CTS EMBARQ México is working to improve the sustainability of BRT systems by strengthening relationships between authorities, operators, and shareholders. Weaknesses in these relationships can undermine credibility and potentially lead to bankruptcy. CTS EMBARQ México is taking steps to address accountability issues at bus companies through improved legal strategies, financial assessments, and management training programs.
The fragility of the authority operator and operators-shareholders relat…
1. CTS EMBARQ México
The fragility of the Authority-Operator and
Operators-Shareholders relationship: The
impact on the sustainability of BRT systems
Adriana Lobo
2. New issues arise
Engagement with soft
contractual conditions
No bid out
Traditional bus Traditional bus Government
operators operators
Create bus
companies
Aware of bus
companies
functioning
Public Agency Finance
Fare
Weakening Bus companies
credibility Potential for
bankruptcy
Companies with several
accountability issues
Shareholders
3. Proposals
Improve legal strategies to engage traditional
private bus operators with particular emphasis
on accountability responsibilities
Create mechanisms at the institutional level to
assess the financial and managerial situation of
bus companies
Improve training programs in areas of
management and finance
4. CTSEMBARQ-Mexico
CTSEMBARQ-Mexico has
made important progress
in initiating training
programs for private bus
operators
CTSEMBARQ-Mexico is
currently working with bus
companies in improving
areas of operation and
management
CTSEMBARQ-Mexico is
currently doing research
on the issues of
accountability in bus
companies and preparing
solutions to these issues.