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SMRT, SBS Transit submit applications to raise fares

Commuters ride on the Singapore Mass Rapid transit (SMRT) train in Singapore on January 12, 2010

Singapore's two local operators of bus and train services have applied to raise fares next year.

The Public Transport Council (PTC) confirmed today that SBS Transit and SMRT have submitted applications to do so ahead of the midnight deadline on Thursday. Both operators however declined to reveal how much of a hike they are asking for.

In a statement, SBS Transit Senior Vice-President (Corporate Communications) Tammy Tan said, "SBS Transit continues to face significant cost pressures despite increased efforts to lower costs and increase productivity."

SMRT had first indicated its intention to submit an application last month, when it said it would be asking for “a better alignment between fares and operating costs”.

The PTC is expected to announce its decision on the fare review exercise by March.

SMRT’s net profit for the three months ended September was S$14.3 million — down 57.1 per cent from the year-ago period, reported Today newspaper.  Revenue increased 5.3 per cent to S$296 million.

SBS Transit also reported a 43.8 per cent slump in its third-quarter profit compared to the previous year, due to a surge in operating costs.