Contents - SPAD

Whilst the existing regulatory regime within the industry is undertaken to some degree by SPAD,
through revised licensing arrangement it is generally agreed that the regulatory process needs
reform and that the transition to the revised process would need to be considered.
Setting RapidKL to one side, the public sector currently does not stipulate routes; timetables or
other element of bus services provision, but it does manage the licensing process for routes, and it
does set and enforces fares for all passengers.
In order to consider the transition from the existing regime to a new model, it is acknowledged
that the public sector should:
Determine the short and long term objectives for the performance of the above
Develop the necessary strategy and policies to achieve these objectives
Plan, provide, secure or promote the provision of a properly integrated, safe, economical
and efficient transport system by road
Supervise the testing, registration and licensing of motor vehicles and drivers
Supervise the regulation, management, safety and control of road traffic and the transport
of passengers and goods
Promote training and the welfare of those involved in providing LPT services
In ensuring that these services are delivered a transition process needs to be established and
implemented setting out the government‟s desires for the LPT network in terms of its day-to-day
operation, the controls over competition and the mechanisms through which the network can be
altered and adapted to changing travel demands and a clear process and timetable for moving from
the existing licensing regime to a Gross Cost Contract Regime. This will take a number of years
recognising the need to re-plan the entire network, the need to progress with tendering at a pace
that operators can respond to effectively and simply the time taken to invite, assess and award
contracts. Additionally it is not yet known precisely when new rail initiatives will come on stream
and it will be necessary to match bus network changes with the introduction of new rail services.
It is this transitional process that needs to be adopted before any radical improvements can be
made to the network, so that all parties are clear as to the purpose of change, the process and
timescale within which it is going to be implemented and commitment from all to support the
transitional arrangements.
The provision of a well planned, integrated bus network forms a central focus within an overall
Integrated Transport Strategy, especially where the bus operators are provided with contractual
incentives to improve the quality of the service and to maintain the inherent flexibility of roadbased
LPT. However, it is important to recognise that on its own, a reform of the bus industry is
unlikely to deliver the necessary transformation of bus LPT.
As has been found in many situations elsewhere, it is often the implementation of a whole-scale
package of transport-related measures as discussed in Chapter 4 that produces modal shift, rather
than simply the provision of an improved network. It is with the LPTMP and the associated plans
that the improvements that are needed within the LPT industry can be achieved. Critical to
delivery of these changes, however, is the specification of standards and, as appropriate, their
inclusion in route and area contracts.
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