The losses of carriers on regional public transport routes this year may amount to 6.95 million euros, said Ivo Osheņieks, president of the Latvian Association of Passenger Carriers, to the LETA agency.
The association invited parliamentary factions to a meeting to find a solution to the long-standing problem of underfunding public transport, which could lead to disruptions in its operation in the regions.
The association stated that since 2022, the cost of services for carriers has significantly increased. This year, the projected losses for carriers with long-term contracts may amount to 6.95 million euros.
As Osheņieks stated, if the situation is not resolved, the consequences may manifest in the coming months. The overall goal is to maintain safe, quality, and accessible public transport for the population of the regions, but over the past three years, exceptional and unpredictable circumstances have created a situation where the actual expenses of carriers significantly exceed state funding.
"Every kilometer is a loss for companies. Essentially, carriers today are subsidizing the transportation of students to educational institutions, pensioners to medical facilities, and workers to their jobs," said the head of the association.
The association notes that in the event of carrier insolvency, the state will be forced to urgently seek new service providers, paying for their services at a higher price, while the debts of insolvent carriers will become a direct loss for the state.
Due to a shortage of bus drivers, the number of unfulfilled trips may increase in all regions of Latvia in the near future.
The association reminds that the public procurement law allows for significant changes to the contract if they are necessary for reasons that could not have been foreseen by the contracting authority. Such changes cannot exceed 50% of the original contract price.
The association also reminds that the route network in Latvia is divided into 16 lots, or sections. From 2019 to 2025, the Road Transport Directorate has concluded long-term contracts for 14 lots under five competitions. However, two lots - "Cēsis" and "Sigulda, Limbaži" - still remain without long-term contracts.
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