Leong Sze Hian -
In 2009, public transport operators offered a 3 per cent rebate to commuters.
Since 03 July 2010, this rebate no longer applies.
In its place, distance-based fares were introduced. The PTC said:
“[The] PTC decided to implement the full 2.5% fare reduction allowed by the fare formula this year. As a result, commuters as a whole will pay 2.5% less than they would have had to.”
Is this true? It was reported that distance-based fares are projected to result in 34 per cent of commuters paying more and 3 per cent paying the same. Even some of the 63 per cent projected to have fare savings may actually save less than the 2.5 per cent “formula” savings.
Didn’t the PTC say “commuters as a whole will pay 2.5 per cent less”? The 3 percent rebate was restored while the “fare reduction” in the fare formula this year was only 2.5 per cent.
Does this mean that in fact all commuters will be paying 0.5 per cent more, instead of 2.5 per cent less?
Since for the first time in the history of the Fare Adjustment Formula, the result is a 2.5 per cent reduction due primarily to the decline in average wages last year, if not for the change to distance fares and rebate restoration, wouldn’t everyone be paying 2.5 per cent less instead?
Or in other words: if not for the rebate restoration, everyone would only be paying 0.5% more.
Instead, now we have some people paying 11 per cent more, with two-thirds paying less – according to the Public Transport Council’s projections.
Paying less – really?
As to the benefit of allowing the maximum number of transfers to be increased from 3 to 5, I wonder how many commuters make journeys that require more than 3 transfers.
The Distance Fares Calculator available from 15 June is rather strange as it only allows one to calculate the new fares for trips that have at least one transfer.
Whenever one tries to calculate a single trip fare effective from 3 July, the error message, “Please add at least one trip before computing the fare”, appears.
Also, the fare calculator does not allow one to compare the old and new fares. Why is this so?
Anyway, I managed to find out that for myself, my typical bus 73/93 transfer journey from Serangoon Gardens to Queensway will increase by 11 per cent from $1.50 to $1.67, and a feeder bus journey will increase by 3 per cent from the current $0.69 to $0.71.
Despite the three per cent transport fare rebate last year, SBS Transit’s operating profit increased by 32 per cent, from $47.1 to $62.3 million, from 2008 to 31 December 2009.
For the first quarter of 2010, its operating profit was $19 million. At this rate, its operating profit for the whole year may be about $76 million ($19 million times 4 quarters), which may translate to yet another increase of 22 per cent over 2009.
For SMRT, its operating profit increased by 4.5 per cent, from $188.7 to $192.2 million, from FY2009 to FY2010.
With such huge increase in profits, what is the justification for the restoration of the three per cent rebate on 3 July, in conjunction with the 2.5 per cent reduction due to the new distance fares formula?
As to SMRT’s inability to increase the frequency of trains to minimise over-crowding, why was it able to add at least another 960 train trips during the Formula One (F1) weekend alone in September 2008? (CNA)
With regards to SMRT added 1,110 train rides per week, we should note that these additional train rides were gradually added over the last two and a half years or so.
Moreover, 1,110 train rides per week may mean an average of about 159 train rides per day. If the average train ride carries about 1,000 passengers, the increase in capacity per day may only be about 159,000.
After taking into account the increase in the population by about 410,000 from 2007 to 2009, the increase in tourist arrivals from 9.7 million in 2009 to a record 946,000 a month in May 2010, new MRT stations and line, and the reduction in bus services so as not to duplicate MRT services, how adequate is the addition of 1,110 train rides?
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Picture from moeside.net
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I prefer to go back to age old question, why did we allow the essential services to become so profit driven in the first place? Are we really better off with a market oriented policy, I beg to differ if there is so little compeition we might be better to run this services as with a non-profit approach. Singaporean should decide……
There is no Truth, Anything is Permissable.
When they announce this scheme, i don’t really believe in what they say, as a leopard can never change its spots. A profit seeking entity that do it to such an extent…why will they want to cut it? In fact, it may be just another “if you can’t beat them, confuse them scheme”.
Singaporeans are daft according to a minister. Of course the PTC believed him. So they think they can hoodwinked Singaporeans.
