The Land Transport Masterplan (2008) envisioned a more equitable fare structure based on the distance travelled, regardless of the number of valid transfers made. To facilitate the transition towards the new fare structure (‘Distance Fares’), the PTC reduced the transfer fare penalty progressively over two years by increasing the transfer rebate, by 15 cents and 10 cents in 2008 and 2009 respectively.
Distance Fares was introduced on 3 July 2010. Under the new fare structure, commuters travelling the same distance will pay the same fare for the same type of service, whether they travel direct or make transfers.
Distance Fares offer commuters with more choices and flexibility to decide on the best route to reach their destination. A commuter who prefers a direct service despite a longer travel or waiting time can choose to wait for one. Another commuter who wants a quicker or shorter journey can choose to hop onto the first bus and make transfers along the way without paying more.
For illustrations on fare changes brought about by fare adjustment, please refer to the case examples.