- 5-

Details of the fare increase are as follows:

Range of % increase

Increase in

money terms

(a) Passenger services

- cross harbour

=

- new town

- outlying districts

12.5% - 20%

30 cents - $1

10% - 18.2%

20 cents - $3

weekdays

12.5% - 18.2%

weekends and holidays

12.5% - 20%

20 cents - $3 $1-$3.5

(b) vehicular service

No increase

(c) freight

25% -41.7%

$6 - $8.5

The approved rate of increase is in line with the forecast rate of inflation of 13.3% between July 1994 and January 1996. Overall about 71% of the passengers would have to pay 20 cents to $1 more per trip.

A government spokesman said even with its pier development package, HYF would need to increase its fares in line with inflation to cover part of its operating losses.

The spokesman added that after a fare increase of 13.96%, HYF was expected to incur substantial losses in the next few years.

End/Tuesday, November 28, 1995

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