Increased Profitability in Public Transport After Fare Cap
Transport Ministry Reports Revenue Growth in Red and Purple Lines
The Transport Ministry announced a 12.28% increase in profits for the Red and Purple train lines following the introduction of the 20-baht fare cap over a year ago. This policy, implemented in October 2023, aimed to encourage more commuters to shift to public transportation and reduce travel costs.
Revenue Surge in Electric Train Services
Significant Growth in Passenger Numbers and Income
According to the Department of Rail Transport, both lines recorded a combined income of 49.91 million baht by the end of last year, up from 44.45 million baht in the previous year. This marks a 12.28% increase in revenue, proving the fare cap’s effectiveness in attracting more commuters.
Red Line Sees Notable Revenue and Passenger Increase
The Red Line, managed by the State Railway of Thailand, experienced a 25.48% rise in earnings, climbing from 15.97 million baht before the fare cap to 20.04 million baht in the past year. Additionally, passenger numbers surged by 24.88%, reaching 1,027,458 commuters in 2024.
Expansion of Affordable Public Transport
Enhanced Connectivity and Commuter Convenience
The Red Line consists of two key routes: the northern route, connecting Krung Thep Aphiwat Central Terminal to Rangsit, and the southern route, linking the central station to Taling Chan in Thon Buri district.
Moderate Revenue Growth for the Purple Line
The Purple Line, operated by the Mass Rapid Transit Authority, also reported a rise in revenue from 28.48 million baht in 2023 to 29.87 million baht last year, reflecting a 4.8% increase. Passenger numbers grew by 4.89%, totaling 2,026,981 commuters in 2024.
Positive Economic Impact and Future Expansion
Increased Public Transport Usage Shows Promising Results
Overall, the combined ridership of both train lines reached 3,054,439 passengers in 2024, marking a 10.86% increase from the previous year. Transport Minister Suriya Jungrungreangkit hailed this surge in commuters as a positive indicator that the government’s cost-saving initiatives are benefiting the public.
Government Plans to Extend the Fare Cap Policy
Minister Suriya emphasized that as ridership increases, profitability follows, reducing the government’s financial burden in compensating operators for losses. Encouraged by these results, the Transport Ministry is set to expand the 20-baht fare cap policy to additional electric train lines by September 2025 to further boost public transport adoption and improve urban mobility.
