Public Service Obligation

Public Service Obligation (PSO) refers to a requirement mandated by governments or regulators for certain essential services, like air or rail travel, to operate even if they are not highly profitable. The purpose is to ensure these services are accessible, reliable, and serve the public interest, especially in less profitable or remote areas. Operators receiving PSO support might get subsidies or compensation to maintain scheduled services that benefit society but may not be commercially viable on their own. This arrangement balances commercial operations with the broader goal of providing reliable transportation options to all communities.