Argentina: CNDC issues recommendations for improving competition on inter-city bus routes

The government of Argentina has issued a series of recommendations that would seek to improve competitiveness among inter-city passenger transports. These include simplifying the granting of permits for new routes, modifying regulatory mechanisms and promoting competition among groups operating in the sector.

At a press conference, the president of the CNDC, Esteban Greco, joined the Undersecretary of Automotive Transport, Luis Molouny, declaring that “Our work, now translated into recommendations, began two years ago alongside the Ministry of Transport, under which Inter-city transport has an important concentration, although it was difficult for us to find precise information on the business groups operating in the sector. ”

The CNDC prepared a series of recommendations that foresee reducing barriers to entry through simplifying the process for granting permits to operate new routes. It also suggested to eliminate the minimum prices and modify the tariff regulation mechanism, excluding competitive brokers, establishing a maximum rate for un-contested brokers.

Another recommendation aims to promote competition and a competitive reconversion of the sector, encouraging complementarity between different modes of transport and making travel frequency more flexible to fluctuations in demand.
Full Content: El Litoral

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