Public Transport Fare Review 2021

The Public Transport Fare Review 2021 sees an overall 2.2% increase in bus and train fares with effect from 26th December 2021. Adult card fares for buses and trains are set to increase by 3 – 4 cents.

As published by the Public Transport Council (PTC) in October 2019, based on the new Public Transport Fare Adjustment Formula applicable from 2018 to 2022, the maximum allowable fare adjustment quantum to be considered for the 2021 Fare Review Exercise is 2.2%, and PTC has decided to grant the quantum of 2.2% in full.

The quantum of 2.2% takes into account the rollover quantum of 4.4% from the Fare Review Exercise in 2020.


The Fare Review At A Glance:

From 26th December 2021:

  • Adults
    Card fares to increase by 3 – 4 cents per journey.
    (3 cents increase for journeys equal to or less than 14.2km; 4 cents increase for journeys more than 14.2km)
  • Children below 7:
    No change in fares; free travel for all.
  • Students:
    Card fares to increase by 1 cent per journey.
  • Senior Citizens
    Card fares to increase by 1 cent per journey.
  • Persons with Disabilities / Lower-Wage Workers
    Card fares to increase by 1 cent per journey.lank
  • All Monthly Concession Pass Holders
    No change
  • Cash Fares
    No change

Fare Adjustment Formula

The Public Transport Council (PTC) is a statutory board under the Ministry of Transport that regulates public transport fares. The board conducts annual Fare Review Exercises to adjust public transport fares, and new fares usually take effect in end-December.

The current Fare Adjustment Formula is as follows, and is applicable from 2018 to 2022:

Year 2021 Fare Adjustment Quantum = 0.5cCPI + 0.4WI + 0.1EI – 0.1% + NCF = -2.2% + (4.4% quantum carried over from the 2020 Exercise) = 2.2%

The Fare Adjustment Formula is based on five components:

  • Core Consumer Price Index (cCPI): the change in core Consumer Price Index over preceding year; -0.2% in 2020.
  • Wage Index (WI): the change in Average Monthly Earnings (Annual National Average) over the preceding year, adjusted to account for any change in the employer’s CPF contribution rate; 1.4% in 2020.
  • Energy Index (EI): the change in Energy Index which is a composite of cost changes in electricity and diesel; -32.8% in 2020.
  • 0.1% – Productivity Extraction factor set for 2018 to 2022.
  • Network Capacity Factor (NCF): the change in NCF over preceding year, which means capacity provision relative to passenger demand for the entire public transport system; 0.7% in 2020.

Highlights of Public Transport Operators’ Applications

SBS Transit applied for a fare adjustment of 2.2%, citing the significant drop in ridership  and fare revenue, and the rising operating cost to maintain high levels of reliability and safety. In its latest financial year, SBS Transit’s train segment reported a loss of tens of millions of dollars even with Government support for COVID19.

Similarly, SMRT Trains applied for a fare adjustment of 2.2%. The operator cited escalating costs to maintain service reliability, safety standards and intensified cleaning regime. For its latest financial year, while SMRT Trains recorded an operating profit of $23 million, this is after they received broadbased Government support for COVID19.


Fare Adjustments for Adults

Regular commuters paying adult fares via Card will see a 3 to 4 cent increase in bus and train card fares respectively from 26 December 2021.

A consolidated list of new fares can be found on the PTC’s website.


Fare Adjustments for Concession Card holders:

Full-time students from Primary, Secondary and Tertiary institutions currently eligible for Student concession fares, Senior Citizens, Persons With Disabilities and Lower-Wage Workers will see a 1 cent increase in card fare for both bus and train from 26 December 2021.

A consolidated list of new fares can be found on the PTC’s website.


PTC Posters

 


External Links & References:
Past Fare Review Exercises:

Back to Bus Fares

2 thoughts on “Public Transport Fare Review 2021

  • 6 November 2021 at 12:28 AM
    Permalink

    G don’t realise that public transport is not meant for reaping profits..

    Reply
  • 4 November 2021 at 10:13 AM
    Permalink

    bro why do they have to do this?

    Reply

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