Don’t bother using their fare calculator. Just put in a little effort to look at the actual amount charged at the end of the trip and gauge for yourselves whether you are better off or worse off.
another great article.
The credibility of survey releases, findings, graphs, charts and statistics released by government ministries and their connected companies has time and again been called into question for their bias or outright misrepresentation, especially where the efficacy of certain unpopular policies implemented is being measured. The reservoir of trust held by the public has been severely depleted as a result. Once the belief system that the government always had the interests of the citizenry at heart has been totally shaken-up, there will always be nagging suspicion and mistrust. Oh and please do not lay the blame again on the citizens.
Everything in S’pore seems to be complicated- from all the various surcharges in taxi fare…to CPF Life schemes…..
So now even transport fare calculation is a web of complication.
They are trying to confuse us so that they can get away with their ‘beautiful’ statistic of cost saving when in fact it is cost increase. They have got into the habit of misleading the public. Sigh …
Ditto. My fares went up between 10 to 30%.
I usually take a bus just 2 stops down from my work place and have dinner at a coffee shop. (69cts, now 71cts) And then take another bus home (69 cts, now 81cts).
So my going-back-home bus fare just went from 138cts to 152cts which is a 10.1% increase.
When I dont stop for dinner and go straight home, my fare was still 69cts and is now 91 cts. Which is a 31.9% increase… I am still trying alternate buses from the vicinity to see if the “distance fares” are right..
great article Mr Leong .. keep on dissecting the figures sooner or later sure ‘pecah lobang’ .. or lobang already pecahh rabaksss
I hope to see the opposition use this as an ammunition in their electoral speech…Thanks Mr Leong.
Just remember this basic principle:
Under PAP rule, prices NEVER go down, prices only go UP.
If someone garhmen people tell you prices will drop, they are lying!!
check out this video
then think if you want to vote pap.or is our government so good to be true. what is behind them that you can’t see but this video reveal it
http://www.youtube.com/watch?v=jQCab3QZbBk
you all realLEE terkan for a ride what?
who else would pay $0.75cts for a feeder service? the 66% kiasuu kiasee ugLEE singapooriums what..
i don’t i rather walked 4 stops away
butt than again..by the time i finished walkin..i end up in a provision shop buyin a $0.90cts cool can drink..
liddat i still lugi…
~sigh~
shouldn’t the Economies of Scale bring about lower fares, an ever increasing ridership to shoulder the cost of operation? how much that offsets cost of operating a higher train frequency, cost of maintaining the trains?
i have yet to encounter a major train delay (only once, for 5 mins) due to technical fault, maybe readers & posters here in TOC can share some of their woes on such incidents? the frequency of such service disruptions over the years & how it affects them? late for work, school, etc…?
also, maybe train operators like SMRT should let the public know how efficient their service recover is, afterall, they have years of experience to look back to. unless sleeping on the job…
According to the ‘news’, 1/3 will see an increase in fares.
What I want to know is… are YOU one of the 2/3? Can we please start an FB page.
1/3 who see the fare increase, and 2/3 who get a fare reduction?
Hands up if you get a fare reduction.
The 2.5% fare reduction refers to an overall 2.5% reduction on the table of old fares (or old fare structure). It is a static picture of a matrix table which you never get to see because simultaneously there has been a 3% increase in fares. On top of that they are slapping you with new distance-based fares.
With the ceasing of the 3% temporary fare rebate, the whole matrix of fares went up by 0.5%. With distance-based fares implemented, the upper limits of the old matrix are busted and new higher fares populate the tailends of the matrix table.
The simple fact is there has been a fare increase. Please don’t get distracted by the hocus-pocus.
There are scholars who thought up the formula to make more money for the companies.
My way of getting even is to buy their shares and become their shareholder. Then I can stand up at their AGM to ask questions if they do not pay me dividends from the profit that they made.
I like to use my life line.
