Bus fares will be cut from October 1. Passengers travelling on routes with fares higher than $15 will receive a 10% discount, while those on routes with fares between $10 and $14.90 will have a 5% cut. 

Fares for seniors will also be cut - to $1 on all routes on Sundays and public holidays.

The concessionary fares, offered by four franchised bus companies - Kowloon Motor Bus, Citybus, New World First Bus and Long Win Bus - will last for a year.

Secretary for the Environment, Transport & Works Dr Sarah Liao welcomed the bus companies' decision, adding that up to a million passengers could benefit from the measures.

She said the fare cut showed their corporate citizenship and social responsibility.

Bus companies share the pain

"I think at a very difficult time, we are all sharing the pain of the economic downturn and I hope this will give some relief."

Meanwhile, Dr Liao, while attending the LegCo Transport Panel meeting this morning, said that the Government would work with the operators  to formulate fare adjustments.

Process to balance all parties' interests

She said it was important for any fare-adjustment process to balance the interests of all concerned parties and provide transport operators with a reasonable return.

She said different operators had different methods for regulating fares.

"We are going to work out something that will be acceptable to the society, to the operators and, of course, to the Legislative Council,"  Dr Liao said.

Formula to get regular review

She said the formula would be reviewed every few years to provide certainty to passengers and operators.

Noting that fare adjustment was a complex issue, Dr Liao said any decision should not adversely affect employment.

At the same meeting, Kowloon-Canton Railway Corporation Chairman Michael Tien announced that to gain a foothold in the market, the company would further cut fares on its West Rail routes.

Commuters travelling from Northwest New Territories to Nam Cheong will receive a 20% fare discount, bringing the maximum fare down from $16 to $12.80.

Public's views prompt cut

Mr Tien said the decision was made after public feedback and in light of the current economic situation.

He said the concessionary fare would last at least a year and would not be changed until the economy improved.

The Mass Transit Railway will provide an introductory 10% fare discount for Octopus card holders taking the MTR to and from the new Nam Cheong Station and  Mei Foo Station.

The discount will be valid until December 31.

MTR, KCRC may offer interchange discounts

The two rail companies are discussing the feasibility of offering fare discounts to passengers changing between MTR and West Rail.

The MTR Corporation said the 10% introductory fare discount on interchanging passengers would provide data helping the two rail companies in their deliberations regarding interchange discounts.

No decision would be made before the relevant data became available.

Advisory body supports adjustment mechanism

At the Transport Advisory Committee meeting today, members supported the overal direction of the proposed fare-adjustment mechanism and the idea of a trigger mechanism.

Committee chairman Cheng Hon-kwan said the Government should listen carefully to all views expressed and maintain close dialogue with public transport operators when developing detailed proposals.

The committee also welcomed the two railway companies' decision to offer more fare discounts, and urged them to introduce more in the public interest.