The (Second) Public Transport Fare Adjustment 2015 sees an overall 1.9% decrease in bus and train fares with effect from 27th December 2015. This is the maximum fare reduction that the Public Transport Council (PTC) would allow at any one time. Ez-Link card fares for buses and trains are set to be lowered by 1 to 4 cents for adults, and 1 to 2 cents for students and senior citizens. Cash fares and single trip ticket fares will remain unchanged.
This is the fourth fare adjustment for the Distance-Based fare structure, with the last fare adjustment in April 2015 (Public Transport Fare Adjustment 2015). The current fare reduction follows a drop in global energy prices, which made electricity and diesel more affordable.
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The Fare Review At A Glance:
From 27th December 2015:
- Adults
Card fares to decrease by 1 to 4 cents per journey.
No change to Cash fares and concession passes - Children below 7:
No change in fares, free travel for all. - Students:
Card fares to decrease by 1 to 2 cents per journey. (From 39c → 61c per journey to 38c → 59c)
No change to cash fares. - Senior Citizens
No change in fares. - People with disabilities / Low Wage Workers
No change in fares. Possible decrease in concession pass prices to be announced at a later date.
Blank - All Monthly Concession Pass Holders
No change in prices for monthly concession passes.
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A: Fare Increase Formula for Dec 2015
The fare formula is based on four components:
- Core CPI inflation: This currently stands at 1.9 per cent, and excludes home and car prices.
- Average wage increase, at 2.3 per cent
- Energy index: This registered -15.3 per cent, due to a drop in energy costs compared to 2014 levels. 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.
Using the formula for Price Index = 0.4cCPI + 0.4WI + 0.2EI, the price index is -1.4 to one decimal place. The Fare Adjustment Quantum is calculated by subtracting the productivity index (0.5%) from the Price Index, yielding a figure of -1.9 per cent for 2015.
As such, the Public Transport Council (PTC) decided to effect the maximum fare reduction of 1.9%, with the opening of Downtown Line Stage 2 on 27 December 2015.
As fares will be reduced in the 2015 Fare Review Exercise, the public transport operators are not required to contribute to the Public Transport Fund.
The overall 1.9% fare reduction translates to a fare revenue decrease of about $36.1 million a year for both public transport operators. The decrease in revenue for SBS Transit and SMRT is $15.7 million and $20.4 million, respectively.
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B: Fare adjustments for Adults
Regular commuters paying adult fares will see a 1 to 4 cent decrease in card fares for normal bus, express bus and train fares from 27 December 2015. Cash fares and single trip ticket prices will see no changes.
- -1c for journeys up to 3.2km
- -2c for journeys between 3.3km and 6.2km
- -3c for journeys between 6.3km and 12.2km
- -4c for journeys from 12.3km onwards
A consolidated list of new fares can be can be found below.
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C: Fare adjustments for Students:
Full-time students currently eligible for Student concession fares will see a 1 to 2 cent decrease in card fares for normal bus, express bus and train fares from 27 December 2015. Cash fares will remain unchanged.
- -1c for journeys up to 6.2km
- -2c for journeys from 6.3km onwards
A consolidated list of new fares can be can be found below.
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D: Fare adjustments for Senior Citizens:
Senior Citizens currently eligible for Senior Citizen concession fares will see a 1 to 2 cent decrease in card fares for normal bus, express bus and train fares from 27 December 2015. Cash fares will remain unchanged.
- -1c for journeys up to 6.2km
- -2c for journeys from 6.3km onwards
A consolidated list of new fares can be can be found below.
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E: People With Disabilities / Low Wage Workers
No change in fares. Possible decrease in concession pass prices to be announced at a later date.
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Bus Fare Table for December 2015 onwards (Coming soon)
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Gallery:
| SBST Fare Adjustment Poster (Coming soon) |
SMRT Fare Adjustment Poster (Coming soon) |
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External Links & References:
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