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Fair Move: 02 Recommendations

Infrastructure Victoria’s recommendations focus on the metropolitan public transport network. The rationale for these recommendations is discussed in the relevant sections of this paper. Full details of the research and analysis undertaken to prepare the paper and determine our recommendations are provided in the technical report that accompanies this paper.

Improving how fares are set

  1. Set public transport fares transparently, using clearly defined objectives.
  2. Fare setting objectives should be to make the best use of the public transport network, take equity into account and ensure people are provided with informed travel choices.
  3. Immediately appoint an independent body to advise on and monitor transport prices.

Fares that reflect the mode of travel

  1. Immediately introduce different fares on each public transport mode to reflect their different costs and benefits and to encourage their best use.
  2. Abolish the free tram zone to improve safety and access for those who need it most.

Fares that reflect the time and place of travel

  1. Immediately introduce peak and off-peak fares on public transport in places and locations which are at capacity. Modes and zones which are rarely at capacity should have all-day off-peak fares.
  2. Consider a new `City Zone’ with its own peak price composed of the City Loop service train stations (Parliament, Melbourne Central and Flagstaff, Southern Cross and Flinders Street) and the Metro Tunnel stations (Arden, Parkville, State Library, Town Hall and Anzac). This City Zone would be subject to a specific peak price. Introduction should be contingent on CBD public transport travel patterns returning to pre-COVID-19 levels, with significant crowding during peak times.
  3. Introduce directional pricing so that trips in counter-peak directions are not charged a peak fare e.g. those travelling away from the CBD in the morning peak.

Ticketing that supports reform

  1. Discontinue myki Passes (unlimited travel over a specified time period for a fixed fee) to facilitate fare reform and remove complexity.
  2. Review the level of the daily fare cap when using myki Money.
  3. Open up the ticketing system to third parties. Third parties should be enabled to hold accounts for purchasing travel on behalf of travellers, including for Mobility as a Service.
  4. Make the ticketing system easier to use for Victorians and visitors by:
    a. reducing or removing the myki card purchase fee
    b. allowing other inputs for validation through an account-based system (such as credit and debit cards).
  5. Develop a set of principles to guide concession design, followed by a review of all discounts, removing or adding concessions as necessary.

Improving how fares are set

Overarching

  • Public transport fares should be set transparently and meet stated objectives.
  • Fares should make the best use of the public transport network, take equity into account and ensure people are provided with informed travel choices.

Immediately

  • Adopt peak and off-peak public transport fares
  • Adopt fares that differ by mode
  • Appoint an independent body to advise on and monitor transport prices
  • Abolish the free tram zone

0-2 years

  • Introduce directional off-peak fares
  • Remove myki Passes
  • Review daily cap limit on fares
  • Develop principles for concessions and review and reform existing ones
  • Remove myki purchase fee and change the touch on credit requirements

2-5 years

  • Allow other inputs for validation for myki
  • Consider implementing a new City Zone with a specific peak price when crowding increases to pre-COVID-19 levels at peak times
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