Rail Dept. mulls 40% off-peak discount for Blue & Purple lines and Airport Link

 

 

The newly-established Rail Department will propose that the Transport Ministry consider a reduction in electric train fares of up to 40% during off-peak hours, from 10 am to 4 pm and 8 pm to midnight, and at weekends and reduce the cost of monthly tickets by five baht per trip on the Purple and Blue lines and Airport Link, with the exception of the BTS sky train system.

 

Rail Department director-general Mr. Saravuth Songsivilai said today (Tuesday) that the discounts are expected to increase the number of people using the services by about 10%, while the state would have to subsidize the operators to the tune of about one billion baht a year to offset their lost revenue.

 

The new discounted fares, if the proposal is agreed, would be:

• Purple Line from Taopoon to Bang Yai – current fare 14-42 baht – discount fare 14-25 baht
• Blue Line from Bang Sue to Hua Lampong and Bang Khae – current fare 16-42 baht – discount fare 16-30 baht.
• Commuters who hold monthly tickets get a five-baht discount per each trip on the Purple and Blue lines and Airport Link.

 

Full story: https://www.thaipbsworld.com/rail-dept-mulls-40-off-peak-discount-for-blue-purple-lines-and-airport-link/

 

-- © Copyright Thai PBS 2019-09-04

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It is called market value. Something most Thai people have no concept of. The demand is lower, the prices go down. I have been to used car lots here, where the owners have turned down a deal with a discount of 10,000 or 20,000 baht. And four months later, I see the same car sitting on the lot. In the west, you just move it. You lower the price, and it sells. Here, they just hold onto it, for years, rather than lower the price. What gives? 

11 hours ago, webfact said:

the discounts are expected to increase the number of people using the services by about 10%

Is there a study to support this expectation?

Subsidizing transit is the wrong policy to implement if a major city's main goal is increased transit ridership or decreased car use. https://www.citylab.com/transportation/2012/06/what-really-matters-increasing-transit-ridership-rail-edition/2218/

If subsidizing transit for qualified ridership (ie., low-income) is to improve income-inequality, then it is the right policy.