Squeeze on fare increase
KOWLOON Motor Bus faced a wage rise of 10 per cent and an increase in operating costs of 14.2 per cent last year - but still managed to limit average fare increases to seven per cent.
In a submission to Legislative Councillors, the bus company said profit exceeded the permitted return by $2 million last year and the surplus was to be transferred to the Development Fund.
Legislator Lau Chin-shek is to move a private member's bill next Wednesday to amend the Public Bus Services (Amendment) Bill, which would allow legislators to veto fare rises of the franchised bus operators.
Kowloon Motor Bus managing director John Chan Cho-chak said the proposed change would have serious implications for the operation of the franchised bus companies and the future development and expansion of bus services.