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Latin America & Caribbean

An Evaluation of Bogota’s Pro-Poor Transport Subsidies— How effective are they?

Camila Rodriguez's picture

Public transport is an important mode of transport, especially for low-income populations. Cities, however, struggle to provide public transport services for fares that are both affordable and financially sustainable. Since meeting both goals is quite difficult, transport systems either end up relying on high levels of subsidies or charging transit fares that are too expensive for the city’s poor.

To tackle this challenge, the World Bank in 2013 supported the city authorities of Bogotá, Colombia, in designing a pro-poor transport subsidy scheme that would help low-income populations have access to more affordable public transport. In Bogotá fares for its new public transit system are set higher -closer to cost-recovery levels-, than in other cities that provide greater public subsidies to their operators. Despite having more sustainable fares, Bogotá risks excluding people from its transport services—in fact, households in the poorest areas of the city spend a greater percentage of their income on transport, between 16% to 27%, compared to a maximum of 4% in areas that are relatively richer.

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.

Picking up the Glove on Road Safety

Verónica Raffo's picture
I was part of the World Bank delegation that participated in the 2nd Global High Level Conference on Road Safety, held in Brasilia on November 18-19. 
 
I arrived with high expectations on what this event could mean in terms of re-launching international efforts to fight against this global epidemic that kills 1.25 million people, and maims another 50 million, every year.
 
For the road safety community, the Brasilia conference was a crucial moment to take stock of what has been achieved so far, and rethink the strategy towards the future so the international community can scale up action and funding to meet the UN Decade of Action  targets and the respective SDG targets on road safety.
 
In these first five years of the Decade of Action (2010-2020), the initial objective, namely stabilizing road deaths, has been achieved: global road deaths (per year) have plateaued since 2007, as shown by the WHO latest report. We  should note, however, that among the largest contributors of road deaths (China, India, Brazil, among others) there is significant potential for under-reporting.
 
In any case, we are still far away from the objective at the heart of these international commitments: reducing road deaths by half by the end of the decade.  And we should also note that 90% of these deaths continue to happen in low and middle-income countries, affecting the youngest and most vulnerable.
Streets in Bogota / Photo: Carlos Felipe Pardo, Flickr.

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.

Will the Asian Infrastructure Investment Bank become the new musketeer?

Arturo Ardila's picture
On Monday, China officially launched the Asian Infrastructure Investment Bank (AIIB) in a ceremony with representatives from the bank's 57 founding-member countries. AIIB will have a capital base of US$100 billion, three-quarters of which come from within Asia.
 
Infrastructure is a growing need for Asia,
and collaboration is critical to filling
gaps. Photo: World Bank

At the inaugural ceremony in the Great Hall of the People, Chinese President Xi Jinping reaffirmed the new institution's mission, saying that "Our motivation [for setting up the bank] was mainly to meet the need for infrastructure development in Asia and also satisfy the wishes of all countries to deepen their co-operation."

Indeed, the AIIB is a major piece of China's regional infrastructure plan, which aims to address the huge needs for expanding rail, road and maritime transport links between China, central Asia, the Middle East and Europe. But the AIIB should also represent a huge opportunity for cooperation not only between countries in the region but also with other multilateral development banks.

Our experience working on transport mega-projects co-financed by several multilateral development banks (MDBs) already shows that this collaboration is much needed and critical for the success and viability of mega-projects. The most recent experience with the Quito Metro Line One Project, for example, shows that the co-financing banks – World Bank, Inter-American Development Bank, Andean Development Corporation and European Investment Bank –  brought not only their financial muscle but also their rich and diverse global knowledge and experience.  Incidentally, because of the Quito Metro project, all the MDBs involved in the project were dubbed as the  “musketeers, ” precisely due to the high degree of collaboration and team work that is making this project a success.

Colombia says "Yipi" for public transit

Leonardo Canon Rubiano's picture
As many Colombian cities struggle to keep public transit ridership levels, one city is innovating using technology, gender-sensitive employment, and ideas from Asia to curb the “mototaxiing revolution” and restore ridership loss.
Moto-taxis in Sincelejo, Colombia. Photos: Leonardo Canon

An increasing “motorbike revolution” – represented by spectacular increase in motorbike motorization and reliance on door-to-door motorized services – has changed the rules of the game and cannot be obviated in transport systems.

Flicking through the Uber website, we found that the company used to offer an “UberMoto” service in Paris from 2012 to 2013. Meanwhile, on the other side of the Atlantic, the local Colombian newspaper headlines discuss the legislation forbidding male passengers on motorcycles in a number of cities in an effort to curb moto-taxis.

The impact of motorbikes cannot be ignored. Purchase of motorbikes and operation of moto-taxis have been identified as key drivers for a modal shift from public transit to private vehicles in many places around the world, including Colombia. The nationwide phenomenon of moto-taxis has revolutionized mobility in small and medium-size Colombian cities, and has become a source of income for many.

Changing lives along the road in Honduras

Marcela Silva's picture

We arrived in the village of La Redonda-El Aguila, Honduras at ten o’clock in the morning, when the temperature was already about 94 degrees Fahrenheit. We were warmly welcomed and invited to take a short walk to the place they had prepared specially for us to hold our meeting. We were offered bean tamales and coffee, and began the meeting with members of two road maintenance microenterprises that are supported through a World Bank-financed project.

