> ## Content Index
> Fetch the complete content index at: https://www.zhaojinhua.com/llms.txt
> Use this file to discover other available public pages before exploring further.

# Six Governance Models for AV Deployment in Cities
- URL: https://www.zhaojinhua.com/six-governance-models-for-av-deployment-in-cities-2/
- Published: 2026-09-01T04:15:20.000Z
- Updated: 2026-09-21T21:02:53.000Z
- Author: Jinhua Zhao
- Tags: Autonomous Vehicle, Memos

We’ve studied global experiments in London, Boston, Singapore, Stockholm, and beyond—and developed six governance models for AV deployment in cities:

**1\. Laissez-Faire** 

No public intervention. Pure market competition. AV providers cherry-pick the most profitable areas. Innovation thrives—but often with little regard for public interest. Can an open AV market self-correct? Unlikely. 

**2\. Regulated Like Uber (London & NYC)** 

AVs are regulated like Uber/Lyft: licensed and monitored, but with no integration with public transit, and no service guarantees for disadvantaged neighborhoods.

**3\. Subsidized On-Demand AVs (MBTA Paratransit Model)** 

Private AVs deliver social services—subsidized for vulnerable riders such as seniors, children, and people with disabilities. Targeted, flexible, and cost-effective, but lacking integration with the broader transit system. 

**4\. UK Deregulation Model (Outside London)** 

Blends competition with light-touch public coordination. Market forces drive AV deployment, but the government intervenes in unprofitable, low-demand areas. AVs may flourish through fast innovation and adaptive routing. 

**5\. Scandinavian Model**: **Contracting for Performance**

Public agencies design the network and set performance standards; private firms compete to operate services. AV operators are incentivized to meet public goals: accessibility, reliability, and affordability. 

Cities ensure full integration—one fare, one system—with feeder AVs connecting to trunk-line subway or bus routes. Five dimensions of system integration: 

- Information integration
- Pricing and fare integration
- Operation and network integration
- Business model integration
- Regulatory framework integration

Can contracting achieve both competition and coordination? Can AVs serve the public good while operating privately? **Yes, when contracting well done and sufficient competition exists.**

**6\. Fully Publicly Owned and Operated** 

No competition—just assignment. The public sector designs, operates, and manages the entire system. AVs, buses and subway function as one integrated network, optimized for social welfare. 

However, it is unlikely that public agencies currently possess the technical and operational expertise to manage a full-scale AV fleet.

![](https://storage.ghost.io/c/4a/3d/4a3d3e5d-18ea-4656-a425-4dc671578d23/content/images/2026/09/ChatGPT-Image-Sep-1--2026--10_02_17-AM.png)