Higher Fares for MRT
Ok, there should be more significant things to talk about like the death of our former prez but that doesn't impact on us today whereas this higher level of fares will. Or will it? And is affordability the main issue here?
Seriously don't understand why fares cannot be increased especially in the percentages that have been mooted (Up to 2.4%). Assuming you spend $4 a day on public transport, the increase will come up to a princely sum of 10c a day or $3 a month assuming you travel everyday of the month. Let's see, 3 bucks; a plate of char siew png? AND, those that need help can get help. But i don't think that is the most important issue. Corporate accountability AND the rationale for service improvements should concern us a lot more.
DISCLAIMER
I have neither have the time nor the inclination to go surf around a million policy documents to find out any special regulations for running a listed company providing a public good. All my assumptions are based on a somewhat average knowledge of public affairs and my opinions are just that, mine
DISCLAIMER
SMRT is a listed company so their first responsibility is to their shareholders. It is their responsibility to seek better profits, afterall, isn't that their purpose for being? Isn't that the reward for being privatised and performing well? Even more important, it's the basis for encouraging better service and continued improvements. If they aren't allowed to raise fares, why should they expand more resources to improve things? They may as well just move along by providing the most basic of services and increase their profit through cost cutting. I certainly don't want them to improve their bottomline through those means! Apart from getting poorer product, commuters will not be able to see the results of cost cutting until it is too late, something we should strenuously avoid.
Ok, the above is kinda extreme in that surely they cannot be allowed to raise fares indisciminately. 10% fare increases would be intolerable. Off the cuff, i feel a 2.4% increase is justifiable as a kind of middle ground. It keeps up with inflation figures so its impact will not be much greater than corresponding price increases of necessities.
What might have helped in hindsight is a steady schedule of fare increases worked out based on inflation levels. This way, everyone knows when fares will or will not increase and by how much too. Get rid of the uncertainty and let SMRT make the profits they deserve.
Seriously don't understand why fares cannot be increased especially in the percentages that have been mooted (Up to 2.4%). Assuming you spend $4 a day on public transport, the increase will come up to a princely sum of 10c a day or $3 a month assuming you travel everyday of the month. Let's see, 3 bucks; a plate of char siew png? AND, those that need help can get help. But i don't think that is the most important issue. Corporate accountability AND the rationale for service improvements should concern us a lot more.
DISCLAIMER
I have neither have the time nor the inclination to go surf around a million policy documents to find out any special regulations for running a listed company providing a public good. All my assumptions are based on a somewhat average knowledge of public affairs and my opinions are just that, mine
DISCLAIMER
SMRT is a listed company so their first responsibility is to their shareholders. It is their responsibility to seek better profits, afterall, isn't that their purpose for being? Isn't that the reward for being privatised and performing well? Even more important, it's the basis for encouraging better service and continued improvements. If they aren't allowed to raise fares, why should they expand more resources to improve things? They may as well just move along by providing the most basic of services and increase their profit through cost cutting. I certainly don't want them to improve their bottomline through those means! Apart from getting poorer product, commuters will not be able to see the results of cost cutting until it is too late, something we should strenuously avoid.
Ok, the above is kinda extreme in that surely they cannot be allowed to raise fares indisciminately. 10% fare increases would be intolerable. Off the cuff, i feel a 2.4% increase is justifiable as a kind of middle ground. It keeps up with inflation figures so its impact will not be much greater than corresponding price increases of necessities.
What might have helped in hindsight is a steady schedule of fare increases worked out based on inflation levels. This way, everyone knows when fares will or will not increase and by how much too. Get rid of the uncertainty and let SMRT make the profits they deserve.
posted by cokecat at 2:48 pm
2 Comments:
nice blog.keep up the good work.i especially like the pictures.well done. wish i could take such pics of my dog.
hey hey lion! Thanks for the compliment but it is misplaced... hehe, those pictures were taken by Sharon, she's a pretty good photographer...feel free to drop by her webbie (as linked from the sidebar) and let her know what a great job she's done.
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