This paper explains how Swedish policy on public transport has evolved over the last decade. From a fairly rigid system in which licensed operators had an exclusive monopoly, it has become a competitive tender system. The overall aim was to offer an integrated system, planned centrally, which would avoid the risks associated with a completely free market solution as in Britain. The stages leading up to deregulation in July 1989 are traced. The stages leading up to deregulation in July 1989 are traced. Intercounty buses, intracounty buses and rail services are examined separately. Because of the sparse population there is little intercounty travel by bus and little effect is seen. For local and regional buses the county transport authorities plan networks, timetables and fares with operating put out to tender. Different approaches to tendering are described and in many cases stability is seen to be a priority. Coordination seems to be slowly developing with the formation of cartels or monopolies not yet a problem. The State Railway has been split into a new administration in charge of the infrastructure and a public enterprise responsible for rail operation. Experience in this area has highlighted the interrelation between infrastructure and operational decisions.
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