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Home»Pacific Islands»Government moves to release bus subsidy payments – FBC News
Pacific Islands

Government moves to release bus subsidy payments – FBC News

TMC PalauBy TMC PalauJune 4, 2026No Comments2 Mins Read
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[Photo: FILE]

The Ministry of Finance says funds for bus operators under the government’s fare subsidy scheme are being released and will be paid out tomorrow.

The update comes after concerns were raised by the Fiji Bus Operators Association President Nisar Ali Shah, over delayed payments and ongoing cash flow pressure in the industry.

“As you know, the fuel price has gone up 100% from April, which gives the bus companies a very difficult position because the fuel price is so high that, you know, it’s uneconomical to run most of the trips.”

The support package includes a 10 percent fare subsidy and a 20-cent-per-litre fuel rebate introduced earlier in the year to help operators manage rising fuel prices.

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A second intervention was announced on 21 May 2026, after the FCCC approved a 22.5 percent fare adjustment, with the government stepping in to absorb the full increase.

Permanent Secretary for Finance Shiri Krishna Gounder says the Ministry has released funds to Vodafone to process payments through the e-ticketing system.

He says this follows the government’s decision to fully cover the 22.5 percent bus fare increase introduced on May 26, in addition to an existing 10 percent fare subsidy already in place for operators.

Gounder says funds for school students and social welfare recipients have already been loaded onto bus cards by the relevant ministries.

He adds that once Vodafone updates the fare system, payments will be released to bus operators, adding that the arrangement has been agreed to by all stakeholders.



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