School bus fares rise, may not be enough to save many smaller companies
Small operators are finding the going tough amid rising operational costs
Cash-strapped bus operators have raised school bus fares by between $5 and $20 a month for the new school year as they look to survive amid rising costs.
But Singapore School Transport Association (SSTA) chairman Wong Ann Lin, 65, told The Straits Times that the new fare hikes - which are similar to those last January - may not be enough to save many smaller companies that have long been charging unsustainably low fares.
He warned that they will struggle to stay afloat if they do not diversify their businesses, such as by transporting workers.
"They should be asking for $120 to $150 per child," said the industry veteran of four decades, adding that he knows of one company charging just $60 a month.
CAUGHT IN A BIND
Many are still charging below cost because of intense competition. But every time they raise fares, parents will complain.
- SSTA chairman Wong Ann Lin