SINGAPORE — Concessionary travel on public transport may be on the cards for average-income households and individuals, the disabled, polytechnic students and young children above 0.9m tall.

The Fare Review Mechanism Committee (FRMC) yesterday said it was looking at these groups, as it sought to come up with a new framework for its concession schemes.

Observers say it would be difficult to determine whom among the “average-income” should qualify for concessionary fares, but said that monthly expenses on transport should not be used as the sole indicator for eligibility.

The FRMC said it was reviewing the current concession policies and schemes to see what changes might be made, as part of the review of the fare mechanism framework which began last year.

It will submit its proposals to the Transport Ministry, after it engages with commuters in focus group discussions in the coming months.

“We think these new and enhanced concession schemes will address the issue of affordability for specific commuter groups in a more effective and systematic manner,” FRMC Chairman Richard Magnus wrote in a post on the committee’s blog yesterday.

Currently, SBS Transit offers a S$98 Season Pass for unlimited bus rides each month.

The 13-member committee, which was set up last year, was tasked to review and propose improvements to the fare review mechanism framework with the aim of balancing public transport fare affordability with the long-term viability of operators, as well as incentivising operators to be efficient.

It was supposed to submit its recommendations to the Government earlier this year but was given an extension until May so that it could include recommendations on concessionary travel.

The existing public transport fare formula takes into account three components: Operators’ productivity, inflation and national average wages.

Mr Magnus, who also sits on the Public Transport Council, highlighted “average-income households and individuals” as a group the committee was looking “closely” at.

While they only spend an average of 3 to 4 per cent of their household income on public transport fares and “should generally therefore find fares quite affordable”, this group is not homogenous — some heavy public transport users spend some S$120 or even higher each month on fares, Mr Magnus said.

“Some way of helping them cap their monthly public transport expenses would be worth looking at, such as a monthly adult pass,” he added.

While Members of Parliament and transport analysts TODAY spoke to welcomed the committee’s move to make concessionary travel more inclusive, they noted several difficulties.

The Deputy Chair of the Government Parliamentary Committee (GPC) for Transport, Mr Seng Han Thong, noted that it would be a challenge determining whom among the “average-income” deserve concession, and suggested looking at income tax and Central Provident Fund contributions as a way to define the group.

Fellow GPC member Gan Thiam Poh rejected the idea of basing concession on the amount of travel, suggesting that companies provide a transport allowance for needy workers who travel long distances to work instead.

Transport economist Michael Li warned that the administrative costs involved in maintaining the schemes may outweigh their benefits.

“Average income” can be derived from census data, he said.

“My only concern is both from the user as well as the enforcement (and administration) point of view, the cost can be quite high.”