Mobility Without Deficits: Why Kelheim Stopped the Rufbus and Is Turning to Taxis

When the town of Kelheim buried the on-demand bus KEXI in the summer of 2025, it did not sound like a mobility turnaround, but like a budget cut. The project had become too expensive for the municipality. Subsidies no longer helped; the ongoing costs remained. Since then, Kelheim has opted for a decidedly more sober model: taxi vouchers instead of the on-demand bus.

. Each Kelheimer over 70 years old receives 50 vouchers worth five euros each; wheelchair users receive vouchers worth 15 euros. | Photo: City of Kehlheim
. Each Kelheimer over 70 years old receives 50 vouchers worth five euros each; wheelchair users receive vouchers worth 15 euros. | Photo: City of Kehlheim

The system operated in pilot operation for six months. The city has now announced that it will continue it. This is a clear signal of how municipalities with limited budgetary leeway organize mobility. The principle is simple. Every resident of Kelheim over the age of 70 receives 50 vouchers worth five euros each. The amount is deducted from the fare. There are also 50 vouchers for wheelchair users, each worth 15 euros. Anyone ordering a taxi must present voucher ownership at the time. The settlement is between the city and the taxi company.

Without subsidies, on-demand transport is too expensive

The arrangement shifts the economic risk. With the dial-a-bus service, the municipality had to co-finance vehicles, dispatch, and utilization—regardless of how many people actually rode. Such on-demand systems rarely pay off on their own in smaller towns. They rely on subsidies. If these subsidies disappear, fixed costs and deficits remain.

The voucher model works differently. It relies on existing structures: three local taxi companies, available vehicles, available staff. The city only pays when travel actually takes place. No empty trips, no own fleet, no additional administrative unit. Mobility becomes a variable in the household budget.

Costs for taxi vouchers for the municipality are manageable

In a press release, the city talks about a contribution to social participation. That is not wrong. Older people gain mobility in daily life without having to own a car themselves. At the same time, the measure remains calculable. 50 vouchers at five euros each mean a maximum subsidy of 250 euros per person per year. Even with high uptake, the total remains more manageable than a permanently subsidized on-demand bus service.

Kelheim is no exception. Many municipalities are testing on-demand bus systems with well-sounding names, often driven by funding programs from the state or the federal government. In the pilot phase, the model appears modern and flexible. But once the start-up funding runs out, the operating costs come to the fore. Then the question arises whether the service can be sustained without external funds.

Why build new mobility structures? The taxi is already here!

On-demand-Verkehre require technology, dispatch, marketing and a certain minimum utilization. In sparsely populated regions, this utilization remains fluctuating. That makes the calculation difficult – and especially for smaller towns very risky.

The municipalities must realize that it cannot be about who launches the most beautiful new on-demand transport project. The Kelheim taxi model may initially sound unremarkable. It avoids app hype and project logos. It uses what is there. And it costs the city only when someone actually rides. In times of tight budgets, that is a compelling argument. Kelheim has now found a straightforward solution that perhaps promises less vision, but reveals financial prudence.

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