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Legacy Parcel Delivery Cost Analysis – Class 4 Parcel Delivery Step Van

Average driving distance per day: 83km
Average driving distance per year: 21,600km
Average driving speed: 30km/h
Overall average vehicle speed: 13km/h
Average delivery stops per km: 2.5 (weighted, of course, to periphery of delivery region)
Average delivery stops per day: 182
Average delivery stops per year: 47,320

Average vehicle, maintenance, and fuel cost per year (diesel): $13,940
Average vehicle, maintenance, and electricity cost per year (electric): $12,970
Parcel Delivery vehicle cost per km (diesel): $0.64
Parcel Delivery vehicle cost per km (electric): $0.60

Annual parcel van overheads/central admin/driver/overtime/benefits: $140,000 (estimates vary)
Cost per km w/overhead (diesel): $7.13
Cost per km w/overhead (electric): $7.08

Cost per delivery (diesel): $3.25 Trellis Projected Average Delivery Cost: $3.25
Cost per delivery (electric): $3.23

Trellis Revenue Scenario




Scenario A

(Ave. 2M Pod Trips/weekday + 450K Deliveries/day)

Scenario B

(Ave. 1M Pod Trips/weekday + 225K Deliveries/day)

Scenario C

(Ave. 500K Pod Trips/weekday + 112K Deliveries/day)

Average Trellis direct transit distance:
Average Pod occupancy:
Average trip revenue (peak):
Average trip duration:
Active Pods during peak periods:
Net duration of morning/afternoon peak periods:
Revenue/Pod (peak periods):
Peak Revenues (systemwide GTA):
Off-Peak & Weekend Revenues (GTA):
Delivery revenue (@$3.25*/delivery):

Total Annual Revenue (transit & deliveries):
Annual Capital Payback ($20B – 20 year/4%):

1.5 persons (max 4)
$7.50 (@ $0.50/km)
25 minutes (30km/h)
200,000 Pods
4 hours
$60/day (8 trips/pod/ peak)


1.5 persons (max 4)
$7.50 (@ $0.50/km)
25 minutes (@30km/h*)
100,000 Pods
4 hours
$60/day (8 trips/pod / peak)


1.5 persons (max 4)
$7.50 (@ $0.50/km)
25 minutes (@30km/h*)
50,000 Pods
4 hours
$60/day (8 trips/pod / peak)


Legacy Transit Cost Analysis – Toronto Transit Commission 2018 Example

TTC Wages (annual fare revenue @ $3.00/ride):

Toronto taxpayer Operating Subsidies (2018):

Capital Subsidies 2018:

Net Maintenance Capital Deficit ($35B/15 years):

Increase in Pension Deficit (annual accrual): 

System Expansion (typical annual expenditures):

Annual System Cost – TTC (Gross):








Fares covers TTC wages ≈ 390M full fare rides

$2.33B/year net of $1.35B allocated above in 2018

Ongoing – Crosstown, Finch West, Ontario Line, etc.
Full TTC cost to taxpayers, including interest on funds borrowed for past projects, totals >$6B annually

Cost per Ride (390M full fare rides):

Average Ride Cost/km (full fare basis):

Cost per Ride (if spilt equally between 521M rides):

Average Ride Cost/km (if split equally, all pay basis):





This figure assumes all full-fare riders carry the true TTC cost

Based on average 10km ride noted below (vs. Trellis $0.50/km)

This figure assumes riders equally share true TTC cost

Based on average 10km ride noted below (vs. Trellis $0.40/km)

Fare : Operating Cost Ratio ($3.00 Fare)

1 : 5

Passengers fares are ≈80% Subsidized by taxpayers

Average TTC ride length:

Gross aggregated TTC ride length:

Total TTC  km (all transit vehicles) annual mileage:

Average TTC vehicle boarding per km:

Average persons per TTC vehicle-km:

Actual fares received by TTC per km of operation:


5.21B km


2.08 persons/km

20.8 persons


Reported by 3rd party (Moovit Public Transit), no TTC data

Reported by TTC

Average of all boarding/vehicle/km over 24-hours

Average vehicle load over a 24-hour period

Average fare is apparently $2.23, not factoring connections

Gross System Cost per km of vehicle operation:

Net Taxpayer cost per km of vehicle operation:



Includes operating, maintenance, and ongoing expansion

Increased service frequency drives increased net costs

Ref: TTC Annual Report 2018