The microenterprises program was launched in 2013 under the Second Roads Rehabilitation and Maintenance project with a goal of creating 10 microenterprises to maintain 310 kilometers (192 miles) of roads. The routine maintenance work includes cutting and clearing vegetation on both sides of the road to ensure good visibility, cleaning drainage systems, keeping the roads free of debris and occasionally patching holes in the road. Microenterprise members earn wages from their work, which they invest into their households and communities.

Each microenterprise is supported by a supervisor, usually a civil engineer, who teaches members how to do the road maintenance work efficiently and effectively. Additionally, members learn how to meet conservation standards, as well as gain understanding of why maintenance activities are so important to extend the life of the road. The supervisor performs a progressive evaluation and on-the-job training for all micro-entrepreneurs. Upon completion of the training, the microenterprise is granted a contract to carry out labor-intensive routine maintenance activities over a stretch of road (at a ratio of about three kilometers per partner) for a period of 12 months, which is renewable subject to satisfactory performance. 

Ultimately, the program empowers entrepreneurs to become permanent contributors to the conservation of their roads. 

Do better roads really improve lives?

Eric Lancelot's picture
Also available in: Español | Français | العربية | Português

How can improved roads change peoples’ lives? How much do people benefit from road projects? Answering these seemingly simple questions is, in fact, much trickier than it appears.

We recently concluded an impact evaluation to measure the socio-economic impacts of World Bank-financed municipal road improvements on poor rural households in the state of Tocantins, Brazil. After 10 years of study, what were the results and lessons learned? And how did we go about conducting the evaluation?

The study followed a methodology traditionally used in impact evaluations in the social sector and was based on a precedent in Vietnam. Throughout the state, one of the least-developed and least-populated in Brazil, most municipal roads are unpaved with inadequate maintenance. The World Bank’s municipal roads project helped construct 700 concrete bridges and 2,100 culverts crossing rivers and streams, providing year-round access to remote populations that once couldn’t access municipal centers during rainy season.

The anticipated result chain of the project was as follows: improvement of physical accessibility would contribute to increase travel demand to markets, schools and health services. This would, in turn, contribute to improved education, better health and increased business opportunities. Finally, it would result in long-term household income growth.

Our study aimed at measuring these impacts through a “difference in differences with matching,” a method that compares a treatment group (population benefiting from the interventions) and a control group (population that does not), while ensuring similar socio-economic characteristics (or comparability) between groups. An “instrumental variables estimator” was then used to confirm the robustness of the results.

The results show positive socio-economic impacts to rural residents, as well as provides for several policy implications:

How does accessibility re-frame our projects?

Tatiana Peralta Quiros's picture
The increasing availability of standardized transport data and computing power is allowing us to understand the spatial and network impacts of different transportation projects or policies. In January, we officially introduced the OpenTripPlannerAnalyst (OTPA) Accessibility Tool. This open-source web-based tool allows us to combine the spatial distribution of the city (for example, jobs or schools), the transportation network and an individual’s travel behavior to calculate the ease with which an individual can access opportunities.

Using the OTPA Accessibility tool, we are unlocking the potential of these data sets and analysis techniques for modeling block-level accessibility. This tool allows anyone to model the interplay of transportation and land use in a city, and the ability to design transportation services that more accurately address citizens’ needs – for instance, tailored services connecting the poor or the bottom 40 percent to strategic places of interest.

In just a couple of months, we have begun to explore the different uses of the tool, and how it can be utilized in an operational context to inform our projects.
 
Employment Accessibility Changes in Lima,
Metro Line 2. TTL: Georges Darido

Comparing transportation scenarios
The most obvious use of the tool is to compare the accessibility impacts of different transportation networks. The tool allows users to upload different transportation scenarios, and compare how the access to jobs changes in the different parts of the city. In Lima, Peru, we were able to compare the employment accessibility changes that were produced by adding a new metro line. It also helped us understand the network and connectivity impacts of the projects, rather than relying on only travel times.

Understanding spatial form
However, the tool’s uses are not limited to comparing transport scenarios. Combining the tool with earth observation data to identify the location of slums and social housing, we are to explore the spatial form of a city and the accessibility opportunities that are provided to a city’s most vulnerable population.  We did so in Buenos Aires, Argentina, were we combined LandScan data and outputs from the tool to understand the employment accessibility options available to the city’s poorest population groups.

The Rio Via Lilas initiative: Using transport infrastructure to help reduce gender-based violence

Shomik Mehndiratta's picture
A train decorated with a "Via Lilas" awareness campaign leaves Rio's Central Station.
Follow Shomik (@shomik_raj) and Daniel (@danpulido) on Twitter

There was cause for celebration at the State of Rio de Janeiro’s Office of Women’s Affairs last week. The office had just launched a new program that provides support and legal assistance to survivors of gender-based violence, which was covered by a wide range of media and commemorated by a visit from senior World Bank leadership to Brazil.

Our team is currently visiting Rio to help with activities for this new program, called “Via Lilas.” Rio’s government has a lot to cheer about; the program is both innovative and significant.  Its primary component is a system of electronic kiosks, placed at stations along Supervia suburban rail lines, which contain helpful information about how women can seek support for gender-based violence.
 
Women using a "Via Lilas" kiosk

The placement of these kiosks is strategic; the Supervia provides some of the poorest communities in the region access to jobs and services. 

​The rail service connects downtown Rio de Janeiro to the periphery in this sprawling metropolitan area of more than 4,500 square kilometers and 12 million people. Outlying parts of the metropolitan area, such as the community of Japeri, can be more than two hours by train to Rio’s Central station.

​The “Via Lilas” kiosks will be placed at high-profile locations along the Supervia system, providing easy information access to the approximately 700,000 passengers who use the rail network each day.

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