Public Transport Fare Adjustment 2015

The Public Transport Fare Adjustment 2015 sees an overall 2.8% increase in bus and train fares with effect from 5th April 2015. This is the maximum fare increase that the Public Transport Council (PTC) would allow in 2015. Ez-Link card fares for buses and trains are set to increase by 2 to 5 cents, and cash fares are set to increase by 10 cents per journey.

This is the third fare adjustment for the Distance-Based fare structure, with the last fare adjustment in 2014. (Public Transport Fare Adjustment 2014) The current fare hike follows applications by SBS Transit and SMRT to adjust fares by 2.8%, and as such, expected to receive a gain in revenue. However, part of this will be contributed back to the Public Transport fund (SBS Transit – $5.5M & SMRT – $8M) meant to shield the poorest households from fare hikes. The total of S$13.5 million is S$2 million more than their contribution last year.

This fare adjustment would not affect “more than 1.1 million commuters”, according to the PTC press release. These commuters are mainly senior citizens, existing travel concession passes holders, and the Lower-Wage Workers and Persons with Disabilities concession card holders.

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The Fare Review At A Glance:

From 5 April 2015:

• Adults
  Card fares to increase by 2 – 5 cents per journey.
  Cash fares to increase by 10 cents.
  New concession passes available (see below)
• Children below 7:
  No change in fares, free travel for all.
• Students:
  Card fares to increase by 1 cent per journey. (From 38c → 60c per journey to 39c → 61c)
  No change to cash fares.
• Senior Citizens
  No change in fares.
• People with disabilities / Low Wage Workers
  No change in fares.
  Blank
• All Monthly Concession Pass Holders
  No change in prices for monthly concession passes.

From 5 July 2015:

• Off Peak Monthly Travel Pass
  Unlimited travel on basic bus services & trains for 1 month on
  – Weekdays: All periods except 0630hrs-0900hrs, 1700hrs-1930hrs
  – Weekends & Public Holidays: All day
  Priced at $80 for adults, and $40 for Senior Citizens and Persons with disabilities

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A:  Fare Increase Formula for 2015

The last fare review in Jan 2014 announced a fare increase of 6.6 per cent, to be adjusted in two steps. A 3.2 per cent hike was implemented in April 2014 (2014 Public Transport Fare Adjustment), and the remaining 3.4 per cent carried forward to the current review. The rollover system was a recommendation made by the Fare Review Mechanism Committee in Nov 2013.

The fare formula is based on four components:

• Core CPI inflation: This currently stands at 1.7 per cent, and excludes home and car prices.
• Average wage increase, at 4.3 per cent
• Energy index: This registered -12.6 per cent, due to a drop in energy costs in 2013. The energy index reflects the rising cost of power and fuel as a proportion of an operator’s expenses.
• Productivity index at 0.5 per cent, where operators share productivity gains with commuters.

These components have been given weightage of between 20 and 40 per cent – 40 per cent for core consumer price index (CPI), 40 per cent for wage index, and 20 per cent for energy index.

The fare adjustment quantum formula is as follows: CPI + Wages + Energy – Productivity = Fare Adjustment Quantum. So the 2014 fare adjustment quantum is -0.6 per cent.

By aggregating the 3.4 per cent fare adjustment quantum carried over from the 2013 Fare Review Exercise with the -0.6 per cent figure from 2014, the final value of the fare increment of 2.8% is derived.

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B:  Fare adjustments for Adults

Regular commuters paying adult fares will see a 2 to 5 cent increase in card fares for both bus and train fares from 5 April 2015. Cash fares will increase by 10 cents.

A consolidated list of new fares can be can be found below.

Furthermore, adults who travel during off peak hours only will benefit from a new monthly travel pass. Priced at $80, the pass allows for unlimited travel on basic bus services and trains during off peak hours on weekdays and all day on weekends and public holidays.

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C:  Fare adjustments for Students:

Full-time students from Primary, Secondary and Tertiary institutions currently eligible for Student concession fares will see a 1 cent increase in card fares for both bus and train fares from 5 April 2015. Cash fares will not increase.

A consolidated list of new fares can be can be found below.

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D: Off Peak Monthly Pass

Singaporeans and Permanent Resident commuters can continue to enjoy unlimited rides on basic bus services and the rail network with the Adult Monthly Travel Pass at $120, while PWDs and senior citizens enjoy similar benefits with the Monthly Concession Pass at $60.

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G: SBS Transit & SMRT Non-Basic Fare Adjustment

Fare revision for SBS Transit & SMRT’s non-basic bus services with special fares – SMRT Bus Service 926, Night Rider, Nite Owl, Parks, Chinatown Direct and Premium services – will be announced at a later date, estimated to be in August 2015.

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Bus Fare Table for April 2015 onwards

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Gallery:

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External Links & References:

• Maximum Fare Increment for 2015 is 2.8% – CNA
• History of Fare Adjustments – PTC
• News and Publications – PTC

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