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Brazil

How can we enhance competition in bus passenger urban transport?

Shomik Mehndiratta's picture
Photo: EMBARQ Brasil/Flickr

Também disponível em português.

While bus services are often planned and coordinated by public authorities, many cities delegate day-to-day operations to private companies under a concession contract. Local government agencies usually set fares and routes; private operators, on the other hand, are responsible for hiring drivers, running services, maintaining the bus fleet, etc. Within this general framework, the specific terms and scope of the contract vary widely depending on the local context.

Bus concessions are multimillion-dollar contracts that directly affect the lives of countless passengers every day. When done right, they can foster vigorous competition between bidders, improve services, lower costs, and generate a consistent cash flow. However, too often the concessions do not deliver on their promise and there is a perception across much of Latin America that authorities have been unable to manage these processes to maximize public benefits.

As several Latin American cities are getting ready to renew their bus concessions—including major urban centers like Bogotá, Santiago de Chile, and São Paulo—now is a good time to look back on what has worked, what has not, and think about ways to improve these arrangements going forward.

Innovation in the air: using cable cars for urban transport

Leonardo Canon Rubiano's picture
Also available in: Español
Photo: Andy Shuai Liu/World Bank

Invented over a century ago for exploring mountainous regions, aerial cable cars have recently made an appearance in several big cities, where they are being used as an alternative to conventional urban transport modes. This technology uses electrically-propelled steel cables to move suspended cars (or cabins) between terminals at different elevation points.
 
The tipping point. The emergence of cable cars in urban transport is fairly new. Medellín, Colombia pioneered the use of cable cars for urban transport when it opened its first “Metrocable” line in 2004. Since then, urban cable cars have grown in popularity around the world, with recent projects in Latin America (Rio de Janeiro, Caracas, Guayaquil, Santo Domingo, La Paz, and Medellín), Asia (Yeosu, South Korea, Taiwan, Hong Kong), Africa (Lagos, Constantine), and Europe (London, Koblenz, Bolzano).  Cable cars can be an attractive urban transport solution to connect communities together when geographical barriers such as hills and rivers make other modes infeasible.

E-commerce is booming. What’s in it for urban transport?

Bianca Bianchi Alves's picture
Também disponível em: Português
 

Worldwide, e-commerce has experienced explosive growth over the past decade, including in developing countries. The 2015 Global Retail E-Commerce Index ranks several of the World Bank’s client countries among the 30 most important markets for e-commerce (China ranks 2nd, Mexico 17th, Chile 19th, Brazil 21st, and Argentina 29th). As shown in a 2017 report from Ipsos, China, India, and Indonesia are among the 10 countries with the highest frequency of online shopping in the world, among online shoppers. Although growth in e-commerce in these countries is sometimes hindered by structural deficiencies, such as limitations of banking systems, digital payment systems, secure IT networks, or transport infrastructure, the upcoming technological advances in mobile phones and payment and location systems will trigger another wave of growth. This growth will likely lead to more deliveries and an increase in freight volume in urban areas.

In this context, the Bank has been working with the cities of Sao Paulo and Bangalore to develop a new tool that helps evaluate how different transport policies and interventions can impact e-commerce logistics in urban areas (GiULia). Financed by the Multidonor Sustainable Logistics Trust Fund, the tool serves as a platform to promote discussion with our counterparts on a subject that is often neglected by city planners: urban logistics. Decision-making on policies and regulations for urban logistics has traditionally been undertaken without sufficient consideration for economic and environmental impacts. For instance, restrictions on the size and use of trucks in cities can cause a number of side effects, including the suburbanization of cargo, with warehouses and trucks located on the periphery of cities, far from consumers, or the fragmentation of services between multiple carriers, which may lead to more miles traveled, idle truck loads, and inefficiencies.

Gender equality hits the highway in Northern Brazil

Satoshi Ogita's picture


Young women, some still girls, await long-haul truck drivers that stop by a gas station in the State of Tocantins, located in the North region of Brazil. Here, impoverished women and girls look to get extra cash in exchange for sex, a phenomenon seen on a daily basis in small towns along the federal highway BR-153. The high dropout rate of girls and gender-based violence are commonplace there. While better road infrastructure brings more economic opportunities to the region, higher road traffic and activity can also increase social risks like gender-based violence.   
 
