Cheap gas prices take toll on public transit in York Region

But York Region Transit/Viva operating budget remains on track

Yorkregion.com
Feb. 11, 2016
By Lisa Queen

Lower gas prices are putting the brakes on transit use, York Region’s commissioner of transportation services says.

Cheaper prices at the pumps mean some people who would have jumped on public transit are choosing to drive their own vehicles instead, Daniel Kostopoulos said.

YRT/Viva’s fourth quarter ridership numbers from October to December were 5.75 million, a dip of 168,200 or 2.8 per cent compared to the same time in 2014.

Overall ridership in 2015 was 22.1 million, a decrease of 321,500 riders or 1.4 per cent compared to 2014.

There are a number of factors that influence transit ridership, including weather, the job market and changes in transit service, such as the opening of the Davis Drive bus rapidway Nov. 29.

But cheap gas appears to be the single biggest reason why ridership numbers are down, Kostopoulos said.

“What we’re experiencing is not unique among GTA municipalities ... ridership decreases we’ve seen across the board (are) largely driven by lower fuel prices,” he said.

“Significantly lower gasoline prices are, we believe, the biggest factor that may be influencing people’s decision in riding transit or not, as the prices at the pump are lower than anything we’ve seen for years.”

Gas prices in York Region are now hovering around 90 cents a litre, according to the Tomorrow’s Gas Prices Today website. That compares to about $1 a litre a year ago and $1.29 a litre two years ago.

That means gas prices were 44 per cent higher in 2014 than today.

Markham Councillor Jack Heath said he was disappointed to see the sagging transit ridership numbers.

But although transit fare revenues were below expectations, Kostopoulos said the region has absorbed the hit and is hoping ridership will bounce back this year.

Some of the impact has been mitigated because many people are paying the higher cash fare rather than purchasing passes or tickets, he said.

For example, single ticket prices for seniors and children are $2.10 and for adults are $3.40, while the cash fare for everyone is $4.

“That said, by the end (of 2015), we still had a difference of about $800,000, which has been managed through initiatives by YRT/Viva to be able to find some savings in their program elsewhere to offset some of these impacts,” Kostopoulos said.

“So, we’re OK in terms of the overall operating budget in transit last year, despite this drop.”