Unregulated Entry without Quality Control
An authority (assuming one exists) may allow free entry to the public transport market, without any requirement that the vehicles used meet any standards other than normal vehicle type approval. This system is unregulated entry with quality control.
Major disadvantages of an unregulated system without quality control
- The vacuum of control by the authority is usually filled by criminal elements.
- Service is normally concentrated on the major route corridors causing severe congestion, and poor services on less busy routes.
- Members of the public without other means of transport have no assurance that a service will be provided where and when they need it.
- The absence of a quality standard makes it difficult to ensure public safety.
Unregulated entry without quality control is only appropriate under limited circumstances
- The authority does not have the expertise to plan and implement a more ordered system.
- The authority does not have the desire or the ability to enforce vehicle quality standards.
- The authority does not have the legal framework enforce a more ordered system.
- The authority requires a large amount of capacity to be placed in service in a short timeframe.
- The authority has a political directive to do so.
- The authority wishes to offer employment or investment opportunities to individuals and smaller operators.
- Public transport provision is not an important mode of transport.