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Action for Public Transport (N.S.W.) Inc.

NEWS RELEASE: Bad Timing for Fare Rises

posted Tuesday 16 December 2008
Commuters say the bus and fares rises are ill-timed, coming just as petrol prices have fallen and the economy is in decline. Action for Public Transport (APT) secretary, Allan Miles, said that fare rises of 7.5 per cent average for rail and 5.5 per cent for buses could turn some people away from public transport.

"Fares should have been determined by a holistic approach to the efficiency of the entire Sydney transport system, including roads." Mr Miles said. "Fares would almost certainly have been lower using that approach."

Mr Miles said that, instead, commuters suffer from the accountants' method of calculating fares - "How much cash does CityRail need and how do we get it?" "This approach undervalues the community benefits of getting more people onto public transport," he said, "because it is too difficult for accountants to agree on the enormous value of those community benefits."

However, Mr Miles said that the Independent Pricing and Regulatory Tribunal (IPART) had bowed to pressure from community groups and had agreed to increase the factor for external benefits. "The passenger contribution towards total costs will be reduced from 30 per cent to 28.5 per cent in recognition of these difficult-to-measure benefits."

Part-time workers who use the train will be hardest hit, according to APT. "These people cannot use a discounted weekly rail ticket," Mr Miles said. "They have to queue up daily to buy expensive return tickets for their three or four days' work".

"The last minute intervention in the fare-setting process by the Transport Minister, David Campbell, has also brought good and bad news to commuters," Mr Miles said. "In the final weeks of a year-long review," Mr Miles said, "the Minister objected to IPART's 'equity' proposals, which will apply the same flag-fall and per kilometre charges for all distances."

Mr Miles said that, as a result, while the 'equity' remains, the flag-fall will be higher and the charge per kilometre lower. Short-distance passengers will bear higher fare increases, with longer distance passengers paying smaller increases." Mr Miles said that this change would be welcomed by voters in the dormitory suburbs outside the Sydney suburban area, including Mr Campbell's electorate.

Mr Miles said that bus fare increase were more reasonable. "The average increase is 5.5 per cent," he said, "and TravelTen discounts have been confirmed at a fixed 20 per cent." "In fact," Mr Miles said, "prices for most T-Way TravelTen tickets (for use on the Liverpool-Parramatta T-way) will fall so that the discount can be raised from 15 per cent to 30 per cent."

Mr Miles said that the outrageous increases in prices for TravelPass tickets proposed by the Ministry of Transport had been thrown out by IPART. "The maximum increase for any TravelPass weekly will be $3.00," Mr Miles said.

"While it is now too late for commuters to order yearly tickets at this year's prices," Mr Miles said, "bulk stocks of TravelTens, single bus tickets and some weekly TravelPasses can still be bought at today's prices and used at any time in the future."

Mr Miles noted that IPART's determination for CityRail fares also included proposed rises for the years 2010, 2011 and 2012 as part of the four year plan. "We fear that some future government will have the urge to tinker with these figures," he said.

Contact: Allan Miles 9516-1906
Kevin Eadie 9819-6052




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