The system, dubbed "Bicikelj", is a public-private partnership between the municipality and advertiser Europlakat, which received 140 new advertising spaces from the city in addition to the existing 220.
The company, investing EUR 1.8m in bicycles and stations, expects the investment to pay off in ten to twelve years, according to the daily Dnevnik.
Ljubljana spent EUR 55,000 on the infrastructure of the project, which is a part of Civitas Elan, a joint campaign of five cities (also Gent, Zagreb, Brno and Porto) promoting biking, walking and using public transport to get around a city.
At the moment, the stations are placed across the city centre, but "Bicikelj" could be expanded later to include shopping centres and P+R (park and ride) parking places on the outskirts of Ljubljana, according to Ljubljana Mayor Zoran Jankovic.
A user can register for the public bike on the internet and has to pay an annual fee of EUR 3, the sum transferred onto the Urbana card payment system of Ljubljana's transport system.
The fist hour of each renting is free of charge, while the second costs EUR 1, the third EUR 2 and the following hours EUR 4 each.
A fine of EUR 350 will be handed out to a user who fails to return the rented bike in 24 hours or violates the terms of the agreement.
Believing in success of the project, said that more than 1,600 individuals have registered for the system in just over two weeks.
Information on free bikes is available on the internet and at every station. Moreover an application for mobile phones enabling a similar overview will soon be operational, according to Kolbl.