Free winds are a blowilf, says Clarke
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A KEEN wind of private enterprise is waiting to blow through the bus industry, according to Junior Transport Minister Kenneth Clarke. He told local authorities to seek the best buy for the taxpayer when he spoke at the Association of Transport Co-ordinating Officers' annual general meeting in London.
He said: "The Transport Act 1980 produced a fare-cutting war among the new express bus operators, but its most drastic effects have yet to emerge, Bus operators are having to adjust to the economic pressures of failing traffic and rising fuel bills and costs, but the Act brings the challenge of competition at the same time.
"The network of bus services in town and country should change to match customer demand at a price which the passenger and the ratepayer can afford.
"The battle among the express coach operators has broken out in an area where the Act has ended all licensing control" continued Mr Clarke. "We expect soon to have.the first applications from county councils to set up trial areas.
"In all areas the first bus operators are applying for an end to fare controls on stage services so that price competition can now begin," said Mr Clarke. "Some municipal undertakings and big city passenger transport executives are fearing encroachments on their hitherto protected territories by operators and independent bus operators are identifying the cross-country routes where they can provide a better service to rural travellers at less cost."
Mr Clarke went on: "Local authorities are considering the possibilities for volunteers, community buses, and car sharing in rural areas.
"The pattern of passenger transport will steadily change everywhere as the full implica tions of the Act are felt," forecast Mr Clarke.
"Operators are testing the temperature at the moment but ministers, using their policy decisions, and if necessary their powers of appeal over traffic commissioner rulings, will alter significantly the climate for bus operating over the next few years.
"The difficult economic situation could accelerate change in the passenger transport world. Operators need to cut costs and to win and keep customers to survive or expand. The established operator cannot rely on licensing to exclude his rivals and to force councils and passengers to pay the bill for openended losses.
"The need to win customers and woo county councils will be a new experience for some longestablished big city transport monopolies and for some regional giant companies," said Mr Clarke.
"County councils will have to choose routes where they feel there is a public need for a service to be provided that fares alone cannot support and should shop around for the operator that will provide that service at least cost to public funds," advised Mr Clarke.