Implementation details of the new bus fare adjustment mechanism will be ready within the year, Secretary for the Environment, Transport & Works Dr Sarah Liao says.

Dr Liao told the Legislative Council today the new mechanism will bring a more transparent adjustment process. Prevailing economic conditions and bus operating costs will also be reflected more objectively in the mechanism.

She said the introduction of a new mechanism involves complex issues and needs to strike the right balance of different interests.

The Government will take into account the public's interests and affordability. The bus operators' operating condition will also be considered.

On rail fares, Dr Liao said adopting a more objective and transparent fare adjustment mechanism is one of the key parameters set by the Government in the discussion of the MTRC and KCRC merger. She hopes a consensus can be reached as soon as possible.