Free Public Transit: Malaysia needs public transport

Thursday, September 18, 2008

Malaysia needs public transport - not fuel subsidy

...Fuel subsidy can never be a sustainable solution for society.
The Government should take a broader and more responsible perspective when considering reducing fuel prices. Instead, any drop in fuel prices can be taken as an opportunity to reduce the fixed subsidy that is being given while maintaining the current pump prices.
The 30 sen subsidy can now be 15 sen. A partial decrement in both would also be a much better choice. This will certainly reduce the deficit gap.
Alternatively, why not hypothecate the amount saved for further public transport improvement?... - theStarOnline

Free is Cheaper

How is free transit cheaper? Don't you have to make up for lost fare revenue? The answer is that your city will save so much money in other areas, and quality of life will improve so much that you will get back much more than the lost fares. Some examples are listed below. If you want to see specific numbers, see our spreadsheet here.

Increased return on investment. Public transit involves large fixed costs. When fares are gone, there are more riders per vehicle, getting more value from the investment.
Reduced parking costs. With free transit, fewer people will park downtown. City parking authorities can cost $180 million a year, paid by fines, which are just a tax on customers and delivery services.

Reduced traffic congestion. Studies have shown that the time lost in traffic costs urban economies hundreds of millions of dollars.
Less money exported for gasoline. A medium sized city can export 1 million dollars a day in gasoline money for cars. Free buses will reduce this considerably.
Better quality of life, priceless. In Hasselt, Belgium, when fares were removed, people in hospital started receiving more visitors.