The new bus fare structure announced in August is officially in effect. Joel Abraham, chief executive of the Fijian Competition and Consumer Commission (FCCC), explained that while the student fares have been modified to match adult fares, the Government will fully subsidize this increase.
Abraham noted that the assessment was designed to ensure that families are not financially burdened by the new fare structure, with any changes having no financial impact on students and parents. “The Government’s subsidy guarantees that any extra costs for students are fully covered, including weekends and school holidays, while adult fares remain unchanged,” he stated.
Details of the fare adjustments include:
– **Blue Card** holders will benefit from a 100% subsidy on the additional student fare.
– **Yellow Card** holders will continue to pay the existing fare, with the remaining costs fully covered by the Government at all times.
This fare adjustment follows an extensive review by the FCCC, which also introduced a per-seat fare allocation model. In collaboration with bus industry operators, the FCCC’s review ensures that bus operators receive fair compensation through a full cost allocation recovery model, aiming to sustain the industry while keeping fares affordable for consumers.
Abraham emphasized the importance of service quality, stating that bus operators are expected to enhance their services in line with the new fare structure. “We will closely monitor the services provided by bus operators to ensure they meet the expected standards and provide value to passengers as adjusted fares come into effect,” he added.
Looking ahead, the FCCC plans to initiate the next bus fare review process in September 2024, which will begin with data collection and comprehensive analysis to ensure that future fare adjustments reflect current market conditions while balancing consumer and industry interests.