SBS Transit, SMRT submit applications for fare adjustment
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Originally posted by charlize:
Now not nationalised also fares are increasing leh.
So how?
I don't understand Elite logic, operating under the same structure but under cost recovery system will result in fare increases?
It just means that there will be no profits and no shareholders, commuters will only be charged for the cost of providing such public transport services.
Elites have a convoluted sense of reasoning.
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In Sg, competition means higher prices and worse services.
Go figure.
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Competition in Singapore means competing with different companies under the same owner.
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Originally posted by βÎτά:
Competition in Singapore means competing with different companies under the same owner.
Like kids fighting for parent's attention?
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Originally posted by charlize:
Like kids fighting for parent's attention?
Haiz.....
Sibling rivalry.
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Don't they have anti-competition laws in Singapore?
Is it worded specifically to exclude companies with same ultimate owner?
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Parents are liable for their kids action.
Parental Liability for Competition Law Infringements
The EU General Court provided a reminder on May 17, 2011, that parents are responsible for the behaviour of their subsidiary companies, since the latter are usually not treated as independent companies.
In judgments involving the Elf Aquitaine group, the court confirmed, in accordance with existing case law, that there is a rebuttable presumption that a subsidiary wholly owned by its parent company does not freely determine its own conduct on the market. Such a presumption also applies where a parent company owns almost all of the share capital of its subsidiary. Elf Aquitaine held more than 97% of the shares of its subsidiary Arkema France, and did not furnish evidence capable of rebutting the presumption of parental control. Arkema France's breaches of competition law could therefore be imputed to Elf Aquitaine.
The court also confirmed that, when setting fines, the EC has the power, but is not obliged, to impute the responsibility for an infringement committed by a subsidiary to its parent company. This issue can be important for example following a disposal, since a vendor which is treated as having controlled a former subsidiary can find itself the subject of a fine for competition law breaches of that subsidiary (for the period up to completion of the sale).
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wa, buses fuel by energy from lies why the increase?
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Fare-change formula "ensures operators remain productive"
SINGAPORE: Transport Minister Lui Tuck Yew has said the current fare adjustment formula for public transport ensures operators will remain productive.
He explained that while the formula incorporates the rate of inflation and wage increase, it also takes into consideration a productivity factor of 1.5 per cent.
Mr Lui was speaking on the sidelines of a community event on Saturday.
He said: "So if there is no inflation for the year and there is no wage increase, then the fares will come down by one per cent, which means that we put an incentive on the operators to make sure that they are productive, and that's what the formula does.
"The most important point I want to emphasise is we have to allow PTC (Public Transport Council) to study what the operators have come up with, and they will decide in due course."
His remarks come after Singapore's two public transport operators SBS Transit and SMRT submitted applications to the Public Transport Council to adjust bus and train fares.
Mr Lui assured that the PTC will evaluate their applications and moderate them accordingly.
- CNA/ir -
Originally posted by QX179R:
Fare-change formula "ensures operators remain productive"
SINGAPORE: Transport Minister Lui Tuck Yew has said the current fare adjustment formula for public transport ensures operators will remain productive.
He explained that while the formula incorporates the rate of inflation and wage increase, it also takes into consideration a productivity factor of 1.5 per cent.
Mr Lui was speaking on the sidelines of a community event on Saturday.
He said: "So if there is no inflation for the year and there is no wage increase, then the fares will come down by one per cent, which means that we put an incentive on the operators to make sure that they are productive, and that's what the formula does.
"The most important point I want to emphasise is we have to allow PTC (Public Transport Council) to study what the operators have come up with, and they will decide in due course."
His remarks come after Singapore's two public transport operators SBS Transit and SMRT submitted applications to the Public Transport Council to adjust bus and train fares.
Mr Lui assured that the PTC will evaluate their applications and moderate them accordingly.
- CNA/irIn layman's terms, he is just saying please accept the fare increase.
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Judging by public backlash, they may allow a smaller increase instead of what was requested by the transport companies.
Anyway, this issue will be scrutinised closely because it will affect elections 2016.
