Bus fares slashed by 4%

Bus fares will be reduced by 4% from midnight on 26 December

• Transport Ministry decides to reduce costs from 26 Dec. midnight
• Minimum fare remains unchanged 
• Three-wheelers to reduce first kilometre cost from Rs. 60 to Rs. 50 
• School vans to reduce charges by 3% 

Bus fares will be reduced by 4% from midnight on 26 December, but the minimum fare will not change, the Transport Ministry said in a statement yesterday. 

Bus fares had come under pressure after three fuel price reductions in the past few weeks. Transport Minister Arjuna Ranatunga, who assumed duties on Friday, said the price reduction had been agreed upon, following a meeting at his Ministry on Monday. 

“Bus fares are decided according to 12 cost segments. Even though fuel prices have reduced by Rs. 15 overall in the recent weeks, all other costs have increased, partly due to the depreciation of the rupee. Therefore we have decided not to change the minimum charge levied on commuters,” he said. 

Three-wheeler associations that met the Minister had also agreed to a reduction in prices, with the minimum fare of Rs. 60 to be reduced to Rs. 50. School van fares will also be decreased by 3%, according to the statement released by the Transport Ministry.    

“It is the aim of the Government to provide as much relief to the public as possible. It is with this aim that I believe the transport sector should function more as a service provider to the people, rather than as a profit generating business. It is important that cost of living is kept controlled, and people are given the chance to have a decent standard of life,” the statement quoted the Minister as saying.