Legco parties draw the line over $2 fare scheme

Jamie Liu

Legislative Council members are divided over whether Hong Kong should roll back the HK$2 fare scheme for the elderly that has emerged as a key item amid a growing sense of urgency over the need to trim a burgeoning deficit in the budget, the latest of which is set to be delivered on Wednesday.

The concessionary scheme allows those aged 60 or above and the disabled to pay a flat HK$2 fare for each ride on buses, the MTR and other public transportation.

It is projected to cost the administration HK$6 billion in the next fiscal year.

Peter Koon Ho-ming, who chairs the welfare services panel, supports canceling the subsidy for those aged 60 to 64 on the grounds that many of them are still employed.

He said the scheme was designed to encourage travel among retirees, defined as individuals aged 65 and older.

However, the Democratic Alliance for the Betterment and Progress of Hong Kong vehemently opposed any changes.

Chairman Gary Chan Hak-kan said it is unfair to blame the elderly for the deficit, projected to be close to HK$100 billion this fiscal year.

While he acknowledged there are instances of misuse, he said that "just like there are cases of abuse of the social security assistance scheme and public rental housing, that does not mean the whole policy is a mistake."

Financial Secretary Paul Chan Mo-po has hinted at potential adjustments to the scheme, saying maintaining the current policy may not be financially sustainable.

However, he said the administration does not intend to change the age threshold for the concession fare.