By Peter Thompson
I am by nature an entrepreneur, not an economist. I make no apologies for that… an entrepreneur is to an economist as a novelist is to a literary critic. Entrepreneurs are the primary economic creative engines; economists are just secondary critics who follow along after the creative work has been done. That doesn’t mean I don’t pay attention to economists. Entrepreneurs can learn a lot from economic analysis. But we also see things some economists apparently miss.
Much of this government’s economic policy focuses on achieving growth, but consider this absurdity: the enormous waste of fuel in our horrendous traffic jams is recorded as increased economic growth. Our public transportation infrastructure is so illogical that there’s no transfer system between buses and ZRs. When a passenger needs to take two public service vehicles for one trip, it costs twice the fare. This harm to the passenger is then recorded as increased economic growth. Obviously, we need better measures of public benefit than bragging about increased GDP.
We need to pay attention to our productivity as a nation, not simply chase economic growth numbers that are distorted by dysfunction. Economists measure productivity by calculating the ratio of economic output, goods and services produced, to inputs like labour, capital, and materials used in the process. Our dysfunctional transportation system is crippling our national productivity. Labour productivity is sabotaged by the colossal wastes of time imposed by traffic jams and pathetically poor public transportation. Material productivity is compromised by huge fuel wastage. Capital productivity is reduced by insider dealing in the licensing process and lack of passenger data to support investment decisions.
A Vision Worth Pursuing
Here’s the vision we should be working toward: a public transportation system so good that even wealthy people use it rather than driving their cars for many trips. This isn’t fantasy. In properly developed countries like Norway, even the King takes public transportation. When public transportation works well, it becomes the rational choice for everyone, not just those who can’t afford alternatives. This is the best way to reduce traffic jams.
We need a proper entrepreneurial approach to building a public transportation system that is fit for purpose. Let me outline what this means in practice.
Integration and Automation
The first requirement is that our system must be integrated, with quality of public service being the most important criterion for success. This necessitates complete automation of fare payment by card or BimPay QR code, so that the driver is the only non-passenger aboard each vehicle. The financial flow for cards or BimPay will go through the Transport Authority so there’s instant and effective disciplinary leverage. Furthermore, regular users of the system will be able to buy monthly passes at reasonable prices that cover the entire cost of their transportation needs, no matter how many trips they need to make.
Technology and Accountability
Every single public service vehicle, be it the largest electric bus or the smallest ZR, must be equipped with a standard GPS tracking device that issues real-time position and speed data to the system management console at the Transport Authority. All infractions like speeding, dragging, or going off route must be logged automatically. PSVs that flout the law, licence conditions, or public safety must lose their PSV permits.
Here’s where entrepreneurship enters the picture: all PSV data must be available to entrepreneurs who will then create apps so passengers can see where their bus or ZR is at the moment, when it will reach their stop, whether it’s already packed or empty, and how much traffic is on the road between their bus stop and their destination. This is how you build a system people actually want to use.
The Transport Authority’s Proper Role
The proper role of the Transport Authority is to issue permits and discipline PSV permit holders without having to further clog up our court system. Note that PSV permit holders who are not themselves driving the vehicle still bear 100% responsibility for the safe and professional behaviours of drivers in their employ, who have to be paid a professional wage that conforms to Barbados labour law, not simply commissions that encourage rule breaking. Serious legal infractions by drivers must get reported to the police, who can then use data from the Transport Authority to prosecute in court and remove drivers’ licences where appropriate. The Transport Authority will also use their rich data from tracking to redesign and optimize the routes.
Reforming ZR Culture
In order to reform the corrupt ZR culture, the Transport Authority must mandate real-time audio-video recording devices in each vehicle to enforce public service conditions with respect to music volume, bashment soca, and other sexualized behaviours that are inappropriate for children. Anti-tampering conditions on all monitoring devices means that if the driver or permit holder interferes with any of the equipment, they don’t get paid for the passengers they carried.
The Productivity Dividend
A better public transportation system will attract increased usage, and that will bring capital and capacity to the system. It will dramatically improve measures of labour productivity by reducing passenger wait times and commute times. It will enhance material productivity by providing population mobility at lower fuel consumption. And it will increase capital productivity by reducing the inefficiency of the system and providing the data and transparency that encourage investment.
This is what entrepreneurial thinking looks like in public policy: identify the real problem, design a system that works for users, leverage technology to create accountability, and open the data to let innovation flourish. Barbados deserves a transportation system worthy of a modern nation. Let’s build it.
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