Fewer bus passengers 'balanced by visitors' fare'
THE controversial higher bus fare for non-locals has helped to balance a decline in passenger numbers, Environment has revealed.
The department said it 'reluctantly' agreed last summer to raise the cost of discounted multi-journey fares and introduce a £2 rate for anyone who did not have an Ormer card after the operator recorded a significant loss in year one of its contract.
'Part of the existing contract subsidy arrangements with CT Plus are based on fare revenue and it was apparent from very early on in the contract term that predicted revenue levels would not be achieved due to the continual decline of passenger numbers using the service.
'This decline has been ongoing for several years prior to CT Plus becoming the bus operator on the island.'
Environment said the fare rise has helped to redress the imbalance and ensure that the level of service required within the contract was being delivered. 'In order for the £2 cash fare to be removed, it would be necessary to either increase other fare levels or provide a further subsidy to the operator, neither of which is particularly palatable.'
