I am impressed there was no report of conservative backlash.
You need public transport in major cities. Not everyone can or should drive.
You need private transportation almost everywhere. Not everyone should be forced to ride public transport just because it exists.
As long as people have an actual choice that's not manipulated in some way then I think the system is fine. It has a public function and it provides immediate and secondary benefits.
I am surprised that the bus wasn't already free; in my college town and the one near it (both had their own bus line), fares are free for all undergraduates.
In America we have very few private intra-city buses, ridership is low, and the buses are very expensive when you consider how much goes to them in the way of subsidies.