Tag: PTC

  • Surge Pricing Proposal Approved – Cannot Find Taxi, Be Prepared To Pay More

    Surge Pricing Proposal Approved – Cannot Find Taxi, Be Prepared To Pay More

    The Public Transport Council (PTC) and the Land Transport Authority (LTA) have approved proposals from taxi companies and ride-hailing app Grab to implement surge pricing in the form of flat fares for trips booked via mobile applications.

    In a joint media statement, PTC and LTA said: “The companies have informed LTA and PTC that this will be introduced as an additional option for commuters to book a taxi, on top of the current metered fare taxi bookings. We have no objections to the proposals.”

    Just like private hire cars booked via Grab and Uber, the cost of a taxi trip booked through a mobile app will vary according to demand. Peak hour trips will cost more, while off-peak trips will cost less.

    Separately, SMRT Taxis has inked an exclusive partnership with Grab to enable all SMRT taxi drivers to use Grab as the only ride hailing app for taxi bookings. Both companies are also collaborating to offer customers dynamic fixed fares for taxi trips booked via Grab. This lets customers know the fare for their intended trip before the start of the journey.

    According to a Grab spokesman, “Dynamic fixed fares are displayed upfront, and already accounts for travel time, distance, booking fees, and real-time demand and supply for taxis. SMRT taxi drivers who accept bookings via this new Grab service enjoy fixed, competitive fares for their service.”

    Metered fares continue to apply for street-hail pickups as well as phone and GrabTaxi bookings.

    Managing Director for SMRT Taxis and Private Hire Services, Tony Heng, said: “The market has evolved and matured significantly, and more customers are now open to having dynamic fixed fares for their taxi rides. This partnership with Grab allows us to keep the pricing for our services competitive, catering to different customer needs and preferences.”

    Melvin Vu, Head of GrabTaxi Singapore, added that Grab has been engaging the authorities since December on implementing dynamic fixed fares for taxis. “The current taxi fare model does not account for real-time passenger demand and driver supply, which often means that passengers pay a surcharge even when there are many available taxis within the vicinity. Dynamic fixed fares ensure that taxis are better utilised throughout the day and passengers enjoy more affordable rides based on real-time market demands, while not eliminating metered fares.”

    Source: https://sg.news.yahoo.com

  • “Raise Fares To Improve Train Service”

    “Raise Fares To Improve Train Service”

    “Raise fares to improve train service”, says the title of the letter to the Straits Times forum page on Wednesday.

    Mr Jonathan Toh Joo Khai, the writer, pointed at the Public Transport Council (PTC), which regulates public transport fares, as the “root cause of SMRT’s frequent train breakdowns.”

    “The fare hikes are miserly compared with the rate of inflation,” Mr Toh said.

    He then rattled off a litany of “financial indicators” of the SMRT which, he said, “had been falling for five straight years.”

    “Unlike other companies, SMRT cannot shed its money-losing train business,” Mr Toh said. “Yet, it is yet expected to improve reliability even as the PTC moderates fare hikes to meet the demands of commuters, some of whom even want a freeze to fare hikes until reliability improves.”

    “How is that possible?” he asked.

    He argued that “train fares in Singapore are low relative to gross domestic product per capita.”

    Mr Toh thus called for fares to be increased, and that discounts be given to those in need.

    “The rest who happily use our latest flashy iPhones and Samsungs to kill time on the trains can surely afford a fare hike,” he concluded.

    The public transport operators (PTOs) make yearly application, usually towards the end of the year, for “fares review”, which the PTC will consider and decide on several months later, usually around March.

    Mr Toh’s call is not new and is the latest in the last two years or so from various quarters who have also also called for higher fares for buses.

    In January 204, for example, this report appeared in the TODAY newspaper:

    TODAY, Jan 2014
    TODAY, Jan 2014

    “Rather than complain about both poor service and fare increases, perhaps it is time for a shift in commuters’ thinking towards paying even more, so that we get the transport services we deserve in a world-class city,” the writer said.

    About four months later, the former chairman of the PTC, Gerard Ee, echoed the same sentiments.

    Straits Times, May 2014
    Straits Times, May 2014

    “At the end of the day, buses and trains are about transporting a lot of people from Point A to B as affordably as possible,” Mr Ee said. “So by that very nature, they are going to be crowded. They’re not designed for comfort.

    “If you treasure your time and treasure your comfort, you pay a premium – there are premium bus services. If you value your time and comfort even more, buy a car. And then ultimately, get a chauffeur. You have to decide for yourself what it is you want.”

    Straits Times, Jan 2014
    Straits Times, Jan 2014

    But in January 2014, the PTC itself delinked the relationship between fare hikes and better service, particularly breakdowns of the system.

    The PTC’s remarks were in response to public sentiments that fares should not go up when trains are still breaking down.

    “[The] Public Transport Council (PTC) has said that the two issues should be kept separate,” the Straits Times reported.

    Nonetheless, Prime Minister Lee Hsien Loong said in September last year that progress and improvements have been made, and that “there are not so many breakdowns as before.”

    But just three months later, the TODAY newspaper reported that the “number of major MRT delays had hit a] four-year high.”

    Sept 2014
    Sept 2014

    There were 12 “major delays” in the first nine months of 2014 alone, the newspaper reported. This was more than the 11 for the entire year in 2011, the previous record number of delays.

    And on Thursday, 30 July 2015, the Straits Times reported that there have already been “five major delays in Q1, nearly half last year’s total.”

    Straits Times, 30 July 2015
    Straits Times, 30 July 2015

    “[There] were five service delays lasting more than 30 minutes between January and March this year,” the Straits Times said.

    This included a disruption in February where a breakdown in the line between Yew Tee and Kranji station lasted for four hours and 38 minutes.

    And earlier in July, the entire train system was shut-down for several hours due to a train fault, affecting 250,000 commuters.

    Would all these problems disappear with the simple solution of increasing fares?

    One would be hard-pressed to argue for such a simplistic expectation.

    Yet, the truth is that much public funds have been poured into the transport system, billions in fact, and billions more have been earmarked for the same in the next decade.

    And are the PTOs making losses?

    If they were, there would be no justification for them to double the salary of their chief executive officer, as SMRT did this year, raising its CEO pay from S$1.2m in 2013, to $2.25m to $2.5m in 2015. (See here: “SMRT CEO paid $2.2m to $2.5m – a multifold jump in three years?“.

     

    Source: www.theonlinecitizen.com