Luxembourg Becomes First Country in World to Make All Public Transport Free

Luxembourg is a landlocked country, bordered by Belgium, France and Germany

 

Though its official population count is around 600,000, the population swells every day with 200,000 people crossing the border from neighboring countries to commute to work.

In  an eco-friendly move aimed at reducing traffic congestion, Luxembourg has announced plans to become the world's first country to make its public transportation free for everyone.
According to The Independent, a new coalition government will be taking office in the Grand Duchy, and it has promised to abolish tickets and fares on trains, trams and buses next summer. At present, fares are still quite reasonable, costing no more than €2 for up to two hours of travel, which, given the size of the micro-nation, covers almost any journey. Anyone who wants to avail of first-class rail travel pays €3. An all-day second-class ticket on every form of public transport costs €4.

Young people travel free, and many commuters choose to purchase for an annual “mPass” which costs €150 for all public transport. Luxembourg’s transport system reportedly costs close to €1 billion (roughly Rs 8000 crore) per year to operate. But, in part due to the nominal rates and frequent promotional offers, fares amount to only €30m annually.

So, from summer 2019 onwards, tickets are set to be abolished. Part of the subsequent cost will be covered by removing a tax break for commuters.

It was one of the first measures to come out of the new coalition government led by the Democratic Party's Xavier Bettel, who was sworn in for his second term as prime minister this week.