Rising Costs Force Increase In Bus Fares

Rising Costs Force Increase In Bus Fares

Bus companies in Auckland are to increase bus fares from Sunday 1 August 2004. The rise in fares will partly recover cost increases the bus companies have experienced over the last four years, particularly the large increase in diesel prices experienced in the past 12 months.

The average fare increase is just over 7.8% but some fares will not increase at all.

“It’s been almost four years since bus companies have increased fares.” Bill Dalbeth, Managing Director of Howick and Eastern Buses says. “In that time bus company costs, as measured by a PriceWaterhouseCoopers survey, have increased 13.3%.”

“Most people are aware that the cost of petrol has increased - by a dramatic 19.1% in the past 12 months - and our diesel prices have increased similarly,” adds Bill Rae, Stagecoach’s Managing Director, “but other bus company costs have also increased significantly since the last fare increase, such as wages, tyres and insurance. Since the last fare increase inflation has totaled 9.7%, so our fare increase, on average, is much less than the rate of inflation.”

Full details of the fare increase will be available to bus company customers from Monday 26 July. Information on the changes is also available on the Rideline website at www.rideline.co.nz or by phone on 09 366 6400.

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