The new bus fare structure introduced in August has officially taken effect. Joel Abraham, chief executive of the Fijian Competition and Consumer Commission (FCCC), explained that while student fares have been adjusted to match adult fares, the Government has intervened to fully subsidize this increase.
Abraham stated that the assessment aimed to guarantee families are not financially burdened by the fare changes, ensuring that the adjustments impose no financial impact on students and parents. He highlighted that the Government’s subsidy covers any additional costs for students, including weekends and school holidays, while adult fares will remain unchanged.
Details of the fare adjustments include:
– **Blue Card**: The Government will subsidize 100% of the additional student fare.
– **Yellow Card**: Students will continue to pay the existing fare, with the remaining amount fully covered by the Government, applicable at all times, including weekends and school holidays.
This fare adjustment follows a thorough review by the FCCC, which implemented a per-seat fare allocation model. The review, conducted in close collaboration with bus industry operators, also ensures that bus operators receive fair compensation through a full cost allocation recovery model. This initiative aims to sustain the industry while keeping costs reasonable for consumers.
Abraham stressed that with the new fare structure, bus operators are expected to improve and maintain service quality. He assured that the FCCC will closely monitor bus operator services to guarantee they meet expected standards and provide value to passengers in line with the new fare adjustments.
Looking to the future, the FCCC will initiate the next bus fare review process in September 2024, beginning with data collection and detailed analysis to ensure future fare adjustments align with current market conditions while balancing the interests of both consumers and the industry.