in terms of fixed annual kilometers. The contract sets out mechanisms for paying additional kms, for revising payment terms and penalties/bonuses. Click on the RFP (with the draft agreement). NOTE: This may have been amended during the bidding process: IRT Vehicle Operator Contract between the City of Capetown and the Vehicle Operator Company.

Further Reading

Incentive Structure in Transit Concession Contracts: The Case of Santiago, Chile, and London, England - The objective of this report is to analyze the principal clauses of bus concession contracts to allow them to be adapted to other cities, and their concrete impact on the behavior of bus operators, the quality of the service provided, and transit systems finances, based mainly on the experience of Transantiago in Santiago, Chile, and in London, England

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Updated: December 15, 2022