PLANS to centralise bus services under government control could throw up a series of "risks and unintended consequences" in Newport, the city council has warned.
If ministers push ahead with their plans it could mean "additional business risks for the viability of Newport Bus" and weaken the council's powers, the authority has claimed.
The Welsh Government wants to undo four decades of privatisation and bring bus travel back under the management of public sector, via its firm Transport for Wales.
A Newport council report agrees that deregulation has thrown up problems with "a general lack of consistency and coordination" when it comes to timetable planning, tickets, and fares.
As part of the government's new vision for the Welsh transport network - backed by the post-M4 relief road commission's own recommendations - bus and rail travel would in future be managed centrally, with one type of ticket accepted on all journeys and timetables integrated to offer smoother journeys.
Newport council said these aspirations are "strongly supported" but warned the government's plan is far from risk-free, including financial implications for local authorities.
If contracts are handed out by Transport for Wales on a franchise basis, there is a "risk of reduced competition increasing tender costs" for deals, a council report reads.
Centralisation could also have a negative impact on jobs in the city, council officers warn.
If decision-making is moved away from council areas to Transport for Wales, it could mean a "potential loss of staff capacity and expertise" in Newport and cause a legal headache under employment regulations.
There is also a "risk that franchising would be detrimental to the commercial viability" of firms in the city, including Newport Bus - which is ultimately owned by the city council.
And any reshuffling of responsibilities could also mean changes to wider council budgets for transport services, including home-to-school transport, the report warns.
Nevertheless, the council is set to agree with the broad "aspiration for greater bus provision and coordination" in Wales but, due to the "issues" the report highlights, councillors will also send a response to the government which also "highlights our concerns regarding the proposed approach".
The city council's cabinet is due to discuss the report next week, before its response is sent to the Welsh Government.
The Argus put the council's concerns to the Welsh Government's climate change department, which is responsible for transport and is leading the proposals for the new bus strategy.
In response, a Welsh Government spokesperson said: “We are committed to working with local authorities to deliver an improved bus service for communities across Wales.”
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