Gyeonggi-do to Introduce 'City Bus Public Management System' in January Next Year... 'Service UP & Driver Treatment Improvement'

Service Implementation Standard Goals for Public Management System of City Buses in Gyeonggi-do

Gyeonggi Province will introduce the 'City Bus Public Management System' starting January 1 next year. The target includes approximately 6,200 general and seat-type city buses. Gyeonggi Province expects that with the introduction of the public management system, the stable operation of bus companies will be guaranteed and the treatment of drivers will improve. In particular, it is anticipated that this will enable bus companies to enhance passenger service and ensure safe and accurate bus operations.

On the 20th, Gyeonggi Province announced that starting January 1 next year, it will introduce the 'City Bus Public Management System,' a Gyeonggi Province-type quasi-public operation system, beginning with 1,200 city buses. The province plans to convert all approximately 6,200 city buses operating on about 1,100 routes within the province to the public management system by 2027.

The City Bus Public Management System focuses on strengthening public management of city buses and differs from the existing 'quasi-public operation system,' which operates with basic subsidies and performance profits, by being conducted entirely based on performance profits.

According to Gyeonggi Province, this system does not provide basic profits to bus companies but only pays performance profits based on management and service evaluations, thereby encouraging companies' self-reliant efforts and enhancing effectiveness in terms of publicness and transparency.

To improve driver treatment, Gyeonggi Province plans to raise the wages of city bus drivers on routes under the public management system to the level of public bus (metropolitan bus) drivers, where the quasi-public operation system is already in place. Currently, city bus drivers earn about 88% of the wages of public bus drivers.

Additionally, the province will promote amendments to related ordinances to allow advertising revenue to be used for operating welfare programs for workers, thereby improving their treatment.

The targets for this public management system transition in Gyeonggi Province are general and seat-type city buses, covering about 1,100 routes and 6,200 vehicles. Public buses (metropolitan buses) operated by the Metropolitan Area Transport Committee and Gyeonggi Province are currently managed under the quasi-public operation system.

Considering the financial situation, Gyeonggi Province will proceed with a phased transition starting January next year. The annual transition plan is ▲ 1,200 buses each in 2024 and 2025 (500 buses per province-managed route each year) ▲ 1,700 buses in 2026 (1,000 buses on province-managed routes) ▲ about 2,100 buses in 2027 (about 1,000 buses on province-managed routes).

Gyeonggi Province will operate the city bus public management system in two types: 'public support type,' where transport operators sign financial support agreements, and 'route bidding type,' where the competent authority selects operators through bidding.

Currently operating routes will apply the public support type, renewing financial support agreements every three years to encourage responsible management by operators.

Along with implementing the public management system, Gyeonggi Province plans to transfer the licensing rights for 'inter-city routes' that cross metropolitan areas from mayors and county heads to the provincial governor. Also, for 'intra-city routes' that operate in other metropolitan cities such as Seoul, licensing rights will be adjusted gradually.

To provide safe and convenient bus services in line with the public management system, Gyeonggi Province has also established service implementation standard goals.

Gyeonggi Province estimates that the budget required for the full implementation of the public management system by 2027 will be about 1.1 trillion KRW annually (300 billion KRW from the provincial budget). The budget burden ratio will be uniformly applied as 30% provincial and 70% municipal.

To reduce this financial burden, Gyeonggi Province plans to reorganize routes efficiently and eliminate unnecessary budgets and overlapping financial support, such as abolishing financial support for private operation systems.

Starting next year, when the public management system is implemented, Gyeonggi Province will conduct a public transportation utilization system reform project and mandate regular route reorganizations every five years. Through this, inefficient routes with many curves will be straightened, and routes will be reorganized to align with the introduction of the Metropolitan Express Railroad (GTX), thereby operating bus routes more efficiently.

Furthermore, at the full implementation point in 2027, the current financial support system for private buses, including subsidies for deficit routes and losses from transfer discounts, will be abolished.

To implement the public management system, Gyeonggi Province will hold briefing sessions for municipalities, bus companies, and labor unions starting in August. In September, related ordinance amendments and guideline preparations will be finalized. In October, agreements will be signed with municipalities, Gyeonggi Transportation Corporation, and the Gyeonggi Bus Operators Association.

In this case, from the implementation date of the public management system in January 2024, the target routes will adopt the name 'Public Bus,' which is the name of the metropolitan bus quasi-public operation system currently operated by the province, and the vehicle interior and exterior designs will be unified based on the Public Bus brand.

Oh Hu-seok, Deputy Governor for Administration 2 of the province, emphasized, "The management situation of bus companies is worsening, so the introduction of a quasi-public operation system is necessary to provide stable transportation welfare services for residents. We have prepared the 'Gyeonggi Province City Bus Public Management System,' a new quasi-public operation method that can complement the shortcomings of the existing city bus quasi-public operation system. We will ensure it becomes a quasi-public operation system that improves bus service quality while minimizing financial burdens."

This content was produced with the assistance of AI translation services.