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Could KMB and Citybus be less blatant with their fare increase demands?How on earth did KMB and Citybus arrive at these alarming percentages in the first place?
It's attempted highway robbery as the two franchised bus operators demand to jack up fares by percentages way above local inflation.
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KMB has suggested raising the fares by 6.5 percent at a time when international oil prices have scaled back considerably from the peak that once stunned the world shortly after Russia launched its invasion of Ukraine.
Local inflation, meanwhile, has gone down to around 2.2 percent.
And if you think the increase that KMB wants is high, how can Citybus justify its eye-watering demand of nearly 10 percent?
The percentages being applied for do not make sense.It seems to have become an annual rite that the bus operators challenge government authorities with incredibly high fare-increase proposals in the full expectation that the rates will be dramatically cut back to a level they are well prepared to accept.
Although it is not an uncommon approach in the commercial world for two parties to negotiate to get the biggest amount possible, it is not appreciated in the current context.Nobody would have bothered interfering had the talks been between two strictly commercial organizations.
But this does not apply in the current case in which consumers - that is, the bus passengers - would refuse to accept the outrageous increases even if government officials ignored public anger and agreed to them.Have the public relations directors of these bus firms diligently performed their duties and advised management that putting forward incredibly high demands only serves to draw very strong reactions from the public?
Perhaps they just did not care as this is certainly not the first time the franchised bus operators have employed such nonsensical tricks.In 2023, the five franchised bus companies started off with fare increase demands that ranged from 8.5 percent to a massive 50 percent.
Again, Citybus was the most ambitious, seeking a 50 percent increase for its airport routes.KMB and Citybus, the city's two largest bus operators, have repeated the gimmick this year - although they were mindful enough to apply for seemingly moderate fare increases.
As expected, reasons once again cited include staff wages, passenger numbers, fuel costs and business environment.But how much have staff wages actually gone up over the past year? How much has fuel expenditure increased - if, that is, it has not come down, as expected, in line with the global trend?
Furthermore, if the growth of passenger numbers has been weaker than projected, should the companies review the routes with a view to increasing the cost efficiency of their networks overall rather than seeing inefficiency continue to prevail?Any demand for fare raises must be reasonable. The increases that the two franchised operators have applied for are unacceptable and should be flatly refused as the government is duty bound to safeguard public interest in this important livelihood matter.