1. What is meant by GLC in terms of revenue?
2. How does the revenue of GLC affect gov?
3. Does a GLC’s revenue go into the national coffers directly? Is it invested, if any?
I am so ignorant. pls help enlightingment me.
the FROG in a well.
aiyoyo
bus fare/mrt fare so expensive now
tak boleh tahan!
whose idea is this huh?
aiyoyo
Whatever the statistics shown to the public, the fact remains that commuters on public transport are facing over-crowding and rising fares sugar coated as falling fares. Motorists like myself find the traffic congestions getting more serious on a daily basis. Getting caught in several 2 hours commute myself in the last half a year, I will even venture to say our traffic has gotten worst than that in Bangkok.
All I hear from the relevant authorities are not solutions but denials and blame shifting. LTA is now evaluating using GPS tracking technologies to implement distance-based road tax and gantry-less ERP. The total costs of changing to this technology is very huge (billions) and the benefits to alleviate traffic congestions do not seem apparent at all. If you want to tax those who travel on the roads more, just increase your petrol tax. Those who travel less will be tax less.
Might as well spend the money on improving the roads rather then “creative” ways to tax us unconciously. Especially since ERP is there to be a concious reminder for motorist to plan their route or their travel times; why make it gantry-less?
I am not a supporter of ERP and road taxes, however I believe there are smarter ways to use our tax payers money than to implement technology for the sake of technology.
Don’t bother to use their calculator. You just need to print out your travelling trip before and after the distance based system, you will be able to know how much more you will be paying extra.
They really still think that we are that stupid, stupider and stupidest as before.
Their policies are always divide and rule,confuse and implement,complicate and cheat the people.We’ve been bullied for so many decades and time is up for us to get together to prove our mettles.We’ve to show them that we’re no more daft and easily bluffed by getting them booted out soonest possible.This will ensure a more congenial society for everybody and our generation after.
Hmm..implement stage-fare at this time is most timely as YOG, F1 is underway. Can generate more profits with the large tourist crowds.
However, public transport like bus services will suffer delays & jams especailly now with the MBS official opening & National Day rehearsal every weekends.
I was stuck in a bus for almost 30 mins just to let my bus crossed the helix bridge. Guessed what? the CISCO officers blocked the whole road travelling towards the esplanade cos of National Day rehearsal.
My friends paid more in a cab that day due to that massive jams. I stayed longer in the bus watching other vehicles crawling.
LTA didn’t even bother to put up signage about the road closure along the helix bridge to alert & remind motorists to avoid that road direction.
PTC still think our public transport are of World Class standards ??
People would think im whinning here but when you personally experienced it, you may second that!!!
WORLD CLASS INFRASTRUCTURES.
Another case of displaying the sheep’s head but in reality they are selling dog’s meat.
Just look at the measures implemented to help the low income group,for instance,the training schemes, it is ludicrously funny that many fell through. Where is the sincerity to reach out?? What has happened to our tripartite mechanism??
All this ‘distance-base’ nonsense by the PTC is a farce!!
They have ran out of ideas as to how to implement the increase in the fares this time around, that’s why we are having this ‘distance-base’ nonsense shoving down our throats!!
Instead of taking care of the commuters’ interest, PTC is set up to look after the interest of the transport providers
and their record breaking profits year after year!!
Since the PTC was set up, what have they done to help the commuters to lessen the burden of having to pay hefty increases
in transport fares every year??
The answer is a big fat NOTHING!!
What have they done to help the senior citizens and the poor to solve their transportation woes??
The answer is another big fat NONE!!
Might as well dissolve the PTC!!
Hey, who wil benefit from the increase in the fares? How do they justify the increase? Did they do anything for us public transportating taking suckers? Did they give us a reason not clog the road and increase the ERP?
World class doesn’t mean world standard. You can say you are world class but compared to whom? Who are you trying to compare? Malaysia? Indonesia? Thailand? Of course, if our world is limited to that, yes. We are WORLD CLASS.