A World Bank’s multisectoral project in Tocantins seeks to improve efficiency of road transport, in particular, state and rural road network, and to support institutional strengthening in the following five sectors: public administration, agriculture, tourism, environment, and education. While the project does not include any roadwork specifically on the highway BR-153, it aims at reducing existing risk of gender-based violence along the highway as part of the education component of the project.  
 
Schools play an important role in building respectful relations between girls and boys, challenging gender-based stereotypes and combatting discrimination that contributes to violence against women and girls. Accordingly, based on the level of the dropout rate and violence statistics, six high schools along BR-153 were selected to host a pilot initiative to improve awareness of gender-based violence and in the area.

When cities forget about pedestrians, big data and technology can serve as a friendly reminder

Bianca Bianchi Alves's picture
Photo: Lazyllama/Shutterstock
Paraisópolis, a nationally famous slum area in São Paulo, Brazil, is one of those bustling communities where everything happens. Despite being located in the middle of the city, it managed, unlike other poor slum areas, not to be reallocated to make room for more expensive housing or public infrastructure. The area boasts vibrant community life, with more than 40 active NGOs covering issues that range from waste management and health to ballet and cooking. Recently, the area also benefited from several community upgrading programs. In particular, investments in local roads have facilitated truck access to the community, bringing in large and small retailers, and generating lively economic activity along with job opportunities for local residents.

As we continue our efforts to increase awareness around on-foot mobility (see previous blog), today, I would like to highlight a project we developed for Paraisópolis.

While most of the community has access to basic services and there are opportunities for professional enhancement and cultural activities, mobility and access to jobs remains a challenge. The current inequitable distribution of public space in the community prioritizes private cars versus transit and non-motorized transport. This contributes to severe congestion and reduced transit travel speed; buses had to be reallocated to neighboring streets because they were always stuck in traffic. Pedestrians are always at danger of being hit by a vehicle or falling on the barely-existent sidewalks, and emergency vehicles have no chance of getting into the community if needed. For example, in the last year there were three fire events—a common hazard in such communities—affecting hundreds of homes, yet the emergency trucks could not come in to respond on time because of cars blocking the passage.

Are roads and highways the Achilles Heel of Brazil?

Frederico Pedroso's picture
Also available in: Português
Photo: Ricardo Giaviti/Flickr
Over the past three years and a half, our team has been working on a transport project with the state of São Paulo in Brazil. The project involves a lot of traveling, including frequent commutes between the World Bank office in Brasilia and the State Department of Transport in São Paulo (DER-SP)—a journey that is estimated to take 2 hours and 40 minutes. This includes the time to drive from the World Bank office to Brasilia Airport, flight time, and commuting from São Paulo’s Congonhas Airport to the State Department of Transport.
 
Let’s say that, on a typical Wednesday, the team needs to attend a meeting in São Paulo. To ensure we can make it on time, we plan our day carefully, book our flights and define the right time to leave the office in Brasilia. With a plan in place, we leave the office at 10:00 am and head to Brasilia Airport. The first leg of the trip takes 35 minutes and we manage to arrive early for our 11:00 am flight, which, unfortunately, is delayed by 20 minutes. We land in São Paulo, quickly get out of the terminal, and manage to hop on a taxi at 1:20pm… not bad! We are now on the last leg of our journey, a mere 14-kilometer drive between Congonhas Airport and the meeting place, which is supposed to take only 20 minutes. However, there is a short thunderstorm that floods the city and closes off key streets. This single event leads to complete traffic chaos along the way, and our planned 20-minute transfer from the airport turns into a 1-hour-and-15-minute ordeal. These traffic disruptions have a serious impact on our meeting as well, as some Department of Transport staff cannot join and some items of the agenda cannot be discussed.
 
This incident may seem anecdotal, but it is a good illustration of our extreme dependency on transport systems and the weaknesses associated with it. Because transport is so critical to our social and economic lives, it is extremely important to understand, anticipate, and minimize the different types of risks that may impact transport systems.

“Bike & Ride” to a cleaner environment and better health in Rio

Daniel Pulido's picture
Poor “Cariocas” living in the periphery of the Rio Metropolitan Region spend a very long time commuting. People from the city’s outskirts travel, on average, almost 90 minutes a day to and from work. Despite important improvements in the quality of mass transit in the metro region, Rio still has more to do to maximize the accessibility benefits of its recent major investments in rail and bus-based transit systems. Infrastructure still needs to be designed and upgraded to facilitate transfers between different motorized and non-motorized transport modes. And services (municipal and intermunicipal buses) need to be better coordinated and integrated with mass transit modes.

