Here you find FAQs regarding the Swedish Public Transport System and Svensk Kollektivtrafik (the Swedish Public Transport Association).
Can you give some basic information about Sweden?
About 8,9 million people live in Sweden, the size of which is 450.000 km2. The administrative system consists of 21 counties and 290 local authorities. Most people live in the southern part of the country. Especially the mountainous north of Sweden is very sparsely populated.
Who is politically responsible for public transport in Sweden?
The responsibility for public transport (“PT”) development is divided among many authorities. The role of Government is mainly to secure that basic transport needs are satisfied and that good conditions for co-ordination and development of PT are created. This is done mainly through legislation and investments in traffic infrastructure. The Government also provides grants for research and development within the transport field. The Swedish Transport Administration began operations on 1 April 2010. It is a public authority that takes on responsibility for long-term planning of the transport system for road, rail, maritime and air traffic. The Swedish Transport Administration has a large responsibility to advance the development of public transport.
However, the real responsibility for local and regional public transport lies with the public transport authorities i.e. the local authorities together with the County Council in each county. Financing is arranged by local authorities and the county council in the respective county by covering deficits. As a rule each party contributes 50 % of the deficit. PT in Sweden is characterized by county-wise coordination under a Public Transport Authority (“PTA”), which is politically and financially responsible for all local and regional public transport within the county.
How are the PTAs organised? How do they operate?
As a general rule the PTA of each county is jointly owned by the local authorities and the county council. An exception is the County of Stockholm where the PTA is fully owned by the county.
The advantages of this form of organisation are:
- good conditions for traffic planning and for the application of uniform rates for all sections of services,
- changing between different means of transport is facilitated as well as information about available output by way of departure and arrival times, changing points etc.,
- the co-ordination also provides opportunities for a more effective use of resources and for a decrease in the need for deficit contributions from society.
The members of the board of the PTAs are politicians from the county and from the local authorities.
The most common form of supplying public transport services to customers is through procurement. Over 95% of all local and regional PT services in Sweden are procured under competition by the PTAs. By doing so the self-financing ratio (ticket income / total costs) has risen to more than 55%, thus lowering the need for subsidies.
Since when have the PTAs been able to use competitive tendering procedures?
The possibility to procure traffic under competition has proven to be decisive factor for a positive development. Procurement has not only led to reduced traffic costs but also to fulfilment of other important public goals such as public transport with better environmental qualities, improved road safety and better accessibility for the disabled. It is doubtful whether it had been possible to reach these goals so quickly if a public transport authority had not existed in the different counties.
The milestones of the Swedish PT-history can be summarised as follows:
- The Public Transport Authority reform in 1978: Each region was to establish a PTA with the above mentioned qualifications..
- The 1988 Transport policy decision. Transport authorities became responsible for county rail services. Government contribution towards operational costs during ten years. Government grants for investments in public transport infrastructure etc.
- In 1989, the public transport authorities became responsible for all local and regional scheduled transport, i.e. public transport by bus, train and boat. The possibility for procurement via competitive tendering was established.
Which kinds of contracts exist between the PTAs and the operators?
Basically, it is possible to classify the contracts as follows:
- Gross contracts: This is the dominant contract form in Sweden. The operator undertakes to produce an agreed amount of transport services. Compensation is paid to the operator while all ticket income goes to the PTA. The compensation is generally not linked to the number of passengers. However, certain forms of positive and/or negative incentives for reliability, punctuality, cleaning services etc. have been developed.
- Net contracts: The operator receives a (rather small) fixed amount from the PTA for the produced traffic, but is in addition given the right to receive and keep ticket revenues. Consequently, the operator takes a higher economic risk. In order to be able to influence the number of passengers to match to this risk, the operator may be in charge of route planning, fares etc.
How has the PT-system developed over the last few years?
During the years when tendering procedures were started (early 1990’s) after the deregulation in 1989, the cost reductions of the PTAs amounted to about 20%, regionally even higher (up to 40%). The self-financing ratio which was below 40% in the late 1980’s, rose as a consequence to over 50% in 1994, as the ticket income increased at the same time. Since 1998 an upward tendency in the cost level can be noticed. This is mainly due to the following facts:
- Increase in PT services (in terms of quantity and quality)
- Higher procurement costs: After years with emphasis on gaining market shares, the operators now concentrate on the profitability of their services.
