Acknowledgments I wish to acknowledge the traditional custodians of the land, the Brayakaulung people of the Gunai nation and their Elders past and present. I acknowledge and respect their continuing culture and the contribution they make to the life of the Latrobe region. The author would like to thank all of the people that assisted in the production of this report. In particular, I would like to thank Russell Northe and his Parliamentary Advisor Helen O’Brien for their constant support and encouragement throughout the duration of the investigation. I would also like to thank Paul Strangio, Nick Economou, Zareh Ghazarian and Lea Campbell for their guidance and effort in coordinating the Victorian Parliamentary Internship throughout the COVID-19 pandemic. Jack Hunt Monash University Russell Northe MP Electorate of Morwell June 2020 Disclaimer: This report is not an official report of the Parliament of Victoria. Parliamentary Intern Reports are prepared by political science students as part of the requirements for the Victorian Parliamentary Internship Program. The Program is jointly coordinated by the Department of Parliamentary Services through the Parliamentary Library & Information Service, the People Operations Unit and participating Victorian universities. The views expressed in this report are those of the author. © 2020 Jack Hunt Victorian Parliamentary Intern Reports are released under a Creative Commons 3.0 Attribution- NonCommercial-NoDerivs licence. By using this Creative Commons licence, you are free to share - to copy, distribute and transmit the work under the following conditions: § Attribution - You must attribute the work in the manner specified by the author or licensor (but not in any way that suggests that they endorse you or your use of the work). § Non-Commercial - You may not use this work for commercial purposes without the author's permission. § No Derivative Works - You may not alter, transform, or build upon this work without the author's permission. 1 Executive Summary Equal access to affordable public transport is an important indicator of an equitable society. The fare structure that a public transport network utilises can have a significant impact on the amount commuters are paying to access their public transport network. Moreover, fare structures can create inequitable outcomes for commuters. This report examines the case of the Latrobe City Local Government Area (LGA) and its residents’ access to the myki public transport system. Fare anomalies in Latrobe’s myki ticketing system have been reported, with the result being that local commuters are paying more to utilise their public transport network. This report uses publicly available data to analyse the extent to which these anomalies exist and to assess the impact that these anomalies are having on local commuters. Based on the findings of this report, it is clear that there are some fare anomalies in Latrobe that are the result of the zone-based fare structure of the myki ticketing system. To assist Latrobe commuters in getting more equitable public transport outcomes, this report recommends the following: 1. The Department of Transport conduct an inquiry into fare anomalies in the myki ticketing system. This inquiry would provide a comprehensive analysis of the extent to which fare anomalies exist across the entire myki public transport system, while also providing costed recommendations about how to alleviate these anomalies. 2. Public Transport Victoria (PTV) conduct cost analyses of implementing changes to the myki ticketing system in Latrobe. These changes would include student access to the Regional Student Pass and free weekend travel for eligible commuters across the entire myki network. Implementation of both of these recommendations would assist in alleviating poor public transport outcomes in Latrobe while addressing wider fare anomalies across the myki ticketing system. 2 Table of Contents Glossary................................................................................................................................... 5 1. Introduction ........................................................................................................................ 6 1.1 Aim of Report ........................................................................................................ 6 1.2 Method and Structure ........................................................................................... 6 1.3 Limitations ............................................................................................................. 7 2. Latrobe Community Profile ................................................................................................. 8 2.1 Levels of Disadvantage in Latrobe ......................................................................... 8 2.2 Access to and Use of Public Transport in Latrobe ................................................. 9 3. The Benefits of Affordable Public Transport ..................................................................... 13 3.1 The Benefits of Public Transport on Regional Development ............................... 13 3.2 The Benefits of Public Transport on Health and Well-Being ............................... 14 4. The Cost Structure of the myki Public Transport System .................................................. 17 4.1 The Origin of the myki Ticketing System ............................................................. 17 4.2 The Cost Structure of the myki Ticketing System ................................................ 18 4.2.1 Zone-Based Fare Structures .................................................................. 18 4.2.2 myki Money .......................................................................................... 21 4.2.3 myki Pass .............................................................................................. 22 4.2.4 Bus Fares ............................................................................................... 23 4.2.5 Concessions and Entitlements .............................................................. 24 5. The Cost Structure of myki in the Latrobe City LGA .......................................................... 26 5.1 The Gippsland Line .............................................................................................. 26 5.2 Anomalies of myki’s Zone-Based Fare Structure in Latrobe ............................... 27 5.3 Anomalies in Free Weekend Travel Entitlements in Latrobe .............................. 29 3 5.4 Anomalies in Access to Regional Student Passes in Latrobe ............................... 31 5.5 Impact of These Anomalies on Latrobe Commuters ........................................... 33 6. Recommendations and Conclusion ................................................................................... 36 6.1 Exploring Alternative Fare Structures for the myki Ticketing System ................. 36 6.2 Inquiry into Fare Anomalies in the myki Ticketing System .................................. 38 6.3 Reforms to the myki Ticketing System in Latrobe ............................................... 40 6.4 Conclusion ........................................................................................................... 41 References ............................................................................................................................. 42 4 Glossary Local Government Area (LGA) - Defined by the Victorian Electoral Commission and refers to the boundaries of the 79 local councils in Victoria.1 Each LGA is governed by a local council which provides administrative functions to the local population. The LGA that represents residents of the Latrobe region is the Latrobe City LGA.2 Department of Transport - Created on July 1 2019 under relevant statutory instruments under the Transport Integration Act 2010 and the Public Administration Act 2004.3 The ticketing and fare conditions of Victoria’s public transport system are set by the Department of Transport under the brand name of Public Transport Victoria.4 Public Transport Victoria (PTV) - Public Transport Victoria is the brand name for public transport operated in Victoria. It was previously a statutory authority that was responsible for providing, coordinating and promoting public transport across the state. However, as of July 1 2019, the statutory functions of PTV were transferred to the Department of Transport.5 myki - The ticketing system that PTV utilises to collect fares across Victoria’s public transport network. myki also refers to the smart-card that allows users to access this network by paying a monetary amount that has been loaded onto their smart-card.6 1 “Local Council Profiles,” Victorian Electoral Commission, 2019, https://www.vec.vic.gov.au/ElectoralBoundaries/CouncilProfiles.html. 2 “Latrobe Profile,” Victorian Electoral Commission, 2014, https://www.vec.vic.gov.au/ElectoralBoundaries/LatrobeProfile.html. 3 “Governance,” Department of Transport, 2020, https://transport.vic.gov.au/about/governance. 4 “Fees, Fines and Charges,” Department of Transport, 2020, https://transport.vic.gov.au/about/fees-fines- and-charges. 5 “Our Role,” Public Transport Victoria, 2020, https://www.ptv.vic.gov.au/footer/about-ptv/our-role-and- governance/. 6 “myki,” Public Transport Victoria, 2020, https://www.ptv.vic.gov.au/tickets/myki/. 5 1. Introduction Affordable public transport provides economic and social benefits to society.7 These benefits include: access to employment and services, increased social