Public transport fares may be lower next year
Public transport fares may drop by around 1 per cent next year, after the next fare review exercise is conducted later this year.
Transport Minister Lui Tuck Yew said in Parliament yesterday that the "drop in 2014's energy prices could possibly translate to a negative fare adjustment", The Straits Times online reported.
Mr Lui said that in the last fare review exercise, the adjustment quantum was 6.6 per cent, but as this was assessed to be too much in one go, only a 3.2 per cent increase was implemented, with the remaining 3.4 per cent rolled over to the current fare review.
This has been lowered to 2.8 per cent, due in large to the fall in energy prices last year.
The results of the current fare review, which started in November, are expected to be announced in the first quarter.
Both SBS Transit and SMRT have applied for fares to be increased. However, Mr Lui noted that next year's fare review exercise, to be conducted later this year, may see a negative adjustment quantum.
He said: "Based on available data, and we don't have the full year's data as yet... it could be in the region of negative 1 per cent."