In the light of (a) the Stagecoach Preston investigation, (b) the possible sale of council-owned Plymouth Citybus, and (c) the forthcoming Plymothian heavy competition… in a year’s time what might the competition authorities make of Plymouth? Something like Preston? Or something like Chester?
According to Plymothain Transit, taxi entrepreneur and one time Western Ntaional part-owner John Preece, who has very publicly headed a consortium to buy Citybus, wants the OFT to step in to avoid First’s forthcoming competitive actions disturbing potential bids, presumably including his. But, wouldn't the OFT welcome the level of competition in Plymouth? Just don’t tell ’em it may be short lived or that the effect might be a monopoly.
Whether to protect its position in the forthcoming Citybus market testing & sale, destabilise that sale, or simply exploit an opportunity in its largest market, First Devon & Cornwall pre-launched its additional Ugobus services in the media this week. That’s over one month ahead of the actual introduction of four competitive routes that mirror some of established Citybus’ best—to Plympton, Derriford, Chaddlewood, Ernesettle, Mainstone, Estover and Southway. There was at least one misspelling in the press release—Ugbus—which sounded rather Wacky Races.
Though local press reports claim First will be using 22 *new* buses on its additional routes, we feel that these will be new to Plymouth and not brand new.
Having earlier launched its recruitment campaign, First promises 60 new jobs. Very welcome in a recession. As work for First drivers dries up in Cornwall, there’s some debate as to whether First will be able to source (and where necessary train) enough suitable candidates by kick off on 11 October 2009. And, particularly during a recession, is the Plymouth market strong enough to support two operators and two sets of drivers on these or any routes?
Reports locally also tend to confirm that Citybus isn’t planning on standing still. It’s rumoured to be putting together a battle plan that will strengthen its position against its neighbour.
i Plymothian Transport has regular updates
Saturday, 5 September 2009
Ugbus (sic)
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8 comments:
And all this potential waste of time, fuel, resource and money just because some stupid councillor let it be known they want to flog off a perfectly successful business. Does Plymouth and its citizens really need to indulge in such a pointless exercise when, as you say, times are hard?
The example of First Bus in the South West seems not to be an exemplary one. Pity Plymouth Citybus and Western Greyhound can't merge and give First some really competition in the South West.
I SUPPOSE FIRST COULD REDEPLOY STAFF NO LONGER REQUIRED AT ST AUSTELL.I AGREE ABOUT COMMENTS RE WESTERN GREYHOUND BUT AGAIN WOULD WE WANT THEM TO HAVE A MONOPOLY?
First are hoping to get the business cheap after it goes into administration, which it will inevitably do given it won't be able to sustain losses over a 5 year period. PCB will be unable to invest in new stock in that time, as the revenue will be taken
First have taken the decision there's no point buying a business they will, in theory have to divest for competition reasons.
It does play nicely into the hands of Stagecoach who now argue, with some justification that there is quite demonstrably some competition on main flows, and thus no competition concern (given their proximity to Torbay and East/West Devon) about any possible takeover. And Stagecoach taking PCB over is much better news that First taking over.
Stagecoach wanted to buy Preston Bus. They started competing against them. They eventually buy it, but the Competition Commision rule against them.
First want to buy Plymouth Citybus. They are starting to compete against them. If the eventually do buy it, the Competition Commision will more than likely rule against them.
Have I missed something?
The OFT, the MMC and the CC, are, and have always been, nothing but an attempt to regulate via the back door. Such regulation is nearly always initiated and guided by political considerations emmenating from Westminster. This is true to all industries, not just the bus industry.
Late 20th/Early 21st Century government is often too cowardly to publicly put in place the legislation it wishes to see, and hence resorts to such tactics as leaks, quangoes and back door governance... Sad to say, New Labour appears to have excelled in this respect...
Academically, New Labour knows that centralised control of transport has never worked properly in this country, and probably never will, because bureaucracy inevitably strangles innovation.
Axiomatically, however, private control is unacceptable and any form of competition where there can be real winners or losers is abhorrent.
The uncertainty and mess we end up with is, therefore, the result of government interference whilst attempting to reconcile two opposing philosophies...
Nobody, however naive or simplistic, expects any methodology to work perfectly, so there do need to be checks and balances...but frankly, the current "system" of control is nothing but a joke...it is neither transparent nor equitable...and like this clapped out government, should go...
re inactive activist - You say that centralised control doesn't work. Well if it was control from Westminster I'd probably agree. However plenty of cities and regions manage perfectly well to exercise control over their public transport and have efficient and effective networks that serve their areas. Whether by licensing, concessions or tenders they ensure that decent high quality services incorporating innovation and marketing skill are provided for the public at affordable fares. They also manage changes in operator rather better than we seem able to do (excepting TfL's system which generallly manages change effectively).
Are the British so incompetent that we cannot provide the same thing? It has to better than pointless and wasteful competition and then ridiculous "after the event" divestment decisions by people who wouldn't recognise a "market" or "competition" if it fell on their head!
First are using 22 B7RLE's ranging from 05 plate to 09 plate so good quality vehicles. You say First in the south west is not exemplary, but they came runner up in the Bus Operator of the Year this year, so they cant be doing bad
Not living up to their name then ?
If First came second who came first...me Doctor ?
Aplogies to Monty Python for that one.
I'm sure we can all predict the likely turn of events should First take over the PCB network,which should mean that in a few years time, most of Plymouth will be run by someone else.
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