http://www.smrt.com.sg/SMRT%20APPLIES%20FOR%20FARE%20ADJUSTMENT.pdf
1. SMRT has submitted its application for fare adjustment (read ... increase!) to the Public Transport Council (PTC) today, 1 August 2008.
2. As with previous years, the annual fare adjustment is capped based on a formula that takes into account consumer price index (CPI), wage index and productivity gains. In 2007, consumer price index (CPI) rose 2.1%, and wage increased 6.9%. Without factoring in productivity gains, the maximum fare adjustment would have been 4.5% this year. However, in the last five years, the public transport operators had achieved higher productivity gains.
3. Mr Vincent Tan, Vice President, Planning and Rail Operations, SMRT Corporation Ltd noted, “SMRT’s efforts in growing non-fare revenue from commercial activities like retail rentals and advertising, and constant cost control and productivity drive have yielded good results. This contributed to a higher industry productivity extraction of 1.5%, compared to 0.3% in 2007. As a result, the maximum fare adjustment quantum is reduced to (+)3% this year.”
4. Even a maximum fare adjustment will not fully mitigate cost increases due to an inflationary and higher operating cost environment. For FY2008, SMRT’s energy cost increased 18% to $89.7 million due mainly to higher electricity and diesel prices. Of the $89.7 million, electricity cost accounted for $47.5 million, an increase of 19% compared to FY2007. Diesel costs for bus operations amounted to $42.2 million, 17% higher than last financial year. Besides higher electricity and diesel costs, SMRT fully absorbed the increase in GST by two percentage points. The increase in employers’ CPF contribution by 1.5 percentage points further added to operating costs (so now you're blaming us eh!).
Well ... SBS also submitted their proposal for fare adjustments too ... but details are not out yet at this point in time ...
how many times they want fares to be adjusted?..
Y not they submit aplications for their employers' salaries to be adjusted?..
Haiz...
No need to submit. It already approved before they submit.
As the saying goes; 'Like Father Like Son'
Just ask the residents at woodlands, boon lay and yishun how clean the SMRT bus are.
SMRT dun deserve a fee hike for the lousy service that they provide the commuters.
SBS is also extending the waiting time for their buses.
So, when applying the fee hike to a bunch of scholars that do not take public transport, the final answer is always yes as they use figure instead of the service conditions.
Both company failed to deliver their previous promise of better services.
Originally posted by Medicated Oil:Just ask the residents at woodlands, boon lay and yishun how clean the SMRT bus are.
SMRT dun deserve a fee hike for the lousy service that they provide the commuters.
SBS is also extending the waiting time for their buses.
So, when applying the fee hike to a bunch of scholars that do not take public transport, the final answer is always yes as they use figure instead of the service conditions.
Both company failed to deliver their previous promise of better services.
I fully agree with you. In addition, I think the SBST and SMRT bunch of scholars that do not take public transport should start to take their own public transport everyday to realise that Service conditions must improve, only then a fare hike is fair.
Originally posted by Medicated Oil:Just ask the residents at woodlands, boon lay and yishun how clean the SMRT bus are.
SMRT dun deserve a fee hike for the lousy service that they provide the commuters.
SBS is also extending the waiting time for their buses.
So, when applying the fee hike to a bunch of scholars that do not take public transport, the final answer is always yes as they use figure instead of the service conditions.
Both company failed to deliver their previous promise of better services.
SMRT's reasons for fare hike most of the time is fuel cost. For some reasons it seems their revenue for buses are never positive since the take over.
If you keep using old bus and refusing to fix them, the maintenance cost for fixing a broken bus will be higher.
Not forgetting that the spare parts for the old bus may be higher.
Or else they may be short changed by the passengers at some interchange.
Maybe they are using creative accounting also.