I really like a lot of things that Calgary Transit is doing for their residents. Click here to read the full report or the pdf file.
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Calgary Transit Ridership Trends
Figure 1 outlines the changes in Calgary Transit ridership between 2003 and 2013. Over this time
period, Calgary Transit has seen transit ridership increase at a pace of about 1.5 times the rate of
population growth. The graph illustrates the 16 percent ridership growth experienced by Calgary
Transit from 2005 to 2008 which mirrored a hot economic period in Alberta. This was followed by a
world-wide economic decline that began in late 2008. In response, Calgary Transit saw modest
ridership decreases in 2009 followed by strong ridership growth as the economy rebounded in
2011. In 2013, Calgary Transit served 107.5 million customers, a 12 percent growth in the past
three years.
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How do Calgary Transit Fares Compare?
Table 10 provides a comparison of Calgary Transit fares and those fares charged by other major
Canadian transit systems in 2013. In many categories, Calgary Transit fares are similar or lower
than most other systems. In 2012 (the most recent year for a full comparison) Calgary Transit‟s
average fare was $1.53 (average price paid per trip) while the average of the other eight cities was
$1.64. These systems have established these fare prices in accordance with their own fare
strategy. Appendix 2 includes several other comparisons with other Canadian transit
organizations.
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Future – Long Term Funding Opportunities.
Following the introduction of the Connect Card, Calgary‟s electronic fare collection system later in
2014, there are future opportunities to develop additional revenue opportunities. New fares such as
weekly, annual, or distance based fares, loyalty discounts (such as single ride fares that reduce in
price the more one travels), and special customer categories such as single fare discounts for
seniors or low income customers can be implemented with the goal of providing greater customer
convenience. There may be opportunities to realize increased revenues from new fare options and
care should be taken to ensure that discounts are not offered that will threaten overall revenues.
Partnerships with other City business units or private sector enterprises are possible and can also
increase revenues or help off-set the cost of operating this new payment system.
There are a number of alternate means to help finance transit operations that bear consideration.
These examples are evident in other major cities throughout North America and include the
concept of additional municipal taxes and fees. There is also the possibility of attracting funding
support from other levels of government in recognition of the value that transit provides to society
and the provincial and national economies. Alberta is the only province that does not provide
funding to support local transit operations. Provincial funding to off-set low income and senior
citizen fare subsidies (valued at about $35 million) would recognize the Provincial responsibility for
this type of program. Figure 9 shows how other major transit systems in Canada are funded. Most
notable is the high percentage of transit operating costs covered by ‘other’ sources (gas tax) in
Vancouver.
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8. Fare Structure Discussion
Despite strong ridership levels, an approved methodology for fare pricing, regular adjustments to
most fare prices, growth in advertising sales and reserved parking, Calgary Transit revenues are
not keeping pace with the cost of providing service as seen in Figure 10.
Things I have learned... 