Terence Yap

Rising transport costs have affected all countries; more so, the non oil-producing ones. And while oil commodities are speculated and traded on at stock exchanges the world over, oil prices are greatly influenced by OPEC’s frequent adjustments to oil output. I therefore see any drop in oil prices as being short-lived. So what is one to do in a situation like this?

Rising Private Transport Costs

Organizations and people who own private motorized vehicles have been paying more and more for petrol and diesel over the years. Yes, fuel prices dip every now and again. But history has shown that such dips are only short-term and the fluctuating prices of crude oil remain on an upward tandem. Prices just keep going up in the long run.

Goods and services cost more and individuals buy, travel, and eat less. Company profit margins are lower and employee incomes have struggled to catch up with the levels of inflation or, have stagnated; a dollar these days doesn’t buy you as much as it used to.

Rising Public Transport Costs

People with lower incomes must depend on public transport to commute to and from work. But public transport costs have also risen along with everything else. People are inclined to alight a few stops earlier and walk the rest of the way to their destinations. Some have even chosen to seek employment closer to home, and packed meals from home has made a come back. Those with lower incomes are the hardest hit by rising costs.

Most public transport operators claim that fuel costs have left them no other option but to raise commuting fares. While this does make sense at face value, the question of what those other options were remains ambiguous. Rising operating costs and justifying the need to upgrade vehicles and services remain their key reasons for raising fares.

Alternative Modes of Commuting

Hard times compel people to make hard decisions and, inconveniences are tolerated when practicality rules. When push comes to shove, the innovativeness of the human spirit comes shining through.

The practice of car pooling, where fuel and parking costs can be shared by 2 to 5 people, is fast gaining popularity. Hundreds of dollars can be saved each month by adopting this system of commuting. The overall journey may be longer, but the savings more than justify the incovenience.

More people are also buying foldable bicycles. These light-weight bicycles come with small wheels and can be easily folded and carried onto buses and trains. So on days with good weather conditions, cycling to and from work would not only save money but would also provide an excellent form of exercise. And when it rains, these bicycles can be put in the boot of a car or carried by hand onto public transport.

And for those that have no access to car pools and do not wish to buy bicycles, there’s always foot power. The poorest in every community are in the habit of waking up very early so that they can walk to work. Returning home also means that it will take them a much longer time to reach home on foot. This would constitue less time for family or to pursue leisure activities but, the health benefits gained from walking long distances are priceless.

Consequences of Unrealistic Transport Costs

As more and more people think up novel ways and means to cut down on their commuting costs, the gas stations and public transport operators will find that raising fuel and transport prices do not necessarily equate higher profits.

Can you imagine what would happen if a car owner provides a car pool and ferries 2 other car owners and 2 public transport commutors to and from work everyday? The gas stations would lose 2 customers and the public transport operators would lose 2 commuters. If you were to sit down and do your calculations, the annual loss in revenue would be considerable if ten percent of commutors adopted car pooling.

What then would rising transport costs achieve?

This entry was posted on 12 November, 2008 at 11:57 pm and is filed under Rising Costs of Living. Tagged: costs, rising, transport. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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