Australia Public Transport Systems Market Size, Share, and COVID-19 Impact Analysis, By Mode of Transport (Rail Transport, Bus Transport, Ferry Transport, and On-Demand and Shared Mobility Services), By Ownership (Government/Public-Owned Services, Privately Owned/Contracted Services, and Public-Private Partnerships), and Australia Public Transport Systems Market Insights, Industry Trend, Forecasts to 2035

Australia Public Transport Systems Market Insights Forecasts to 2035

• The Australia Public Transport Systems Market Size Was Estimated at USD 4.31 Billion in 2024
• The Market Size is Expected to Grow at a CAGR of Around 5.47% from 2025 to 2035
• The Australia Public Transport Systems Market Size is Expected to Reach USD 7.74 Billion by 2035

According to a research report published by Spherical Insights & Consulting, The Australia Public Transport Systems Market Size is anticipated to reach USD 7.74 billion by 2035, growing at a CAGR of 5.47% from 2025 to 2035. The public transport systems market in Australia is driven by rapid urbanization, population expansion, government infrastructure investments, smart mobility efforts, environmental goals, and the growing need for effective, low-emission, and technologically sophisticated transportation networks.

Market Overview

The Australia public transport systems market refers to the industry encompassing infrastructure, vehicles, technologies, and services that enable mass transportation across cities and regions in Australia. The system provides public transportation through buses, trains, trams and ferries and ticketing systems and smart mobility solutions. The applications support daily commuting, intercity travel and tourism and freight connectivity while providing benefits that support economic development, reduce traffic congestion, lower carbon emissions and improve urban mobility efficiency.

The Australian government shows its dedication to public transport by making significant financial investments and providing service-based financial support. The Federal Budget for 2023-24 designated more than AUD 120 billion to fund infrastructure projects, which included railway and metro systems. The Inland Rail project received AUD 14.5 billion in funding. The states allocate their operating subsidies, which total billions every year, to support zero-emission bus programs that advance sustainable transportation initiatives.

The Australia public transport market has introduced three new technologies, which include advanced smart ticketing systems, electric and hydrogen buses and pilot programs for autonomous vehicles. Companies are expanding integrated mobility services. Digital infrastructure and sustainable fleets and AI-powered traffic control systems will create future business opportunities that help cities reduce emissions while simultaneously achieving urban development.

Report Coverage

This research report categorizes the market for the Australia public transport systems market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Australia public transport systems market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Australia public transport systems market.

Driving Factors

The public transport systems market in Australia is driven by the rapid growth of urban areas and the increasing population of major cities such as Sydney and Melbourne, together with the rising traffic problems and the government's push for better infrastructure development. The growth of the market accelerates through sustainability objectives and the electrification of bus systems, the implementation of smart ticketing systems and the development of metro and rail systems. The market expansion receives support from increasing environmental consciousness, together with the need for cost-effective and reliable transportation options.

Restraining Factors

The public transport systems market in Australia is mostly constrained by the expensive infrastructure and maintenance expenses, extended project approval durations, financial restrictions, staff shortages and changes in passenger numbers, which especially affect regional areas and lead to decreased operational productivity and financial losses.

Market Segmentation

The Australia public transport systems market share is classified into mode of transport and ownership.

• The rail transport segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Australia public transport systems market is segmented by mode of transport into rail transport, bus transport, ferry transport, and on-demand and shared mobility services. Among these, the rail transport segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. Due to its massive metro and suburban rail networks in major cities, high passenger capacity, robust government funding for rail infrastructure projects, and continuous metro expansions, rail is the backbone of urban public transportation and generates the biggest revenue share.

• The government/public-owned services segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. 

The Australia public transport systems market is segmented by ownership into government/public-owned services, privately owned/contracted services, and public-private partnerships. Among these, the government/public-owned services segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. Strong federal and state control over the rail, metro, and bus networks, as well as significant public funding, policy backing, and long-term infrastructure expenditures that guarantee service accessibility, affordability, and nationwide network growth, are the reasons this segment leads.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Australia public transport systems market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Keolis Australia
• Transit Systems
• ComfortDelGro Australia
• Vix Technology
• Yarra Trams
• Kinetic Group
• Australian Transit Group
• Murrays Coaches
• Public Transport Authorities
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments:

•  In November 2025, FlixBus began operating in Australia, offering long-distance coach services between major cities.

• In September 2025, Kelsian's Transit Systems expanded regional bus operations in Queensland by awarding a bus service contract to Ipswich & Logan.

• In May 2025, Victoria launched a $5 billion public transport investment blitz to improve train service and infrastructure.

Market Segment

This study forecasts revenue at the Australia, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the Australia public transport systems market based on the below-mentioned segments:

Australia Public Transport Systems Market, By Mode of Transport

• Rail Transport
• Bus Transport
• Ferry Transport
• On-Demand and Shared Mobility Services

Australia Public Transport Systems Market, By Ownership

• Government/Public-Owned Services
• Privately Owned/Contracted Services
• Public-Private Partnerships