Ministry of Land, Infrastructure and Transport adjusts fare ceiling after inter-agency consultations
Express and intercity bus fares will each rise 9% starting in October.
The Ministry of Land, Infrastructure and Transport said Wednesday it had decided to adjust the fare ceiling from Oct. 1, following consultations with related ministries.
The bus industry had originally sought fare increases of 20.1% for express buses and 17% for intercity buses since last year, citing rising operating costs. The ministry adjusted the increase to 9% after reviewing cost verification results and taking into account the burden on passengers.
The ministry also cited worsening business conditions in the bus industry — driven by rising labor and fuel costs — and route cuts that have made travel increasingly inconvenient as factors behind the fare increase.
The number of express bus routes fell 21%, from 208 in 2019 to 164 last year, while daily ridership dropped 30%, from 83,000 to 58,000 passengers.
"Many intercity and express bus routes, which are essential public transportation for regional communities, are being discontinued due to deteriorating profitability, making a minimum fare increase necessary," said Jang Gu-jung, director general for comprehensive transportation policy at the ministry. "We will work with the industry to ensure that the improved business conditions resulting from the fare adjustment translate into investment in developing new routes and improving service."
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