Rising fuel costs and wages are putting pressure on public transport operators in Estonia’s biggest cities. Tallinn plans to dip into its budget, but Tartu and Parnu may raise ticket prices.
Tartu Deputy Mayor Raimond Tamm (Reform) said forecasts suggested an additional EUR 2 million might be needed to fund transport services.
Last year EUR 8 million was allocated.
“This year we are forecast about EUR 10 million euros – quite a significant change,” he said.
Tamm said additional money might need to be allocated for public transport from a supplementary budget. However, the city is also considering raising ticket prices for the first time in 15 years but a decision has not yet been made.
Director of the Parnu County Public Transport Center Andrus Karpuk said the monthly bus ticket would rise from EUR 10 to EUR 15.
He said the rising price of natural gas – which had doubled – had significantly put up transport costs.
“This means that urban transport expenses will increase by around EUR 700,000,” Karpuk said. “It is not possible to find such funds in the Parnu City budget, and inevitably the question of raising the ticket price on Parnu city lines will arise, and probably from July 1.”
Tallinn, which has free public transport, has a budget of EUR 21 million for fuel. There are no plans to reintroduce tickets for the capital’s residents despite rising costs.
“In this case, we believe that we can find these funds in the supplementary budget. Our aim is to promote the use of public transport in this case, and based on this policy, the price should be maintained at its current level,” said Deputy Mayor Andrei Novikov. (ERR/Business World Magazine)