Analysis of Suroboyo Bus Tariffs Based on Ability to Pay (ATP) and Willingness to Pay (WTP)

Abstract

Public transportation plays an important role in supporting urban mobility and promoting sustainable economic development. One of the main challenges in public transport provision is ensuring that services remain affordable for the public while operating efficiently and sustainably. Based on the background and existing challenges, an analysis of tariffs based on ability to pay (ATP) and willingness to pay (WTP) is a relevant and strategic topic to investigate. From the calculations, the average tariff based on the WTP method is Rp. 8,000 per passenger, while based on the ATP method it is Rp. 15,000 per trip/km. These results show that the current tariff of Suroboyo Bus, as per the Surabaya Mayor Regulation, is still more affordable than both the public's ability and willingness to pay for using the bus. Additionally, this study recommends that the Surabaya City Government consider adjusting the Suroboyo Bus tariffs to improve services and expand routes according to public demand.