Economics of Transportation

Development of "Guidelines on approval of the guidelines for the calculation of cost-reasonable passenger and freight transportation on the urban and suburban roads and urban land-based electric public transport (except rail)"

The process of pricing regulation for the carriage of passengers by motor and urban electric transport is directly related to the tasks that need to be addressed in order to ensure high quality and safe passenger transportation.

The first task

- Organization of transport services

- The prerogative of local authorities and executive bodies of subjects of the Russian Federation.

The second task

- Production of the required number and types of vehicles on the routes

- The authority of carriers of various forms of ownership.

The third task

- The establishment of passenger fares (tariff), corresponding to the population payment capacity

- The prerogative of the executive authorities of the Russian Federation, or, if appropriate delegation of authority,

- Local governments.

At present, these tasks are uncoordinated between the authorities of the subjects of the Russian Federation, the municipality and the carriers. Often setting the tariff for transportation is the authority of subjects of the Russian Federation, and the planning of the route network and timetables according to their character - the authority of municipalities; with the authority to finance "shortfall" of income arising from the excess of the cost of transportation over the fare, is shifted from one the level of the power system to the other, and, ultimately, the responsibility for funding transportation is eroded.

This leads to financial problems of motor organizations engaged in the carriage of passengers in urban and suburban traffic.

According to the Russian Ministry of Transport and the Federal State Statistics Service, the magnitude of loss of large and medium-sized organizations involved in passenger transport in 2011 (before tax) amounted to 5,751 million rubles.

The main objective of the "Guidelines" is the calculation of revenue for the carriers and budget funding to ensure stable and profitable operations of carriers which provide the services of passenger transportation.

Achieving this goal involves the introduction of the formation mechanism of revenue that carriers should be paid for work done - produce the required number and types of vehicles on the routes.

Revenues of the carrier must completely cover the reasonable costs of transportation and provide an opportunity for profit, sufficient to economically sustainable activities of the carrier and timely updates of vehicles.

These "Guidelines" solve the problem of determining the economically justified costs of transportation and profits, enough for economically sustainable activities of the carrier and timely updates of vehicles.