Golden Arrow Bus Services says it is still holding the line on fare increases, even as soaring diesel prices pile pressure onto one of Cape Town’s biggest public transport operators. The company says it is trying to protect commuters from yet another travel cost shock for as long as possible.
That decision comes at a difficult moment for households already stretched by rising transport costs. On 6 May, petrol rose by R3.27 a litre and diesel by R5.27 a litre, hitting operators across the sector hard. In the Western Cape, thousands of taxi commuters have already started paying more after taxi associations introduced fare hikes this week.
Diesel hit puts bus operator under pressure
Golden Arrow spokesperson Bronwen Dyke-Beyer said the diesel increase was completely unexpected and has put the company under serious strain. She said diesel makes up about 20% of Golden Arrow’s total operating costs. Although the company now uses slightly less because of its electric buses, it still burns around 25 million litres of diesel a year.
That means every R1 increase in diesel adds about R25 million to the company’s annual costs. In a sector where margins are already tight, that kind of jump is not small. It is the sort of increase that can quickly force difficult decisions about fares, routes and sustainability. That is an inference based on the company’s fuel usage and cost explanation.
Fare relief may not last
For now, Golden Arrow says commuters will continue paying the same fares. But Dyke-Beyer made it clear that the position may not hold indefinitely. She said there are projections that fuel prices could ease in June, but warned that fuel levy relief will be halved next month and removed entirely in July.
That leaves the company caught between short-term hope and longer-term pressure. Dyke-Beyer said fare increases are likely at some point, even if management is trying to delay them. The last fare increase for Golden Arrow passengers came in August last year.
Commuters will be warned if fares change
Golden Arrow says that if fares do rise, commuters will not be caught off guard. Dyke-Beyer said the company would give at least two weeks’ notice before any increase takes effect.
For now, that offers some breathing room to bus users already facing a hard month on the roads. But the bigger picture is clear: fuel costs are rising fast, and every public transport operator is under pressure. Golden Arrow may be holding out today, but the diesel bill is making that harder by the week.