Bus operators urge govt to boost fares
The Transport Ministry has been asked to hike provincial bus fares in light of rising diesel fuel prices or face the risk of operators terminating some routes.
Ms Sujinda “Jae Kiao” Cherdchai, owner of Cherdchai Tour Co and the president of the Passenger Bus Operators Association, yesterday travelled to the ministry to demand officials immediately allow price rises.
“Provincial bus operators have not been able to increase fares since February 2016,” she said. “It has been over two years since then, and diesel prices have only increased. Some 30% of provincial bus operators have closed down as a result of these inconsistencies.”
Ms Sujinda said the remaining bus operators are considering ceasing services on some routes that make only one or two trips per day to save on costs.
Provincial buses are under the supervision of the Transport Co Ltd, a state enterprise under the Transport Ministry.
Prior to this development, diesel prices had risen to 29.79 baht per litre as of last Saturday, while prices were about 10.1 baht per litre cheaper two years ago, in February 2016. Last week’s price hikes mean diesel prices are currently the highest seen in the country in three years.
The fuel remains the main source of energy for several transport systems in Thailand, including trains, provincial buses and public buses under the Bangkok Mass Transit Authority.
Transport Minister Ark hom Termpittayapaisith said after meeting with Ms Sujinda yesterday that there will be no immediate fare increases.
Mr Arkhom said the Land Transport Department is conducting studies on improving the management of bus networks.
New measures would include mechanisms to raise or lower ticket fares based on global fuel prices, he said. Currently, only public boat networks are able to change their prices without a cabinet nod.
Mr Arkhom said the studies will be finished in July, and the information will be compiled and announced to the operators, after which there will still be opportunities for further negotiations.
One of the ministry’s suggestions, he said yesterday, is for the businesses to use biodiesel (B20) instead of pure diesel. B20, an alternative fuel created by mixing petroleum diesel with biodiesel collected from agricultural products, is around three baht cheaper per litre compared to diesel.
“B20 is too unsafe to use. A 7-millionbaht bus isn’t worth risking over this kind of fuel at the moment,” Ms Sujinda said.
While the fuel requires no engine modification to use, performance issues have been reported by several provincial truck drivers who have tried using it, said Yu Jienyoenyongpong, president of the Asean Trucking Federation. He said palm oil residue can collect on engine nozzles of trucks using B20.
Mr Yu also urged the government to inject 40 billion baht into the national fuel funds to prevent diesel from exceeding 30 baht per litre.