The competition believes that the Spanish passenger market is inefficient, with tenders expired and that opening routes over 100 kilometers could make the service between 20% and 30% cheaper
The National Commission on Markets and Competition (CNMC) believes that regular passenger bus services “work poorly”, have administrative problems and are not very competitive, with tenders that have been going on for years and prices and quality based on the monopoly. For this reason, after conducting a study that lasted three years, Competition recommends that the government liberalize bus services with routes over 100 kilometers with the aim of lowering prices and improving quality and connections.
CNMC sources indicate that this recommendation is in line with that of the European Commission, whose initiative has already been formulated for all countries, although it has not yet been launched. In fact, compared to Europe, Spain is the only one of the major countries in the area that does not yet have a liberalized system, which means “significant advantages in terms of the number of frequencies, prices and improved connections”, they explain.
In Germany, where the service was liberalized in 2013, bus use has increased by 875% and prices have fallen by 23%. In Italy, where this was done in 2014, costs have been reduced by 36% and the number of passengers traveling by bus by 36%. And in France, where the service was liberalized in 2015, prices have fallen by 23% and passenger numbers have increased by 82%.
Source: La Verdad
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