Bicycles can play an important role in solving the first and “last mile” problem (in fact, they offer a solution for the first and last three miles!) and in promoting sustainable transportation. The integrated bicycle-mass transport solution makes public transport much more attractive for users living within a radius of 5 kilometers from a mass transit station. At this distance, it would take a commuter 15 minutes to ride a bike to a station compared to an hour of walking. Not only does bike and rail integration improve quality of life by promoting health and reducing travel times and emissions, it can also result in benefits for transport operators in the form of increased ridership.

For this reason, in addition to financing new energy-efficient trains for the suburban rail system, our Project in Rio is supporting a bike-rail integration program, including financing for the development of the program’s business model and for the acquisition of a small number of bicycles to pilot the venture.
 

Sustainable cities, two related challenges: high quality mobility on foot and efficient urban logistics (Part I) ​

Bianca Bianchi Alves's picture
 
Peatonito is a Mexican transport specialist using humor to interact with drivers and create awareness about the need to respect traffic rules. Photo: Peatonito / Flick


Walking is the cheapest, most non-polluting, and possibly healthiest mode of transport. And dense cities seem to be a pre-existing condition for enabling us to meet our daily walking needs, along with diversified land uses, typically called “mixed-use development”. Densification and “mixed-use development” are currently seen as a strategy for designing sustainable cities, and many high-quality mobility plans, which consider the interactions between land use and transport, also pursue this type of urban development.

But densification and “mixed-use development” present (at least) two challenges. The first is how to provide quality pedestrian infrastructure that encourages non-motorized mode choices. The second is how to efficiently deliver the large quantities of goods required in these dense cities. These were the themes of successful seminars recently held in Sao Paulo, Brazil, thanks to a World Bank’s Global Environmental Facility grant.
The “mobility by foot” seminar was a four-day learning event on pedestrian mobility organized by Brazil’s Associação Nacional de Transportes Públicos.  In Brazil, as in most cities in Latin America, around 35% of people’s daily trips are on foot, and there is evidence that this number is underestimated given the limitations of current data collection methods. Given the priority in reducing the impact of our carbon “footprint” (or “carprint”), governments need more evidence and incentives to move the sustainability agenda forward.

Sao Paulo’s Innovative Proposal to Regulate Shared Mobility by Pricing Vehicle Use

Georges Darido's picture
Taxi drivers in Sao Paulo recently protesting the regularization of TNCs such as Uber.
Photo by: Diego Torres Silvestre / Flickr

How to regulate and manage the emerging services of shared and on-demand mobility? This was a topic of much debate during the most recent Transforming Transportation event, a major global conference of transport professionals organized by the World Bank and the World Resources Institute in Washington DC in January 2016. 

One recent development from Sao Paulo stands out as a worthwhile effort to balance the objectives of promoting innovation by Transportation Network Companies (TNCs, such as Uber, Lyft, EasyTaxi, 99Taxi, and others) and ridesharing services (such as BlablaCar, Caronetas, Tripda and others) with the interests of the city and its residents. 

The Municipal Government of Sao Paulo has published for public comments until January 27, 2016  a draft decree to charge TNCs an upfront fee based on an estimate of vehicle-kilometers, also referred to as “credits”, to be used by its fleet of passenger cars in a two month period, plus a surcharge if credits are exceeded.   The idea is that any registered TNC could bid in an online public auction to purchase credits periodically and with certain limitations to ensure competition.  This approach would create a market for these credits and be aligned with the principle commonly known in the vehicle insurance industry as “pay-as-you-drive”, and would allow the city to receive a fee from TNCs for the commercial use of its public road infrastructure, which can then be used to better manage and maintain it.   The decree would exempt free ridesharing services which the city believes would help reduce the total number of vehicle-kilometers on its congested road network.

Rio: A hot city tackles global warming through mass transit

Daniel Pulido's picture
SuperVia, Rio de Janeiro / 2.0 Brasil

It is the end of another hot day in Rio de Janeiro. I’m tired and sweaty after spending the afternoon checking out the progress on some of the city’s train stations, which are being renovated for the upcoming Olympic Games. But I’m also happy, having witnessed the progress made in improving Rio’s suburban rail system, known as SuperVia, which the World Bank has been supporting for the last 20 years.

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