November 02, Colombo (LNW): Bus passengers in Sri Lanka will not face an immediate increase in fares despite the latest rise in fuel prices, according to the Lanka Private Bus Owners’ Association (LPBOA).
Association Chairman Gemunu Wijeratne said the recent adjustment in diesel prices had not met the minimum 4 per cent increase stipulated under the official bus fare revision formula. As a result, private bus operators cannot introduce higher fares at present.
He explained that the association had maintained its position of allowing fare adjustments only when the prescribed threshold is reached, adding that operators would have to absorb the additional fuel expenses until the necessary conditions for a revision were fulfilled.
However, the situation has placed further financial strain on private bus operators, many of whom are already struggling to cover their daily operating costs.
Wijeratne estimated that short-distance bus services were recording losses of approximately Rs. 1,000 per day, while operators running longer routes were facing daily losses of around Rs. 2,000.
He pointed out that the latest Rs. 5 increase in diesel prices had added to the industry’s financial difficulties, noting that the cumulative increase had further affected the cost of maintaining regular services.
Despite these challenges, the association has decided against seeking an immediate fare revision, as the current fuel price movement does not satisfy the requirements of the established pricing mechanism.
The decision means commuters can continue using private bus services at existing rates for the time being. Nevertheless, the growing gap between operating expenses and revenue remains a concern for the industry, particularly for smaller operators who have limited room to absorb further cost increases.
