Publication Type


Publication Date



The public transport system in Singapore is the main mode of transport for the majority of the population. It is important that public transport remains generally affordable and accessible, with measures to help various commuter groups through fare assistance schemes. Household surveys show that public transport has become more affordable as a proportion of monthly household income over the years. Public transport fares have increased, but at a much lower rate than increases in income. At the same time, increasing fuel costs and other changes in the public transport landscape since 2005 mean that the public transport industry faces declining long-term financial viability. If this continues, the system will not be sustainable. Eventually, a vicious cycle will set in – fewer resources for investments, leading to lower service standards, leading to resistance for fare increases – and all commuters will be affected. Hence, there is a need to review the existing fare review mechanism and propose improvements so that maintaining affordable public transport for commuters is balanced with the long-term viability of the industry.


Public transportation, fare mechanism, transportation costs, Singapore


Asian Studies | Public Economics | Transportation

Research Areas

Applied Microeconomics

First Page


Last Page



Land Transport Authority

City or Country


Copyright Owner and License

Fare Review Mechanism Committee

Creative Commons License

Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.