The subject is very controversial and divides specialists. Some believe in a reduction in ticket prices, while others expect a drop in service quality.

The opening of the road transport market divided opinions in the Tourism Committee of the Chamber of Deputies. The debate was requested by Deputy Bacelar, from the Bahia PV. People who see the idea as positive defend that the measure will increase competition, reducing prices and benefiting tourism.  

Regular passenger transport was the focus of the debate 

As it has public service characteristics, regular passenger transport goes through a series of legal obligations. One of the obligations is the service to be provided continuously and cannot be cancelled.  

Claudia Viegas, specialist in Public Policy at LCA Consultores, pointed out to the audience the socioeconomic effects of opening up the transport market. “We see idleness: 26,3% of the fleet of charter companies is idle on working days. Today we have a number of vehicles that are underutilized when they could be providing other services to society”, said the specialist. “On regular service, competition is limited. About 73% of the routes between two cities are served by only one company. Only on 11% of national routes, passengers can choose between services provided by three or more companies,” completed Claudia. 

Claudia also points out that the intensification of the dispute can reduce prices. The specialist stated that the price of tickets may fall by up to 20%. The drop in price would represent an increase of 8 million passengers transported every year. These numbers would represent an increase of BRL 2,7 billion per year in GDP.  

In a completely opposite thought to that of Cláudia Viegas, Ricardo Ferraço, representative of the Brazilian Association of Land Passenger Transport Companies (Abrati), pointed out that the change would result in predatory competition, leading to losses for more vulnerable companies and passengers.  

“The same activity would be performed under absurdly asymmetrical conditions. On the one hand, by public service delegated companies, which must observe all legal requirements, such as regularity, continuity, comfort, discounts, minimum frequency. On the other hand, by application companies that would operate the same service without observing the burden imposed by the Brazilian State, ”he said. 

Ricardo Antunes, manager of Studies and Regulation of Passenger Transport at the National Land Transport Agency (ANTT), said that the opening of the transport market is already happening. He recommended that a more comprehensive debate take place before making any changes.