Public Transport & Local rail passenger transport

We assist transport companies with municipal ownership in addressing their specific issues related to in-house procurement according to the issuance guidelines or awards to internal operators in accordance with Regulation (EC) No. 1370/2007. Other key areas of focus include, among others, the preparation and auditing of separation accounts, the establishment of tax cross connections, and the implementation of projects to identify and realize cost reduction potential.

Especially for (private) bus companies, our comprehensive yet SME-friendly consulting services from a single source have proven effective. From annual financial audits and certifications to strategic consulting and the implementation of specific IT solutions that, for example, enable companies to operate more efficiently in the commercial sector. As an owner-managed company, we understand the challenges faced by small and medium-sized transportation companies.

Our railway specialists have gained extensive experience in operational railway operations and combine their operational knowledge with the specific issues arising from the client’s individual requirements. We support railway transportation companies – particularly from an economic perspective – in areas such as tendering, contract negotiations, operational startups, and optimization projects.

Regional rail transport authorities in their role as purchasers and organizers of local rail passenger transport face numerous challenges, as do municipal authorities. The market structure on the part of rail transport companies has changed significantly in recent years. The further development of the award models regarding responsibility for vehicles and workshops as well as their financing models and the considerations for shifting the risk of revenue development to the public authorities (gross contracts) also bring complexity. On the technological side, regional passenger transport authorities also have further options for action and associated complexities to master: From digitalization to alternative drives. propulsion change. They often find themselves in a tension between political expectations, the economic reality of transport companies, passenger expectations, and the limited budget available. Public transport authorities in rural areas face fundamentally different challenges than those in densely populated cities. Funding must be used in compliance with legal requirements – particularly with regard to European state aid regulations – and in an economically efficient manner. In addition, there is an increasing need for coordination between regional authorities – not only in connection with the implementation of the mobility transition. Public transport authorities are also still dealing with the effects of the COVID-19 pandemic on passenger demand, fare revenues, and the municipal budget situation.

SPNV (regional passenger rail transport) authorities, in their role as commissioners and organizers of local rail transport, face numerous challenges, much like municipal transport authorities. The market structure on the side of railway transportation companies has changed significantly in recent years. The further development of allocation models, with regard to the responsibility for vehicles and workshops, as well as their financing models and considerations on shifting the risks of revenue development to the public authorities (gross contracts), adds complexity. On the technological side as well, SPNV authorities must manage additional options for action and the associated complexities: from digitalization to alternative propulsion systems.

Transport associations and fare communities can be seen as a link between local rail passenger transport, public transport, public transport authorities, and approval authorities, all of which are essential for providing an attractive public transport service. The range of tasks for transport associations can, in addition to the traditionally handled topics such as tariffs, sales, and revenue distribution, also include traffic planning, organizing tenders, as well as networking with new mobility services.

In coordination with transport companies and, if necessary, public transport authorities, transport associations further develop the integrated fare system. This development can range from a simple price update to a comprehensive reform of the tariff system. Additionally, transport associations often handle the tariff application process with the approval authority, as well as the coordination and alignment of sales activities. The introduction of electronic tariff systems and sales channels is also being driven forward by the transport associations in many regions.

The application of the integrated tariff system creates the need for revenue sharing, in order to distribute the jointly generated revenues among the transport companies within the association. Transport associations take on the role of neutral intermediaries between the involved parties, handling tasks related to the design and (further) development of the revenue distribution process, as well as practical tasks such as the implementation and settlement of the revenue allocation.

In addition, transport associations also take on planning tasks in the (further) development of the network. This typically includes the coordination and development of route and timetable planning and may also involve the tendering of integrated transport services. In coordination with the public transport authorities, transport associations may also take on additional responsibilities.

Another task may now involve the integration of public transport with new mobility services, such as sharing products or ride pooling, and the further development of the transport association into a mobility alliance. The scope of this integration can vary, ranging from purely commercial cooperation and tariff collaboration to full integration into the transport association.

Approval authorities, regardless of whether they are responsible for general public transport (ÖPNV) or regional passenger rail transport (SPNV), face the challenge of having to apply increasingly complex regulations in practice in a legally compliant manner. In addition, as part of their decision-making process, they often need to weigh the interests of a wide range of stakeholders against each other. Recently, this has been further complicated by concerns arising from aspects such as sustainability and climate protection.

With our interdisciplinary team, we provide advisory support to approval authorities, particularly regarding transport economic issues. This includes, for example, the assessment of different service concepts within integrated public transport plans or evaluating the economic viability of transport design.

We primarily serve transport companies, public transport authorities, transport associations and tariff communities, as well as regulatory authorities in general public transport (ÖPNV) or regional passenger rail transport (SPNV) in Germany and Austria. In addition, we also support associations and other institutions in ÖPNV and SPNV, for example, through industry-wide analyses and contributions to training courses.

We are also happy to share our expertise with companies that have a more indirect connection to ÖPNV and SPNV. Our clients in this regard include, among others, retail companies and real estate investors.