1 AIT Asian Institute of Technology

Analyzing the impact of BTS fare adjustments on affordability for low-income commuters in Bangkok

AuthorAmpaka Chaiket
Call NumberAIT Thesis no.TE-24-04
Subject(s)Local transit--Thailand--Bangkok
Electric railroads--Fares--Thailand--Bangkok
Low-income consumers--Thailand--Bangkok
Willingness to Pay

NoteA thesis submitted in partial fulfillment of the requirements for the degree of Master of Engineering in Transportation Engineering
PublisherAsian Institute of Technology
AbstractThis study investigates the impact of BTS (Bangkok Mass Transit System) fare adjustments on the affordability for low-income commuters in Bangkok, a pressing concern amidst rising transportation costs and widening income inequality. The research evaluates this impact using three core indicators: (1) the Affordability Index, which calculates the proportion of household income spent on BTS fares; (2) Price Elasticity of Demand, which reflects the behavioral response to fare increases; and (3) Willingness to Pay (WTP), assessed through a Contingent Valuation Method (CVM) using a Double-Bounded Dichotomous Choice (DBDC) approach. Survey data were collected from 510 respondents representing diverse income groups and analyzed using binary logistic regression and the DBDC model. The findings reveal that the lowest-income group spends over 15% of their income on BTS fares—far exceeding the widely accepted 10% affordability threshold. This suggests a disproportionately high burden on low-income commuters. Furthermore, the calculated price elasticity of 0.377 indicates inelastic demand, highlighting that BTS is a necessity for many users. The WTP analysis shows a statistically significant relationship between income and fare acceptance, with higher-income respondents willing to pay nearly twice as much as lower-income ones. This confirms the regressive nature of the flat fare structure and raises concerns about equity in public transport access. The study recommends that the government take greater consideration when adjusting BTS fares, ensuring that such policies are inclusive of all income groups—particularly low-income populations. Public transport should not merely be an optional mode of travel, but a fundamental service that is accessible to all. The BTS system, therefore, should be designed and priced as an essential utility rather than a premium alternative.
Year2025
TypeThesis
SchoolSchool of Engineering and Technology
DepartmentDepartment of Civil and Infrastucture Engineering (DCIE)
Academic Program/FoSTransportation Engineering (TE)
Chairperson(s)Bhatt, AyushmanKunnawee Kanitpong;Kunnawee Kanitpong (Co-chairperson);
Examination Committee(s)Pattharin Sarutipand;Ampol Karoonsoontawong;
Scholarship Donor(s)Royal Thai Government Fellowship;
DegreeThesis (M.Eng.) - Asian Institute of Technology, 2025


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