INDUSTRY COMMISSION Urban Transport Volume 2: Appendices REPORT NO. 37 15 FEBRUARY 1994 Australian Government Publishing Service Melbourne TABLE OF CONTENTS Volume 2: Appendices A Inquiry procedures 1 A.1 Visits 4 A.2 Initial public hearings participants 10 A.3 Draft report public hearings participants 13 A.4 Submissions received 15 B Determinants of demand for urban travel 23 B.1 Introduction 25 B.2 Modelling approaches 25 B.3 Findings 37 C Modelling the effects of urban transport reforms 55 C.1 Introduction 57 C.2 Models of urban land use 58 C.3 The MULTI model of Melbourne 59 C.4 Illustrative simulations with MULTI 69 D A comparison of the productivity of urban passenger transport systems 81 D.1 Introduction 84 D.2 Organisational total factor productivity 85 D.3 An analysis of modes by organisation 90 D.4 An analysis of productivity by mode and organisation over time 96 D.5 Conclusion 108 Attachment to appendix D 110 E Performance measurement in the urban bus sector 119 E.1 The main findings 124 iii F Urban bus operations: productive efficiency and regulatory reform — international experience 133 F.1 Introduction 135 F.2 The pre-reform situation 135 F.3 The regulatory reforms 137 F.4 Impacts on technical efficiency 140 F.5 Some comparisons and implications for the Australian situation 143 G Urban transport systems in other countries 145 G.1 Leeds 147 G.2 Munich 152 G.3 Newcastle upon Tyne 157 G.4 Singapore 159 G.5 Toronto 163 G.6 Vancouver 168 G.7 Washington, DC 172 G.8 Zurich 176 G.9 Implications for Australia 180 H Developments in road pricing 189 H.1 Introduction 191 H.2 Road pricing in other countries 191 H.3 Conclusion 200 FIGURES, TABLES AND BOXES IN VOLUME 2 Figures Figure C.1 Zones of the Melbourne region 61 Figure C.2 Number and composition of trips to work zones and from home zones 67 Figure C.3 Effects of a hypothetical public transport reform package 71 iv Figure C.4 Effects of a hypothetical 20 per cent increase in car parking charges in the central zone, by MULTI zone of residence and employment 73 Figure C.5 Effects of hypothetical introduction of distance based public transport fares in a revenue neutral manner 75 Figure D.1 Demand side organisational total factor productivity 86 Figure D.2 Supply side organisational total factor productivity 88 Figure D.3 Relationship between bus seat kilometres and productivity 91 Figure D.4 Relationship between rail seat kilometres and productivity 91 Figure D.5 Demand side productivity of organisations by mode 93 Figure D.6 Supply side productivity of organisations by mode (1991-93) 93 Figure D.7 PTC’s demand and supply side productivity 97 Figure D.8 STA’s demand and supply side productivity 100 Figure D.9 Transperth’s demand and supply side productivity 104 Figure D.10 Transperth’s rail and bus passenger and seat kilometres 106 Figure E.1 The essential dimensions of performance measurement 122 Tables Table B.1 Characteristics of selected econometric studies of demand for travel by mode 31 Table B.2 Elasticity estimates for Sydney 39 Table B.3 Own-price elasticities – car travel 42 Table B.4 Own-price elasticities – public transport 43 Table B.5 Cross-price elasticities – car travel 44 Table B.6 Cross-price elasticities – public transport 45 Table B.7 Own-time elasticities – car travel and public transport 46 Table B.8 Cross-time elasticities – car travel and public transport 46 Table C.1 Trip numbers from home zones to work zones 67 Table C.2 Summary statistics – MULTI database 68 Table C.3 Regional effects of reforms to public transport in Melbourne 76 Table C.4 Regional effects of a car parking surcharge in Melbourne 77 Table C.5 Regional effects of introducing distance-based public transport fares in Melbourne 78 Table D.1 Annual growth rates in demand side total factor productivity87 Table D.2 Annual growth rates in supply side total factor productivity 88 Table D.3 Average organisational load factor 89 v Table D.4 A comparison of the real cost of service between organisations 90 Table D.5 Real cost of service and load factor for buses from 1990-91 to 1992-93 94 Table D.6 Real cost of service and load factors for rail from 1990-91 to 1992-93 95 Table D.7 Real cost of service and load factors for tram from 1990-91 to 1992-93 96 Table D.8 Growth rates for productivity, inputs and output for PTC 98 Table D.9 Load factor for PTC 98 Table D.10 Real cost of service for PTC 99 Table D.11 Growth rates for STA 101 Table D.12 Load factor for STA 101 Table D.13 Regression analysis of productivity trends over time for STA’s bus, rail and tram 102 Table D.14 Real cost of service for STA 103 Table D.15 Growth rates for Transperth 105 Table D.16 Load factor for Transperth 106 Table D.17 Regression analysis of productivity trends over time for Transperth’s bus, rail and ferry 107 Table D.18 Real cost of service for Transperth 108 Table D.19 Key operating statistics for PTC 112 Table D.20 Key operating statistics for STA 113 Table D.21 Key operating statistics for Transperth 114 Table D.22 Regression analysis of productivity for each organisation by mode (1990-91 to 