Experts explain rise in transport prices by desire of companies to cover non-production costs
02 February 2023
Since February 3, travel in public passenger transport has become more expensive in Azerbaijan by a third. Journalist Natig Javadly, a resident of Sumgayit, explains the decision of the Tariff Council, which fulfilled the request of transport companies to revise the fare, by inefficient spending of companies and city authorities.
According to economists criticizing the fare increase, the Tariff Council fulfilled the request of companies that compensate for their non-productive expenses at the people's expense.
In a post on the social network, Javadly recalls how two years ago the executive power of Sumgayit deceived citizens by selling them plastic cards to pay for bus fares. Each card was sold to drivers for 2 manats, and they resold it to passengers for 2.5 manats. Then the sale of cards was entrusted to newsagents.
However, after 1,5-2 months the cards stopped functioning. This caused dissatisfaction of Sumgayit residents, who accused the drivers of cheating. The city government shifted responsibility to "PASHA Bank", who sold by the cards sold. After another six months, the city authorities promised to introduce a "Bakı Kart" payment system in Sumgayit; however, this innovation did not happen either. As a result, until today, Sumgayit residents have not been refunded the funds they invested in digitalization of fare payments.
Baku residents can recall their history of many years ago, when the executive power of Baku paid more than $ 100 million to a Korean company for the installation of a foreign automatic passenger traffic control system in the capital. Monitors were purchased and installed at bus stops in Baku, on which Baku residents could see the schedule and time of the bus arrivals. However, the monitors did not work, and last year they were dismantled.
Now, they began installing in Baku closed bus stops with air conditioning. There is no information on the cost of transport innovations on the official website of Baku.
After the publication of the above post the Baku News Agency informed Natig Javadli in writing that the work was underway in the city to restore the digital payment system for public transport. After solving the task, the citizens will be refunded the money they paid two years ago.
As Javadly told Turan, such promises are made by the city administration not for the first time, within two years after the failure of the idea with the introduction of a digital method of fare payment. He called on the Prosecutor General's Office of the country to study the history of deception of Sumgayit residents.
https://www.turan.az/ext/news/2023/2/free/economics_news/en/1062.htm
According to economists criticizing the fare increase, the Tariff Council fulfilled the request of companies that compensate for their non-productive expenses at the people's expense.
In a post on the social network, Javadly recalls how two years ago the executive power of Sumgayit deceived citizens by selling them plastic cards to pay for bus fares. Each card was sold to drivers for 2 manats, and they resold it to passengers for 2.5 manats. Then the sale of cards was entrusted to newsagents.
However, after 1,5-2 months the cards stopped functioning. This caused dissatisfaction of Sumgayit residents, who accused the drivers of cheating. The city government shifted responsibility to "PASHA Bank", who sold by the cards sold. After another six months, the city authorities promised to introduce a "Bakı Kart" payment system in Sumgayit; however, this innovation did not happen either. As a result, until today, Sumgayit residents have not been refunded the funds they invested in digitalization of fare payments.
Baku residents can recall their history of many years ago, when the executive power of Baku paid more than $ 100 million to a Korean company for the installation of a foreign automatic passenger traffic control system in the capital. Monitors were purchased and installed at bus stops in Baku, on which Baku residents could see the schedule and time of the bus arrivals. However, the monitors did not work, and last year they were dismantled.
Now, they began installing in Baku closed bus stops with air conditioning. There is no information on the cost of transport innovations on the official website of Baku.
After the publication of the above post the Baku News Agency informed Natig Javadli in writing that the work was underway in the city to restore the digital payment system for public transport. After solving the task, the citizens will be refunded the money they paid two years ago.
As Javadly told Turan, such promises are made by the city administration not for the first time, within two years after the failure of the idea with the introduction of a digital method of fare payment. He called on the Prosecutor General's Office of the country to study the history of deception of Sumgayit residents.
https://www.turan.az/ext/news/2023/2/free/economics_news/en/1062.htm