Home News Rail operators “support” maximum train fare increase

Rail operators “support” maximum train fare increase

Rail operators cited hikes in energy prices as well as rising operation costs caused by service enhancements as reasons for their application for a fare increase

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Singapore—Following the Public Transport Council’s (PTC) recent announcement of a possible public transport fare increase, rail operators SBS Transit and SMRT Trains have now submitted their applications for a fare hike review.

On Sept 3, The PTC announced that public transport fares may increase by up to seven percent next year. Fares could increase by up to 10 cents.

If approved during the review, it would be the highest fare increase in several years.

Read: Bus and train fares could possibly see 7 per cent increase next year

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Rail operators cited hikes in energy prices as well as rising operation costs caused by service enhancements as reasons for their application for a fare increase.

The applications only apply to train fares.

According to SMRT Trains CEO Lee Ling Wee, “Because of intensified and comprehensive maintenance efforts, total operating cost has exceeded fare revenue and is not sustainable.”

SBS Transit spokesperson Tammy Tan said that “higher repairs and maintenance costs” greatly affected the cost of operating the rails.

It is hoped that an increase in fares will help mitigate some of these cost increases,” Tan said.

Read: Netizens lash out against possible transport fare hike

The train operators did not overtly specify if they applied for the maximum seven percent allowable increase for the fare revision, but SMRT’s Lee said that the company “support[s] a seven percent fare increase for high performance and sustainability of the rail service.”

Final decisions regarding the train fare hikes will be announced by the last quarter of 2019. -/TISGFollow us on Social Media

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