Despite the higher costs, the self-financing ratio remained stable since an increase in the number of passengers contributed positively to the financial situation of the PTAs. Between 1993 and 2001 the number of passengers rose by about 9.2 percent.
What characterises the Swedish PT-market today?
The total annual cost of the public transport market is 20,8 billion SEK. About 1 billion journeys are made each year.
The bus market is characterised by a few large companies: Nobina, Veolia Transport and Busslink account for almost 50% of the total fleet, which consists of more than 13.000 buses. All three companies have a foreign majority owner and are engaged in contracts all over the country. On the other hand, there is a large number of smaller companies. For example, 1,450 bus companies have only 1 – 9 buses and operate mostly locally. Smaller companies often hand in a joint bid at procurements. 80% of the bus companies are private. The largest public company is “Göteborgs Spårvagnar” operating about 350 buses and the entire tramway traffic system in Gothenburg.
Also the market for interregional bus services is deregulated. Especially routes between large cities such as Stockholm – Gothenburg are being operated.
Railway traffic is still dominated by the former monopolistic enterprise “Statens Järnvägar” (SJ AB). SJ AB has the right to operate profitable interregional train services. Non-profitable but essential interregional train services are procured through competitive tendering procedures by Rikstrafiken, the state-owned tendering authority for this purpose. Some private companies managed to win several of these tendering procedures.
At the local level, MTR is responsible for the underground services in Stockholm. Also the commuter trains in Stockholm are run by a private company (Citypendeln).
What are the main challenges for the future?
Hardly surprising, it is the financial constraints that represent the main challenge in supplying attractive public transport services in the future. In order to convince more people to use public transport it is imperative to offer even higher quality, more reliable and more customer-oriented services. The contracts with the operators are constantly developed as more incentive systems are added. In this way the operators will be encouraged to take over more responsibilities. And finally, the number of passengers they transport should also have a certain effect on the financial compensation paid by the PTAs.
What is the Svensk Kollektivtrafik (the Swedish Public Transport Association) and how is it organised?
Svensk Kollektivtrafik is the trade organisation of local and regional public transport in Sweden. Svensk Kollektivtrafik has two kinds of members: Firstly, all PTAs (21 – corresponding to the number of counties) together with seven local PTAs are so-called active members that finance the activities of Svensk Kollektivtrafik. Secondly, there are 80 associated members, who are suppliers to the PT industry. Svensk Kollektivtrafik has a staff of nine (incl. the managing director) and represents an effective and strong voice in favour of public transport.
What are the main goals of Svensk Kollektivtrafik?
The overall aim of Svensk Kollektivtrafik is to strengthen the competitive power of public transport in order to attract more people to use it. Derived goals are to convey a positive image of public transport, to increase safety and security in PT, to improve accessibility to PT for disabled people and to make PT more environmentally friendly.
By which means are these goals to be achieved?
The interests of the PT industry are communicated to politicians via lobbying efforts and information. Of course, information and know-how transfer to the members is another important issue.
Svensk Kollektivtrafik arranges conferences for its members and for politicians of the regional/local authorities and is one of the organisers of the large annual public transport fair in Sweden. In addition, in the field of business development, Svensk Kollektivtrafik organises courses, gives expert opinions on current topics and participates in special research groups. It can be seen from this enumeration that project work is dominant within Svensk Kollektivtrafik.
Can you give examples on such projects?
The following projects are a few examples of the broad range of topics covered by Svensk Kollektivtrafik:
Environment: Environmental awareness is one of the most important arguments in favour of public transport. Svensk Kollektivtrafik has created an environmental programme, which functions as a guideline for all public transport authorities in Sweden. The stipulated aims are to reduce nitrogen oxides emissions and particles from diesel engines, and – in the long run – also greenhouse gases such as carbon dioxide. The programme is designed for implementation in the environmental management systems of the PTAs, but can also be transferred into requirements in tender documents.
