How is the fare adjustment quantum for 2022 fare review exercise calculated?
The 2022 maximum allowable fare adjustment quantum is calculated using a fare adjustment formula that takes into account the year-on-year change in core Consumer Price Index, Wage Index and Energy Index, the Network Capacity Factor and Productivity Extraction. For 2022, the PTC decided to apply the same principle as 2021 and continue to exclude the NCF from the computation of this year's fare adjustment quantum. Please see table below.
Although the maximum allowable fare adjustment quantum was 13.5%, given cost of living concerns, PTC decided to implement a lower 2.9% fare increase for FRE 2022. The remaining 10.6% quantum will be carried over to future exercises.
Related questions
What is meant by ?carry over 10.6% to future fare review exercises?? How will this be done?
There was already a fare increase last year. Why did the Public Transport Council (PTC) decide to increase fares again in this year?s exercise?
How does the PTC consider fare proposals from operators?
Why must public transport fares be reviewed every year? Wouldn?t that mean commuters will see higher fares year to year?
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