Metrobus cites diesel dilemma for fare hike

Soaring fuel costs have prompted the city-owned transit system in St. John's to raise its commuter rates.

Metrobus will raise its single-fare rates as well as its passes on July 1. An adult cash fare will jump from $2 to $2.25, while a monthly adult pass will increase from $63 to $70. Similar increases will affect children's and senior's passes.

General manager Judy Powell said the fare increases are necessary to counter mounting diesel costs.

"We budgeted our diesel costs at $1.05 per litre and today we're paying $1.36, and it has been as high as $1.45 in recent weeks," Powell said in a statement Tuesday.