DDHK.ORG - Hong Kong's Executive Council has approved an increase in tram or tengteng fares proposed by Hong Kong Tramways, the operator of the cheapest public transportation mode in the Land of Concrete. RTHK reported that the rate increase that was approved on Tuesday, June 7, 2022 was the first time since 4 years ago, July 2018.
“Tram fares are going up for the first time in 4 years,” reads the RTHK headline.
The new rate will take effect on July 11, 2022. Under the terms of the new tariff, for adults the rate will increase from HK$2,60 to HK$3,00. The rate for those under 12 years old will increase from HK$1,30 to HK$1,50. Meanwhile, the elderly rate will increase from HK$1,20 to HK$1,30.
Tariff increases are needed to maintain operator financial sustainability. The company's profit margin was 18 percent in 2018, but has continued to lose money since 2021. “Hong Kong Tramways users have declined and fare revenues have also fallen due to competition from other modes of public transport, as well as the prolonged pandemic and necessary social distancing measures, ” said a government spokesman. [DDHKNews]