Safety: Although travelling by bus is the safest way to travel on the road, Svensk Kollektivtrafik is committed to further improve safety in public transport: In addition to a close cooperation with the National Society for Road Safety, a project has been launched together with the Swedish Bus & Coach Federation. The challenging vision of this project is that nobody should be at risk of physical or mental damage or feel insecure while travelling by public transport. A large variety of measures are therefore to be presented. According to Swedish law, all new buses (except city buses) must have seat belts installed. When travelling on a bus with seat belts installed, you are obliged to use the seat belt.
The Swedish Public Transport Barometer: The PT-Barometer is a nationwide, successful tool for the appraisal of public transport by its passengers. Each year about 30.000 people in all Swedish regions are asked about their thoughts concerning quality, loyalty and the attractiveness of PT compared to the car. 17 indicators with a five-point satisfaction scale are used. The core of this new approach in measuring perceived service quality is the use of a web based analysis tool where the PTAs log on and make their own queries, evaluations and comparisons. The tracking feature of the barometer has given the PTAs instant market and customer feedback and has opened up the possibility to analyse the effects of market interventions, such as changes in fares, and also to study effects of external factors, such as accidents and system failures. The open structure of the barometer, where all PTAs can compare themselves to each other, has also triggered benchmarking. Ultimately, the results can be used to implement appropriate measures to improve public transport quality.
Driver certification: A nationwide certification system for bus drivers, which goes far beyond mere driving skills. The training is organised partly through self-studies, and partly through classroom training. In addition to the general topics, specific regional knowledge is taught. The exam consists of three parts: "Service" (service-orientated behaviour towards customers etc.), "Overall knowledge" (organisation, vehicle knowledge, environmental regulations) and "Detailed knowledge" (tickets, lines, timetables etc.). After passing the computer assisted exam (open and multiple-choice questions) the student receives a certificate, which is valid for five years. The project is now starting in several regions; in the future the certificate should be a prerequisite in tenders throughout the country. For more information in Swedish please visit www.forarcertifiering.se
Smart card project: In this project a common standard for a contact-less travel card has been established. In a few years this "smart card" can be used in several Swedish regions (and in Copenhagen, Denmark) when travelling by PT. When the card has been charged with money, it is debited with a certain amount for each trip made. Alternatively, the card can be used as a prepaid ticket (e.g. monthly pass).
Accessibility for disabled people: PT should be open to and accessible for all people. There are more than 100.000 people in Sweden with limited vision, 400.000 have some form of movement physical limitations. According to a governmental desicion PT shall be fully accessible for disabled persons by the year 2010. It is evident that only a broad range of measures can make this vision come true. To give an example, new busses must have a low entrance with effect as from August 2003 (according to an EU-directive).
FRIDA: FRIDA is an environmental vehicle Internet database in progress, a collaboration between Svensk Kollektivtrafik and several of the PTAs in Sweden. The purpose of FRIDA is to store, put together, and show information concerning vehicles on regional and national basis. With FRIDA the PTAs and SLTF easily gets answers, that deal with e.g. environment, safety and accessibility. For more information in Swedish please visit www.frida.port.se
Which other Sweden-wide organisations are relevant in the public transport business?
A number of Swedish organisations are described below. Please find a complete list (and their web-links) on this website under Medlemmar:
Svenska Bussbranschens Riksförbund: The Swedish Bus and Coach Federation (BR) is the trade organisation of the professional bus and coach operators in Sweden. For more information please visit www.bussbranschen.se
Tågoperatörerna: The Association of Swedish Train Operators is the trade organisation of the professional train industry in Sweden. For more information please visit www.tagoperatorerna.se
Rikstrafiken: The National Public Transport Agency coordinates longdistance travel. For more information please visit www.rikstrafiken.se
The Swedish Transport Administration began operations on 1 April 2010. It is a public authority that takes on responsibility for long-term planning of the transport system for road, rail, maritime and air traffic. For more information please visit www.trafikverket.se.
Samtrafiken: manages Resplus, a system for performing long-distance connection journeys in Sweden using only one ticket. For more information please visit www.resplus.se