If compared us to Germany, France and Japan, then we are sucker class. Even though from a glance, the cost of transportation in these countries are expensive, they are not in the long run. In most European cities, they got a job pass or monthly ticket. It covers ALL public transportations, bus, train, trams. Even though a short ride might cost Eur1.50, a whole month ticket only cost 58Euros. Think about it, for 58Euros, you get all transportations, buses, trains, trams. In Singapore, if you get a monthly pass, you get it for SBS only. That would cost 100SGD? Now, if you add SMRT and TIBS and others, you will get a higher cost. Even in giving that kind of small incentives for us to take the public transportation, the companies are looking at making money. How about seniors? Oh, they got “subsidized”. Come on, don’t be ridiculous. Their subsidies are small. In Germany, a family of 5 can go out in any part of a state for 33Euros. They can go anywhere in Germany for 50Euros (family of 5) You think Germany is expensive? You think their transportation is not world class? With a monthly ticket in Frankfurt, I can cover almost 90% of the cities including the outskirt. Can we say the same about our “Small” island? No…. With public transportations, we cannot cover much of the island yet. We still need taxis.
Well, enough said about world class. I am going to go to a class to study the world…
We pay more than before. A bus trip from Bt Panjang to Bra Basah now cost $1.49 formerly $1.41 an increase of 8 cents or 5.7% more than 2.5%. It is nonsense for PTC to say what it is saying. What Gerard Ee says on CNA is also not true. I travelled from Bt Panjang to town not east to west also cost 5.7% more. I am sure the shares of public transport companies will go up this year.
Whatever they need to throw out such a convoluted explanation, we should know we are getting screwed…
That’s why they say lies, damn lies and statistics…
Leong said his fare increased from $1.50 to $1.67. But a calculation on the website reveals otherwise. Kindly clarify.
Refer: http://i49.tinypic.com/20pwly9.png
Look at the fare table. It is very clear fares have gone up.
Don’t be distracted by a few entries where the fares have gone down or the hype over removal of transfer penalty. They are done to sell koyok. Stop dreaming 2/3rd of passengers will be paying less. It is high level fiction.
Different passengers have different travel patterns in terms of distance, frequencies, transfers, etc. Even the same passenger does not travel in a fixed manner for the rest of his life. He/she is bound to be a loser in terms of fare increase.
Throw a dart at the fare table. I am quite sure you will hit an entry with fare increase.
Do nothing for the next 6 months. Then look at the revenues of the transport operators. You can bet your ass they would go up.
To me, such fare table is like a safety-net for our public transport operators to gain consistent profits whether during good or bad times.
It resembles all the systems Singapore had created as tool to make $$$$. ERP, COE, HDB, CPF etc…
Being monopolized by GLCs, its with we take it or leave it. Its our choice afterall but can we protest ???
I never feels PTC for once protects the interest of we commuters. Claimed to be affordable public transport but operate it like private entity.
Good luck to we all. Since such table is implemented, never expects it to mark down its figures.
WE ARE BEING TOLD OF HOW WE SHOULD TRAVEL USING THE PUBLIC TRANSPORT DAILY BASED ON THE TABLE GUIDE.
Failed policy IMO………………..
aiyoyo
how many years to go?
today CNA news :
Commuters who make long journeys benefited from lower fares over the years
aiyoyo
Firstly, it is precisely because of fairness that fares had been capped at lower levels until now. Unless PTC is admitting now they had been in the wrong for donkey years and sleeping soundly.
Singaporeans deserve cheap public transport as much as public healthcare/education/utilities. Blue collar workers in particular need to travel long distances because their work places are usually at Tuas, Changi and Jurong. Old retired people enjoy even much lower distance cap. Students pay fixed concessionary pass rates regardless of distance.
White collar workers do not need to travel long dstances because their offices are in the CBD.
Secondly, there is no evidence that 2/3rd of the passengers are paying less. It is absolutely inaccurate to claim that the new fares are based on a fairer basis for the majority of the commuters.
When there is a change in fare structure, the economy will be affected too. Wages will rise as they are pegged to inflation and also workers will be less keen to take up jobs that are far away. There will be distortion in the labour market.
I think the GINI (pardon the pun) will jump again, so will transport inflation.
Turning public transport into a highly commercialised business when there are no alternatives and fares are controlled is contradictory.
Public transport is an inelastic and essential service.
There were a fleet of SBS buses burned at depot in bishan or something, was there an investigation or outcome known.
If each bus, double decker cost 300K or more, than we would have lost over 1 million for nothing.
Can someone enlighten me or us, why such things happen, is it because of employee’s unhappiness or sabotage.
Did shit times print anything on outcome of it.
another things is the report on free, repeat,”FREE” bus rides in thailand under gov or stat board.
