City's bold transport reform risks financial shortfall despite stricter fines

The city has introduced a new transport reform to fund public transport operations. The system changes how fares are collected, with the city administration now handling passenger payments directly. Transport companies will instead be paid based on the distance they cover. Under the reform, the 2023 city budget allocated 1.3 billion rubles for public transport, with plans to increase this to 16 billion by 2026. The funds will cover fleet upgrades, driver salaries, maintenance staff wages, and contracts with private carriers. However, the system requires around 381 million rides annually to break even, but current ridership is about 100 million short of this target.

Fare evasion remains a challenge, with roughly 15% of passengers riding for free. To combat this, fines for fare evasion have risen sharply from 100 rubles to 2,500 rubles. The penalty process begins with a violation report, which is sent to court for a hearing. Judges can waive fines if the offender had a valid reason, such as a broken validator or a missing conductor.

If a fare evader fails to attend their court hearing, they will still receive the fine but lose the chance to explain their circumstances. Today, 140 violation cases are scheduled for processing, with fines handled once a week. City officials acknowledge that passenger fares alone will not cover the full cost of the new system. They point to unpaid rides by fare dodgers as a significant source of lost revenue. The reforms aim to improve funding stability, but ridership levels and fare compliance will determine their long-term success.