Max fare for regional NSW to rise on January 1

MAXIMUM fares for rural and regional New South Wales bus routes will rise by an average of 3.3% from January 1.

The Independent Pricing and Regulatory Tribunal released its draft report and determination into regional and rural bus fares on Friday.

Maximum fares for short, single section journeys will not change, but for longer distance journeys (up to 70 sections) they will increase by up to 80 cents. Maximum fares for most passengers will increase by between 10 and 30 cents.

IPART said the fare increase for rural and regional services reflected increases in the cost of providing bus services during the past 12 months as measured by the Bus Industry Cost Index (BICI).

These fare changes will apply in all areas of NSW other than the Sydney metropolitan and outer metropolitan regions.

"The majority of passengers travel 10 sections or less. If you travel one section there will be no change in your fare," IPART CEO Jim Cox said.

The draft report also outlined IPART's decision to extend the length of the regulatory period to five years. Annual changes in fares will be based on the BICI within this period.

"We may choose to make a new determination earlier than this, such as if future contracts are competitively tendered," Mr Cox said.

A public hearing on the draft report will be held on October 17 at IPART's offices.

Submissions may be made to IPART on this draft decision before November 9.

The report can be viewed at