1992-93) 115 Table D.23 Regression analysis of real cost of service for each organisation by mode (1990-91 to 1992-93) 116 Table D.24 Regression analysis of productivity for each organisation by mode (1986-87 to 1992-93) 117 Table E.1 Quartile incidence of group membership: scale-adjusted TFPpass and scale-adjusted TFPvkm 125 Table E.2 Private and public bus operations 1991-92 127 Table E.3 Summary of GTFP, scale-adjusted GTFP and residual TFP indices, 1991-92 128 Table G.1 Indicators of performance of public transport in Munich 155 Table G.2 Indicators of performance of public transport in Singapore 162 Table G.3 Population and employment in the Toronto region, 1986 163 Table G.4 Modal shares of trips in the Toronto region, 1986 166 Table G.5 Indicators of performance of public transport in Toronto 167 Table G.6 Indicators of performance of public transport in vi Vancouver 170 Table G.7 Source of subsidies for public transport in the Vancouver region, 1991 171 Table G.8 Indicators of performance of public transport in Washington 175 Table G.9 Indicators of performance of public transport in Zurich 179 Table H.1 Urban road pricing in other countries 192 Box Box H.1 Singapore’s proposed electronic road pricing scheme 193 vii Contents of other volume Volume 1: The report Abbreviations Glossary Terms of reference Overview Main findings and recommendations The inquiry PART A THE URBAN TRANSPORT SYSTEM A1 The city and transport A2 Urban transport patterns A3 Indicators of performance A4 The role of government A5 Reforming government transport agencies A6 Regulation and competition A7 Pricing and investment A8 Social issues A9 The use of roads A10 The environment, accidents and roads A11 Reform: an integrated approach PART B COMPONENTS OF THE SYSTEM B1 Urban rail B2 Trams and light rail B3 Buses B4 Taxis and hirecars B5 Community transport B6 Cycling References for Volume 1 viii APPENDIX A Inquiry Procedures APPENDIX A INQUIRY PROCEDURES Following the receipt of the terms of reference on 18 September 1992, the Commission advertised the commencement of the inquiry in the press and dispatched an initial circular to those considered to have an interest in the inquiry. From October 1992 to May 1993 the Commission met with a wide range of Australian and foreign organisations including government departments, researchers, unions, private operators and user groups to seek background information and to discuss inquiry issues. Their names are listed in section A1. In November 1992, an issues paper was sent to interested parties and submissions were invited. The initial public hearings were held in Adelaide, Perth, Brisbane, Sydney, Melbourne and Canberra during February and March 1993. A total of 83 participants attended — see section A2. Circulars were mailed at regular intervals to encourage people to peruse and comment on submissions. The circulars also detailed the progress of the inquiry. Nearly 200 submissions were received by the publication of the draft report in October 1993. Public hearings on the draft report were held in November and December 1993 in Adelaide, Perth, Canberra, Brisbane, Sydney and Melbourne. 89 participants attended — see section A3. A further 148 submissions were received after the draft report. All submissions received during the inquiry are listed in section A4. Two consultancies were let to: • University of Sydney’s Institute of Transport Studies (Professor David Hensher and Ms Rhonda Daniels) for a report entitled Productivity measurement in the urban bus sector: 1991/92; and • Travers Morgan (New Zealand) Ltd for a report entitled Urban Bus Operations: Productive Efficiency and Regulatory Reform — International Experience. 3 URBAN TRANSPORT A.1 Visits Besides travelling extensively on all modes of urban public transport during the inquiry, the Commission met the following: A1.1 Overseas visits Canada — Toronto Canadian Urban Transit Association City of Toronto, Planning and Development Department Commission on Planning and Development Reform in Ontario GO Transit Office for the Greater Toronto Area Ontario Ministry of Municipal Affairs Toronto Transit Commission Canada — Vancouver BC Transit (Vancouver) Dr W. G. Waters (University of British Columbia, Transportation and Logistics) Greater Vancouver Regional District, Strategic Planning Department British Columbia Ministry of Municipal Affairs Transport 2021 Western Transportation Advisory Council Canada — Victoria BC Transit (Victoria) Capital Regional District, Regional Transportation and Development Strategies City of Victoria, Engineering Department British Columbia Ministry of Transportation and Highways British Columbia Ministry of Municipal Affairs, Recreation and Housing France — Paris European Conference of Ministers of Transport Germany — Munich Autobus Oberbayern Bayerisches Staatsministerium für Wirtschaft und Verkehr (Bavarian Ministry for Industry and Transportation) Deutsche Bundesbahn, Bundesbahndirektion München (Munich Office of the Federal Railways) 4 APPENDIX A INQUIRY PROCEDURES Landesverband bayerischer Omnibusunternehmer E.V.