Singaporeans To Expect An Increase In MRT Fares
According to Transport Minister Khaw Boon Wan, a new formula needs to be introduced to determine MRT fares and commuters should be prepared to pay higher fares.
Currently, the fares being paid by commuters are not enough to cover the operating costs resulting in the government extending subsidies.
In order to ensure it is on par with world-class transport systems like the Taipei Metro and Hong Kong MTR, Singapore’s MRT has incurred expenses due to rigorous operations and maintenance done to improve the network.
MRT fares are determined by the Public Transport Council (PTC) and takes into account macroeconomic cost factors such as inflation, wages, fuel costs and increases in the network capacity, with a productivity extraction.
However, the PTC fare adjustment formula has not strictly followed in the past. Had it been, the maintenance costs would have been covered.
Mr Khaw further elaborated that PTC will need to review the fare adjustment mechanism to ensure a more viable and sustainable public transport system.