Hong Kong decides against switching to bus fares based on distance travelled, minister says after concerns raised over misuse of HK$2 subsidy
- Lawmakers suggest charging bus passengers by distance travelled over concerns HK$2 public transport subsidy for elderly, disabled residents straining public finances
- Welfare minister Chris Sun says introducing section fares would encourage short-distance riders to hop onto long-haul buses
Hong Kong has ruled out requiring franchised bus operators to charge commuters based on the distance they travel instead of a flat fare, a minister has said, after the move was floated to address concerns a HK$2 (25 US cents) transport concession for the elderly is straining government’s coffers.
Lawmakers on Wednesday suggested implementing section fares for public buses, arguing the scheme would reduce the amount paid by the government to operators when the elderly and residents with disabilities used the concessionary rate for short trips on longer routes that charged more.
Official figures showed public expenditure on the scheme rose to about HK$3.1 billion in the 2022-23 financial year from the HK$296 million spent during the year of its launch in 2012.
But the Transport and Logistics Bureau considered it “inappropriate” to require public bus operators to fully adopt section fares on buses, according to Secretary for Labour and Welfare Chris Sun Yuk-han.
“Full implementation of section fares may result in more short-haul passengers travelling on long-haul routes, taking up the capacity of long-haul routes and affecting long-haul passengers,” he said in response to a question from lawmaker Adrian Ho King-hong.
“If franchised bus operators have to increase the trip frequencies for their long-haul routes, it will also aggravate the burden on road traffic.”
Sun also warned that the occupancy rates for long-haul buses could become “too low” and lead to a waste of resources if passengers alighted midway.