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Comments are worth reading below the article.
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PTC to track affordability factor when deciding fare adjustments
SINGAPORE: Public Transport Council Chairman Gerard Ee said the "affordability factor" will be tracked when looking at fare increases proposed by Singapore's two main public transport operators.
Mr Ee, who was speaking on Channel NewsAsia's revamped discussion programme "Talking Point", said the council will not just "blindly" look at the fare adjustment formula.
He said the amount of money that people spend on public transport is monitored, and that over the last few years, a smaller proportion of household income is being spent on public transport.
On a suggestion that operators wean themselves from oil dependence by exploring eco-friendly technology, Mr Ee said it's something that can be looked into.
"The use of electric buses and all that, it will come. It will definitely be there and we are very close to that event. Technology is improving very rapidly and I'm looking forward to the day where we have cleaner environment through the use of electric vehicles," said Ee.
Viewers can catch the new season of "Talking Point" on Sunday night at 10.30pm, Singapore/Hong Kong time.
- CNA /ls -
Public transport are very affordable, just like our HDBs.
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Originally posted by βÎτά:
Public transport are very affordable, just like our HDBs.
Once the transport minister starts using the word "affordable", you people can all start repenting.
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Public transport operators requesting for fare hikes...
I dont get it... since its a privately run business, there should be no need to seek approval for increase in fares?
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Vote for more MIW for many more years of repent to come!
Year 2016 its time to repent again!
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Netizens against transport fare hike: Yahoo! poll
The results of a recently-concluded Yahoo! Singapore poll has revealed that almost all netizens are against SBS Transit and SMRT's application to raise fares.
A total of 14,787 respondents participated in the three-day poll, which asked what they thought about SBS Transit and SMRT's application for a fare increase.
13,920 Yahoo! users, or 94 per cent of the respondents, indicated that the transport services provided by both companies has had little improvement over the years, despite increasing their fares a number of times.
Both operators submitted their applications for fare adjustment to the Public Transport Council (PTC) last Monday. The increase is calculated using the annual fare adjustment formula recommended by the Government-appointed Fare Review Mechanism Committee.
The formula takes into account the consumer price index, wage index and productivity gains.
Four per cent of of the respondents appeared more understanding of both transport companies' plight in dealing with rising costs and inflation. The remaining 2 per cent of respondents were not concerned about the potential fare hike.
SBS Transit said it is spending S$268 million to purchase 600 new buses, scheduled for delivery in 2011 and 2012.
The operator has purchased a total of 2,050 new buses since 2006 as part of its fleet renewal exercise. The buses cost about S$854 million, said SBS Transit.
For the financial year 2011, SMRT's energy cost increased 17.5 per cent to S$122.4 million due mainly to higher electricity and diesel prices, as well as the expansion of the rail network with the opening of Circle Line Phase 1 and 2, said the operator.
Its manpower costs have also increased because of a 0.5 percentage point increase in employer CPF contribution rate to 15 per cent in September 2010 and to 15.5 per cent in March 2011.
SMRT also hired more staff because of the Circle Line opening and to operate additional train and bus trips. The operator introduced 420 extra train trips from March and increased the number of bus trips by 5.4 per cent.
The application for a price increase has led to Member of Parliament, Denise Phua, to comment on her Facebook page, "I am concerned that the transport operators are asking for permission from the PTC for fare increase."
While there are good reasons like the rise in operating costs, Phua suggested that it could be time for stakeholders to "deeply study the underlying assumptions on how this industry is structured and how prices are fixed and applied".
"Yes, I have heard that public transport is best run by private operators (for efficiency and cost management) but can there be better hybrid systems which might work better than today's?" she questioned.
"Would a third-alternative system be possible to provide even more incentives especially to Singaporeans not just to relieve their cost of living; but also in applying the principle that membership (being Singaporean) has its privileges" she added.
Yahoo! Singapore understands that the PTC will study and deliberate on both operators' applications and will inform the public of the outcome once a decision is reached.
-- Yahoo!