If a poor third world can provide such, what is “suppose” 1st world gov of us do for the citizens, heard no more senior citizens fare or discount now….die lah
no job, no free bus, discount taken away, now maybe our pants should not have pockets, as all money will be put into a “tonk” before end of each day at void deck,before going home, “FOR THE MILLION DOLLARS ROBBERS”
Can someone tell me – is my daily fares increased or so call enjoy cheaper fare.
Daily per trip from EW line kembangan station to outram station & transfer @NE line to habourfront – total fares exited from last station was previously $ 1.50 x 2 = $3.00(inversely backed from same stations)now $1.56 x 2 = $3.12
What a BULLSHIT they claims to be – Daylight robbery on “daft” singaporeans.
Generally, all the fare increased!! If you take single trip only, you going to pay more then previous fare.
You pay just a few cents left if you make a transfer.
Who suffer??
Our views have been clouded by the removal of the transfer penalty which shouldn’t have been there in the first place. It is warp logic to say that we are not paying less now because we have not been making transfers and hence do not enjoy the removal of transfer penalty. It is rather – many passengers had been unnecessarily penalised previously. Moreover, transfers are required due to the deliberate design of our transport system to raise efficiency and profit for the transport operators. Remember the spoke and hub theory?
If penalty for transfers had been unfair, it was the fault of PTC. The solution is to remove them and the story ends there. It has nothing to do with penalising long distance travellers. It also has nothing to do with cross-subsidising because the transport operators have been making inordinate profits. The penalties were extra revenue for the transport operators that should not have been there in the first place.
Transfer penalties are independent from distance-based travel. They could have been removed earlier and independently.
I am just happy to say that I am one of the two-thirds of commuters that have seen a reduction in fares. Go Distance-based fares!
Joseph Lim 8 July 2010
I am just happy to say that I am one of the two-thirds of commuters that have seen a reduction in fares. Go Distance-based fares!
See above? This is the classic as of a contented Singapore. Hurray, Joseph. Vote for the PAP for your fares are reduced…
SMRT’s statement of operating profits is in fact incorrect. They took a write down against “future losses” on their bus services. Actually, operating profit rose by more than 10%.
I am not certain that this accounting practice is usual. Provisions are usually made for impairment of physical assets or bad debts. “Future losses” cannot be quantified, and therefore cannot be recognised. Otherwise, why not recognise “Future gains”.
Need an accountant to express a view.
There used to be a online checking of the EZLink transaction but they remove it..
Now, no way to know how much money they have deducted easily..Now they make you confuse, and make checking troublesome for you.
Tired using the machine to check my transaction.. just a simple ride will make you confuse.. Deducted full fare, then rebate you back, deducted again, rebate again..
My trip involves a feeder and a longer service.
Prior the fare adjustment, it was around $0.67 + $1.27 = $1.94
After the fare adjustment, it is $$0.04 + 1.45 = $1.49
So mine was reduced 23% overall, but that longer trip was increased about 14%.
Feeder service for me is only 2 stops.
We are money face now.
Long distance travel consumes more power and manpowers so why these people pay less than those travel shorter distance. Does not sound fair, right?
Nobody seems to check whether really 1/3 suffer and 2/3 benefit. How come noone asks to audit data, huh?
great analysis.
Mr Leong’s article is definitely worth more than the parroting PAP MPs, almost all of them have not make any meaningful challenge to the gov on behalf of the people’s needs.
it raise the question of why is a MM lee getting $3m for just making stupid remarks like “no amount of engineering can prevent floods”.
SMRT & SBSTransit, r operated as profitable companies. Not operated as people welfare companies. The fare will keep increasing. They will always come out with all sorts of reasons to rise fare.
All thanks to those 66.6!
We Are Being Pwn DeepDeep!
sheesh…fares used to be so simple…
wonder how the government comes up with this kind of crap.
do they go to a meeting and they say:
hey, i think we should increase our net profit.
Others: yah!
They say: How do we do it?
Others: Dunno, u say?
They say: We disguise the fare cut
Others: o.O
They say: That’s right, like we always do!
Others: O.o ok
They say: Ok, then let’s come up with a plan