The Government today (September 20) launched a three-month public consultation on the review of the Fare Adjustment Mechanism (FAM) of the MTR Corporation Limited (MTRCL).
Since the rail merger in December 2007, the MTRCL has put in place the FAM which adopts an objective, transparent and direct-drive formulaic approach, thereby replacing the fare autonomy enjoyed previously. The Government is conducting the latest round of the review on the FAM with the MTRCL, with a view to completing the review in the first quarter of 2023 and putting it into effect.
A Government spokesman said, "In this FAM review, the Government is looking for a feasible and pragmatic approach for the mechanism to maintain the financial prudence of the MTRCL as a listed company, in order for it to take forward railway projects that address the development needs of society, as well as to cope with its increasing expenditure on maintaining the railway system, while enabling the MTRCL to better respond to public concerns on fare adjustments."
The FAM is subject to a review every five years. The Government and the MTRCL announced the outcome of the first review in 2013. The second FAM review was scheduled for completion in 2018. Upon request of the Government, the MTRCL agreed to bring it forward by one year and jointly completed the second FAM review with the Government in 2017.
From today until December 19 (Monday), members of the public may send in their views on the review of the FAM of the MTRCL by post (addressed to the Bus and Railway Branch of the Transport Department, 16/F, South Tower, West Kowloon Government Offices, 11 Hoi Ting Road, Yau Ma Tei, Kowloon), by fax (2802 2679) or by email (fam-review2022@td.gov.hk). The consultation paper can be downloaded from the websites of the Transport and Logistics Bureau (www.tlb.gov.hk/eng/publications/transport/consultation/index.html) and the Transport Department (www.td.gov.hk/en/publications_and_press_releases/consultation_papers/transport_department/index.html).
Ends/Tuesday, September 20, 2022
Issued at HKT 17:18