Open access can replace long-distance franchises

摘要

On July 17 2015, Britain's Competition & Markets Authority issued a policy statement arguing that on-rail competition between rail operators 'would result in benefits for passengers and taxpayers, including a downward pressure to fares and enhanced service quality' (RG 8.15 p23). CMA began an industry consultation on four possible options to increase such competition for the British long-distance passenger market, with feedback having been due by October 16. The four options are: 1. maintain the existing market structure but with increased open access operations; 2. introduce two franchisees for each franchise; 3. introduce more overlapping franchises; 4. license multiple open-access operators. In my opinion, any such market intervention should aspire to meet three key goals: first, get travellers off the roads; second, to provide attractive and affordable services; and third, to reduce the burden on the taxpayer.