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The Attribution Process Of Delegation Contracts In The French Urban Public Transport Sector: Why Competitive Tendering Is A Myth

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  • Anne Yvrande‐Billon

Abstract

ABSTRACT**: This paper analyses the French recent experience of franchising in the urban public transport sector in the light of Transaction Cost Economics arguments. It provides theoretical arguments supported by empirical evidence explaining why the compulsory use of competitive tendering in this sector did not translate into better performance, the main reasons being the lack of transparency of the attribution process and the limited monitoring capabilities of local authorities.

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  • Anne Yvrande‐Billon, 2006. "The Attribution Process Of Delegation Contracts In The French Urban Public Transport Sector: Why Competitive Tendering Is A Myth," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 77(4), pages 453-478, December.
  • Handle: RePEc:bla:annpce:v:77:y:2006:i:4:p:453-478
    DOI: 10.1111/j.1467-8292.2006.00315.x
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    Cited by:

    1. Ariane Charpin & Joanna Piechuka, 2020. "Merger Efficiency Gains: Evidence from a Large Transport Merger in France," Discussion Papers of DIW Berlin 1843, DIW Berlin, German Institute for Economic Research.
    2. Cambini Carlo & Filippini Massimo & Piacenza Massimiliano & Vannoni Davide, 2011. "Corporatization and Firm Performance: Evidence from Publicly-Provided Local Utilities," Review of Law & Economics, De Gruyter, vol. 7(1), pages 191-213, July.
    3. Andrea Boitani & Marcella Nicolini & Carlo Scarpa, 2013. "Do competition and ownership matter? Evidence from local public transport in Europe," Applied Economics, Taylor & Francis Journals, vol. 45(11), pages 1419-1434, April.
    4. Axel Gautier & Anne Yvrande-Billon, 2013. "Contract Renewal as an Incentive Device. An Application to the French Urban Public Transport Sector," Review of Economics and Institutions, Università di Perugia, vol. 4(1).
    5. Hensher, David A., 2007. "Bus transport: Economics, policy and planning," Research in Transportation Economics, Elsevier, vol. 18(1), pages 1-507, January.
    6. Boitani, Andrea & Cambini, Carlo, 2006. "To bid or not to bid, this is the question: the Italian experience in competitive tendering for local bus services," European Transport \ Trasporti Europei, ISTIEE, Institute for the Study of Transport within the European Economic Integration, issue 33, pages 41-53.
    7. Song, Yeon-Jung & Shoji, Kenichi, 2016. "Effects of diversification strategies on investment in railway business: The case of private railway companies in Japan," Research in Transportation Economics, Elsevier, vol. 59(C), pages 388-396.
    8. Daniel Albalate & Germà Bel & Joan Calzada, 2010. "Urban transport governance reform in Barcelona," IREA Working Papers 201009, University of Barcelona, Research Institute of Applied Economics, revised Jun 2010.
    9. Augustin, Katrin & Walter, Matthias, 2010. "Operator changes through competitive tendering: Empirical evidence from German local bus transport," Research in Transportation Economics, Elsevier, vol. 29(1), pages 36-44.
    10. Filippini, M. & Koller, M. & Masiero, G., 2015. "Competitive tendering versus performance-based negotiation in Swiss public transport," Transportation Research Part A: Policy and Practice, Elsevier, vol. 82(C), pages 158-168.
    11. Rolim, Fernando & Brasileiro, Anísio & Santos, Enilson, 2010. "Competition in Brazilian bus and coach services - The results of recent competitive tendering processes," Research in Transportation Economics, Elsevier, vol. 29(1), pages 45-51.
    12. Stanley, John & Hensher, David A., 2008. "Delivering trusting partnerships for route bus services: A Melbourne case study," Transportation Research Part A: Policy and Practice, Elsevier, vol. 42(10), pages 1295-1301, December.
    13. Douglas SWARTS & Mildred E. WARNER, 2014. "Hybrid Firms And Transit Delivery: The Case Of Berlin," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 85(1), pages 127-146, March.
    14. Germà Bel & Jordi Rosell, 2016. "Public and Private Production in a Mixed Delivery System: Regulation, Competition and Costs," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 35(3), pages 533-558, June.
    15. Hensher, David A. & Stanley, John, 2008. "Transacting under a performance-based contract: The role of negotiation and competitive tendering," Transportation Research Part A: Policy and Practice, Elsevier, vol. 42(9), pages 1143-1151, November.
    16. Asquer, Alberto, 2011. "Liberalization and regulatory reform of network industries: A comparative analysis of Italian public utilities," Utilities Policy, Elsevier, vol. 19(3), pages 172-184.
    17. Emerson, David & Mulley, Corinne & Bliemer, Michiel C.J., 2016. "A theoretical analysis of business models for urban public transport systems, with comparative reference to a Community Franchise involving Individual Line Ownership," Research in Transportation Economics, Elsevier, vol. 59(C), pages 368-378.
    18. Amaral, Miguel, 2008. "Public vs private management of public utilities - The case of urban public transport in Europe," Research in Transportation Economics, Elsevier, vol. 22(1), pages 85-90, January.
    19. Beria, Paolo & Grimaldi, Raffaele, 2010. "Unconventional factors of efficiency in public transport. A case study and theory," MPRA Paper 29234, University Library of Munich, Germany.
    20. Matthias Aistleitner & Christian Grimm & Jakob Kapeller, 2018. "Auftragsvergabe, Leistungsqualitaet und Kostenintensitaet im Schienenpersonenverkehr. Eine internationale Perspektive," ICAE Working Papers 86, Johannes Kepler University, Institute for Comprehensive Analysis of the Economy.
    21. John Stanley, 2011. "Public Transport Liberalization: Achievements and Future Directions," Chapters, in: Matthias Finger & Rolf W. Künneke (ed.),International Handbook of Network Industries, chapter 16, Edward Elgar Publishing.
    22. Huanming WANG & Mildred E. WARNER & Yuanhong TIAN & Dajian ZHU, 2014. "Public Owner With Business Delivery Mode In China: Case Study Of The Shanghai Public Bus System," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 85(1), pages 147-164, March.

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