SINGAPORE, Oct 12 — Amid concerns over the rising cost of living, the Government will fork out an additional S$200 million (RM652 million) to defer the bulk of public transport fare increases to next year’s review, said the Ministry of Transport (MOT) today.
The S$200 million is in addition to the S$2 billion annual subsidy already provided by the Government to run bus and train services.
The Public Transport Council (PTC) has approved a 2.9 per cent increase for public transport fares, which translates to a four to five cents hike for adults per trip from Dec 26.
This is much lower than the 13.5 per cent adjustment allowed under the fare formula, and means 10.6 percentage points will be rolled over to next year’s review.
The PTC said that the rationale for the calibrated adjustment is to balance between the rising costs incurred by operators, while at the same time taking into consideration concerns by the public over rising costs of living.
“The S$200 million support covers the carried-over quantum of 10.6 percentage points and shields commuters from the brunt of the fare increases, given the cost of living concerns,” said the MOT in a press release today.
MOT added that to help low-income households cope with the rise in fares, 600,000 public transport vouchers of S$30 each will be given to lower-income and lower-middle-income households.
The vouchers, which can be used to top up fare cards or buy monthly passes, will be made available for families with household income per capita of not more than S$1,600.
Vouchers were similarly given out during previous fare increases.
In a joint release with the People’s Association, MOT said that the vouchers will be disbursed in two stages this year.
In the first stage, households that had received transport vouchers during the 2021 exercise and continue to meet the income eligibility criteria will receive a notification letter via post by the end of this year. They do not need to make any application.
Under the second stage, which will start from early next year, households that meet the eligibility criteria but did not receive a voucher in the first stage can apply for them online or in person at community centres.
Details of this application process will be made known at a later date.
In addition, MOT said that the increase for concession card fares for lower-wage workers and persons with disabilities will be capped at one cent.
Other concession groups that will see a lower fare increase than adult commuters are senior citizens and students. The prices for monthly concession passes will remain unchanged.
“As a result, half of Singaporeans will see a small fare increase, with some experiencing no fare increase,” said the ministry. — TODAY
