From 3 July 2010, all commuters will be charged a fare according to the total distance travelled, on the bus, LRT and MRT. The introduction of Distance Fares will bring about a more integrated fare structure that will allow commuters to make transfers without incurring additional cost (bring in more revenue for us by passing on to commuters the additional cost). With Distance Fares, fares are computed on a journey basis with a extra-super expensive boarding charge on the first trip, without a boarding charge being imposed for every transfer trip that makes up your journey. This way, you can choose the travel option that suits you best while we enjoy collecting the revenue no matter which route you try to go.
With the completion of the Circle Line from Dhoby Ghaut to Bartley (which is so expensive that we have to change to this fare system to earn back the cost of the project), the transport options for commuters have widened greatly (and so is our profits). For example, residents living in Bishan now have the additional option of taking the train when travelling from Bishan to MacPherson. The opening of the Circle Line from Harbourfront to Marymount next year will open up even more travel options for commuters, especially so after the ga'ment gave out $200 to everybody.
Distance Fares is a major step towards integrating Singapore's public transport system and gives commuters greater flexibility, choice and convenience (and greater amount of fares too!).
(Extracted from http://www.publictransport.sg/publish/ptp/en/distance_based_fares.html)
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