Sunday, 13 August 2017

Public transport system to go fully cashless by 2020

Drive to go cashless on public transport
All bus, train fares to be paid using travel cards by 2020; no cash top-ups at stations
By Adrian Lim, Transport Correspondent, The Straits Times, 12 Aug 2017

Singapore's public transport system is set to go fully cashless by 2020, with all bus and train rides to be paid for using only travel cards and top-ups with cash no longer available at stations.

The first cashless rail line will be the Thomson-East Coast Line, which will open from 2019.

The goal of going fully cashless, in line with the Smart Nation push, was announced by the Land Transport Authority (LTA) and subsidiary TransitLink yesterday.

To nudge commuters on board, rail operators SMRT and SBS Transit will not offer cash top-ups at passenger service centres at 11 train stations from Sept 1. They are: Admiralty, Bedok, Bukit Panjang, Buona Vista, Farrer Park, HarbourFront, Hougang, Lakeside, Pasir Ris, Serangoon and Yew Tee.

Cash top-ups will cease to be available at passenger service centres of other stations sometime next year.

Currently, about 27 per cent of commuters rely on staff at the passenger service centres to help reload their cards with cash. Service agents will be deployed at the 11 stations to help these commuters switch to using the general ticketing machines, which accept cash.

These machines will not accept cash by 2020, when self-service ticketing machines at stations and bus interchanges will accept only cashless top-ups such as with Nets.



LTA's group director for technology and industry development, Mr Lam Wee Shann, said: "When we relieve PSC (passenger service centre) staff from handling cash and doing top-ups, their attention could be more focused on train station operations, which is their core job."

He added: "There are also costs that are not small in maintaining cash transactions. By going cashless, cost avoidance can be re-invested into the public transport system, to improve and maintain it."

LTA and TransitLink said they have been adding payment options at ticketing machines since January to accept credit or debit cards and mobile payment platforms such as Apple Pay and Android Pay.

They assured commuters cash top-ups will continue to be available come 2020, but in limited forms, such as at convenience stores.

While cash is currently accepted at 39 TransitLink ticket offices located at stations and bus interchanges, the agencies said they are working towards removing this, but will study this plan "very carefully".

As for bus fares, only travel cards will be accepted by 2020. While less than 2 per cent of all bus journeys are paid for in cash, the LTA said it is "still studying" what to do if a commuter comes on board without a travel card.

The LTA said it is also working to extend an ongoing pilot that allows Mastercard holders to use debit and credit cards directly to pay for rides.























How the new system is expected to work
The Straits Times, 12 Aug 2017

BUS RIDES

• Cash will no longer be accepted.

TOPPING-UP YOUR TRAVEL CARD

• By 2020, all ticketing machines at MRT stations will accept only cashless top-ups, such as by Nets, debit and credit cards.

• TransitLink ticketing offices at bus interchanges and train stations could also do away with cash top-ups, although this is being studied.

USING CASH

• The Land Transport Authority and TransitLink said they will ensure there are avenues to use cash to top up travel cards, such as at convenience stores.

















Fully cashless public transport system: Some need help to adapt, say observers
By Adrian Lim, Transport Correspondent, The Straits Times, 12 Aug 2017

While the Land Transport Authority's (LTA) target to have a fully cashless public transport system by 2020 is a right step, observers warned that particular groups of commuters must be taken care of.

These include foreign workers and senior citizens, who may be dependent on or accustomed to using cash to top up their travel cards.

Chairman of the Government Parliamentary Committee (GPC) for Transport Sitoh Yih Pin said the authorities should "be mindful to make the (cashless) transition as smooth and painless as possible for all Singaporeans".

According to LTA data, around 27 per cent of commuters still pay cash to top up their travel cards at MRT passenger service centres. A quarter of them are senior citizens. Next year, LTA and TransitLink will remove this payment option entirely.

Singapore University of Social Sciences senior lecturer Walter Theseira said: "I believe the vast majority of Singaporeans would adapt quickly, but I do have some concerns for a small number of people, like the elderly who live alone."

Dr Theseira said they may be uncomfortable using electronic methods to top up their travel cards, although they are familiar with using ATMs to withdraw cash. He said grassroots helpers and volunteers could be roped in to teach them.



Retiree Veeraputhiran Rajoo, 70, for example, said that he was initially "hesitant" in using his ATM card at ticketing machines, but later found the steps easy. He suggested that staff be on hand to guide elderly commuters.

The LTA and TransitLink said it will ensure cash alternatives are available come 2020. Currently, travel cards can be topped up at convenience stores such as 7-Eleven, but with a 50-cent fee.

Transport GPC deputy chairman Ang Hin Kee said he hopes that such fees will not be levied.

Migrant Workers' Centre executive director Bernard Menon said the majority of foreign workers here have bank accounts, and a "small group will be marginalised". He said the centre will work with the authorities to educate this group.

Asked how tourists will cope, LTA said it is looking into setting up manned ticket counters in areas that tourists frequent and at gateways such as airports.
















Related
Joint News Release by the Land Transport Authority (LTA) & TransitLink - Towards a Cashless Public Transport System by 2020

Is Singapore becoming an old young country?

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