KMB and Citybus respond to proposed fare hike: Adjustments to consider public acceptance

Several franchised bus operators in Hong Kong have applied to increase fares, with reports suggesting that Kowloon Motor Bus (KMB) has requested a 6.5% fare hike, while Citybus is proposing an increase of approximately 9.5%. The HKSAR government is currently reviewing these applications.

A KMB spokesperson confirmed today (Nov. 13) that, in response to operational challenges and rising costs, the company has submitted a fare adjustment request to the government. The spokesperson emphasized that the proposed fare increase was carefully calculated, balancing the need for financial sustainability with public acceptance. KMB expressed hope that the government will process the application promptly to improve the company's financial health.

KMB noted that passenger numbers have decreased in recent years, while operational costs have continued to rise. In particular, labor costs have been a challenge. After a 4.2% salary increase last year, KMB raised wages by 3.52% this year to improve employee welfare and retain talent. The company also urged the government to consider utilizing the "Franchised Bus Toll Exemption Funds" to alleviate the financial burden on passengers, ensuring sustainable and reasonable bus operations.

Citybus stated that it had applied for a fare adjustment in January this year to cope with rising fuel and wage costs. However, the application is still awaiting approval, meaning fares have remained unchanged for over a year. Citybus pointed out that franchised bus operators are facing significant inflationary pressures, including increases in wages, fuel costs, and supply chain expenses. To attract and retain talent, Citybus has raised wages for three consecutive years to ensure sufficient staffing. The company believes that annual fare adjustments are necessary to account for changes in operating costs and inflation.

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