04 Mar '12, 10am

How to subsidise buses

How to subsidise buses

I welcome Singapore Government’s intention to invest S$1.1B to boost the public bus service standard. I am concerned however with the approach of directing injecting of funds. Both SBS and SMRT are public listed companies and direct Government funding will lead to a free ride for its existing shareholders at the expense of public coffers. At the heart of the issue is the unhappiness of the commuter over the quality of service (QoS) of Singapore’s public transport. I will like to suggest a different approach that will introduce competition into bus services and keep the cost down while ensuring QoS targets are met. This is done through the tendering out of bus routes with QoS criteria attached and inviting bus companies to bid for these routes. For each bus route, the Government will need to specify clearly the QoS criteria to be met. The QoS should specify the expected pas...

Full article: http://yawningbread.wordpress.com/2012/02/27/how-to-subsi...

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