Public transport for rural areas: Fighting the vicious circle of rising costs, reduced service

Analysis of international experiences points to ways of ensuring public transport access for declining, ageing rural populations.

Providing good public transport services for rural areas has become a challenge for public authorities in many countries. To ensure continued access to public transport for citizens in rural areas, the definition of “public transport” should be reconsidered by public authorities, according to a new report by the International Transport Forum at the OECD.

Low population density and competition from private cars make it difficult to operate profitable commercial public transport services in rural areas, as costs per passenger are much higher than in densely populated cities. Maintaining service levels through public subsidies is becoming more difficult in view of rising operating costs and constrained public funding ‑ leading to a vicious circle of reduced service or higher fares to contain rising costs.