BUS TRANSPORT OPERATION COST ANALYSIS

Abstract

Transportation cost are an important measure of the transportation system performance, it affects the selection of route, the choice of buses and type of service provided. Also the transportation costs are the important determinant of pricing and fare policy. For meaningful evaluation of the financial performance and operational economics of passenger road transport organisation, it is necessary to critically analyse the operating cost, element by element in order to examine cost effectiveness. In this work route cost analysis of bus transport operation at Jaipur (west) depot of Rajasthan State Road Transport Corporation (RSRTC) has been carried out and• basic data for analysis were collected for the months of Oct. 1989 and Nov. 1989. Routes have been ied. categories 'A', 'B' and 'C' based on their Earnings per Km. (EPKM) and Cost per Km (CPK). From the analysis it can be seen that majority of routes are of 'B' class (EPKM > variable cost but less than total operating cost per Km) in both the months. Also average daily unit cost model and regression models, to analyse route cost, have been developed in this study. Average daily unit cost model gives comparable result, when used as a forecasting tool, at aggregate level. But regression model , 2 gives comparable results at -route level as well as at depots level.