> both cities have a fixed "fare" of about 30 US cents on their networks.
What form of corruption-induced lobbying is this now? A sizable advantage of making it actually free is to remove the huge cost of the fare collections infrastructure.
What form of corruption-induced lobbying is this now? A sizable advantage of making it actually free is to remove the huge cost of the fare collections infrastructure.
There might also be other "social engineering" benefits to having a fixed symbolic charge, as some people argued in this thread. I don't know about that, but I don't think it's _just_ lobbying.
Most of the cost of collecting fares is actually the money. You need machines that can process currency, which are expensive and often requires network infrastructure and middlemen and contractors, and then they have to be secured against theft or card skimming etc., and you need customer service and billing and tech support when the machines break and all the rest of it.
If all you want is to track usage you can just put a simple pedestrian counter at the door and you're not actually disrupting anything if it's offline for a week because you're just looking for statistical sampling anyway.
> There might also be other "social engineering" benefits to having a fixed symbolic charge, as some people argued in this thread. I don't know about that, but I don't think it's _just_ lobbying.
Ambiguous "social engineering benefits" are the sort of thing that implies it is lobbying, because there is no good way to prove or disprove it but it gives someone something to claim is their reason when the real ones are less sympathetic, i.e. they're trying to get the collections contract (or have read a study funded by someone who does) or they just don't like spending money on transit but know that won't be a convincing argument to someone who does.
The cost of the programme rolling out new ticketing infra (the first major ticketing system upgrade in ~15 years since we first got integrated ticketing, going from a stored-value smart card to also being able to tap your credit card) is roughly the same amount of money as the annual revenue from fares.
Then as long as the system is in place you need to pay ongoing costs to repair and maintain the equipment, enforcement against anyone who skips the fare, payment network fees, customer service for anyone with payment issues or damaged cards, connectivity service for anything that needs to be networked, etc.
And the overhead percentage depends on the fares. If it was ~10% when the fare was $5, what is it when the fare is $0.50? Well:
> If fare revenue is now only about $20 million per year, does it even cover the cost of fare collection? The current ticketing system rollout was expected to cost $371m, but ended up at $434m – which appears to cover operations for 17 years from 2018… so $25.5m per year. [0]
[0] https://danielbowen.com/2025/07/11/brisbane-pt-patronage-gro...
And then what is it when that number hasn't included the time value of money or accounting for any of the operating costs?