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Govt mulls bus fare hikes
Vientiane Public Transport Enterprise has proposed increasing ticket prices on some public bus routes in the capital by about 1,000 kip due to rising fuel prices.
Ticket prices to the southern and northern provinces look set to stay the same, however.
“We have sent a proposal for a price rise to the Vientiane Department of Transport and Public Works,” Vientiane Public Transport Enterprise Director Mr. Khamphoun Temelath told Vientiane Times last week.
He said ticket prices on the Thadeua, Thangone and Phontong-Dongdok routes need to be increased as buses consume a lot of fuel but bring in only minimal income.
Public bus fares within Vientiane have remained stable since 2008 despite fluctuations in the cost of oil, but bus operators now fear their businesses will be unsustainable without price hikes.
Fare prices on routes from Vientiane to the provinces rose by about 20 percent in February and these should remain stable for now, Mr Khamphoun said.
Vientiane Public Transport Enterprise is responsible for about 60 buses in Vientiane, and 122 buses around the country, including international routes.
While fare increases may affect many people, Vientiane Public Works and Transport Department Deputy Director General Mr. Ounneua Silavong said they are unavoidable in the face of spiralling fuel costs.
“We have put the issue to the Ministry of Transport and Public Works but the ministry wants the department to recalculate to determine whether the increases are suitable,” he said.
“We will further discuss the issue with the Party and hope to have an answer some time this week.”
In the meantime, however, all domestic fare prices for private and public buses should remain unchanged until the government announces any changes.
Some bus operators have said transport service charges should rise and fall in line with the price of oil in world markets, which is normally the main driver of change.
Vientiane recently faced a cement shortage after transport companies said they could not carry cement from provincial factories to the capital without putting up their prices.
Lao Airlines also recently increased ticket prices on international flights due to the rising cost of fuel.
At present, the price of diesel in Vientiane is 10,060 kip per litre and regular petrol is 11,000 kip per litre, with similar prices in the provinces.
On Friday, the price of oil in world markets fell to nearly US$112 per barrel according to Singapore (AP).
vientiane times
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