Energy costs to derail SMRT’s gains from ridership?

This as final two stages of the Circle Line start operations on 8 October 2011.

With the addition of the 12 new ones, there will now be a total of 28 CCL stations.

Kim Eng Research noted however, “Despite the potential jump in ridership, we expect higher energy costs as a result of increased train runs to weigh on SMRT’s EBIT margin.”

Meanwhile SMRT said travel time for commuters using the Circle Line can be shortened by up to 17 minutes.

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