Insights on Green Transport Card Scheme: Reducing Disadvantages, Study notes of Transportation Engineering

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Reducing transport disadvantages: Insights from

investigating a scheme to make public transport

more affordable

Nick Potter, Ministry of Transport

Context The ‘green card’ investigation

4

Some insights from this investigation

3

PT’s role in reducing disadvantages

2

Why we need to look at transport disadvantages

1

What we’ll cover today…

Very few councils offer discounts to CSC holders

 Discounts in Hawkes Bay, Taranaki, Horizons (Manawatū-Whanganui), Nelson, and Tasman

• These regions account for only two percent of all public transport passenger trips in New Zealand

What the investigation covered

• The case for the proposed scheme
  • Role of public transport in reducing disadvantages
  • Wellbeing impacts
• Implementation challenges and opportunities
• Benefits and costs
• Funding principles

I’m only covering these parts today

Our transport system needs to be inclusive

Enabling all people to participate in society through access to social and economic opportunities, such as work, education, and healthcare

Access depends on…

• the availability of safe and timely transport options
• the affordability of those options, and
• people’s abilities (including any physical/mental impairments)

People who face transport barriers due to limited affordability, and/or a lack of available transport options that they are able to use, are transport disadvantaged.

Insights from international research

• High transport costs can prevent low-income people from accessing or using certain services (e.g. healthcare)
• Limited alternatives may force disadvantaged individuals into car ownership
• Sixty per cent of households in the UK that are ‘forced’ to own a car are at risk of poverty and social exclusion
• The poorest households can become stuck , not having the skills, transport services or financial means to access jobs in areas where they can earn more

For a useful overview see UK Government Office for Science (2019), A time of unprecedented change in the transport system.

Transport disadvantages can reinforce

social disadvantages

Live in cheaper housing areas (e.g. outer suburbs)

Low income

Poor transport options to get to work, education, and health services

High transport costs

Access to fewer opportunities

Making transport more inclusive can also

benefit productivity

‘Human capital’ grows as people have better access to:

• Education
• Jobs
• Health services
• Healthy food choices
• Support networks

‘Social capital’ grows as transport connects communities.

14

14

Context The ‘green card’ investigation

4

Some insights from this investigation

3

PT’s role in reducing disadvantages

2

Why we need to look at transport disadvantages

1

The SuperGold scheme has shown this

Free off-peak public transport concessions has led to seniors and veterans:  participating more in society  enjoying greater independence  meeting more people  enjoying more physical and mental activity  using their cars less.

Results of a 2009 review. See https://www.nzta.govt.nz/assets/consultation/super-gold-card/docs/survey-nov-2009.pdf

Four ways to create a more inclusive and productive

society through public transport

Availability

Increase service frequencies, coverage, and reliability

Affordability

Reduce costs for disadvantaged groups

Abilities Make services accessible for people with disabilities

PLUS Locate social housing near high frequency public transport services

We looked at the public transport affordability

part of the mix

• Affordability is relative – it depends on a household’s ability to pay for essential transport without experiencing financial hardship or financial stress
• Public transport fare increases/decreases have a disproportionate impact on low-income households
• There is a lack of research on transport affordability in New Zealand

Affordability

Some major research gaps

For low-income earners, we do not know:

• How often they use public transport
• How much more they would use public transport if there were cheaper fares (and/or better services)
• How much they spend on local transport, as a proportion of income
• The extent of price barriers