New Mobility Report by Metrolinx

new mobility change to private sector car sharing

There are so many developments in new mobility, and our founder, Sandra, has been asked  We reviewed the New Mobility Report by WSP Group on behalf of Metrolinx, the regional transportation authority for the Greater Toronto and Hamilton Area in Ontario, Canada, which our Founder, Sandra, was a part of their thought leader panel that gave input for this report. 

How will the new mobility change affect the government operations of public transportation?

It’s evident that this rapidly changing and growing industry will change not only transportation systems in particular regions, but the regions themselves as well. The government must be prepared to respond to the rapid shift from public to private sector mobility. 

From Public to Private Sector Mobility

Typically, public transportation is managed by the municipal and provincial governments of the region, but with the emerging industry of new mobility, this is no longer the case. So how does government fit into the role of providing transportation to its residents? According to the report:

Government now needs to re-examine its role and purpose in providing mobility, an effort that could fundamentally alter the current model of government as transit operator. It could lead government toward a role more focused on mobility policy and management, with more limited, strategic choices about the markets it will serve directly.

In redefining it’s role in private-sector transportation, government must also undertake the challenge of keeping pace with the new technologies and service models that are emerging and evolving with new mobility. Other ways in which government may approach the rapidly expanding private-sector mobility surge are to reassess its service for public-sector transportation and consider how new service models can be complementary.

Opportunities for New Mobility

  • Rapid innovation: The private sector is able to innovate more rapidly, which can crossover to the public sector, allowing for more creative and effective service delivery.
  • Improved service: Greater convenience and optimized routing in new mobility makes it more desirable for users, providing quality connecting services for public transit.
  • Reduced draw on government resources: New mobility allows for a decline on public operating costs, allowing for scarce resources to be reallocated elsewhere.

Risks of New Mobility

  • Sub-optimal societal outcomes: The business goals of the private sector may sometimes conflict with the public good and the intention of the public sector to achieve optimal societal outcomes.
  • Loss of control: As the private sector achieves a more significant role in data collection and system monitoring, government may lose control and oversight over critical parts of the transportation system.
  • Lack of internal capability: With the vast landscape of technology and data driven by the private sector, governments may not have the internal skills and resources to manage the rapidly changing transportation systems.
  • Revenue shock: Private mobility services may result in lower transit revenue, leading to a necessity for government revenue restructuring.

Interested in learning more about how new mobility is changing the structure of public transportation and regional governments? Contact us here to find out more.

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