SGR empty seats order signals ticket price rise


[Source: Business Daily, by John Mutua and Bonface Otieno]

The standard gauge railway (SGR) passenger train services will resume Monday at a reduced capacity, raising the possibility of a rise in fares to compensate the Chinese operator.

Transport Cabinet Secretary James Macharia said Wednesday that the passenger service will keep half of the seats empty under the social distancing rules imposed to curb the spread of the coronavirus in the country.

This will put pressure on Kenya Railways to increase fares in a bid to raise revenues needed to pay the operator — China Communications Construction Company — or increase State subsidies.

The revenues from the SGR service have not been enough to meet the operation costs, which are…

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