A FARE hike for the Stockton ferry is recommended to land on the scrapheap after feedback during a review of NSW public transport fares.
The Independent Pricing and Regulatory Tribunal (IPART) finished a review of maximum fares that would have adjusted trip costs from January 1 until 2028.
It has made its final report to the government, but Transport for NSW will ultimately set the fares beyond this year.
Under the IPART final report, train and metro maximum fares will rise between 0.7 and 4.1 per cent across NSW.
The cost of bus and light rail trips between 3km and 8km is also due to rise 1.6 per cent.
Beyond these rises, maximum fares would jump in line with the consumer price index (CPI) each July.
Sydney ferry maximum fares will climb by between 3 and 4 per cent under the proposal but the harbour ferry between Queens Wharf and Stockton will not rise.
That is despite the draft report earmarking the route for a 7 per cent hike in the initial proposal, the highest percentage rise proposed for any fare.
IPART's report notes that suggestion, which translated to 21 cents extra per trip, received "particularly" strong feedback.
The five submissions on the ferry focused on higher fares prompting more people to drive, the final report says, highlighting a submission from the city's council.
"City of Newcastle considers that the ferry is the only viable sustainable transport option for individuals travelling between Newcastle and northern residential areas," the IPART report states.
The findings note that the backdown ultimately came when the benefits of a 650m ferry trip replacing longer road commutes, pollution and congestion were weighed up.
"One limitation of our model is the assumption that a trip of one mode is substitutable for a trip of an equal distance by another mode," the report notes.
"The Newcastle-Stockton ferry is a case in which we were able to calculate the benefits of a specific avoided road journey, which is much longer than the ferry journey."
It wasn't all good news for the Hunter, though, with a City of Newcastle push for lower fares in the region compared to Sydney brushed aside.
"City of Newcastle's submission to our draft report suggested that fares should be lower for regional areas of the Opal network, specifically in the Newcastle and the Hunter region, to support public transport usage," the final report states.
"Our draft report noted that region-based fares would increase the complexity of the fare structure and is inconsistent with feedback from other stakeholders seeking greater fare integration across the state."
Tribunal Chair Carmel Donnelly said maximum fares balance the need for affordable public transport, which many people rely on, with the rising cost of providing safe and efficient services.
"Taxpayers, not passengers, fund the majority of the cost of providing public transport, because it provides broad benefits to the whole community including reducing congestion on our roads, supporting economic activity, education, social connectivity and environmental advantages," Ms Donnelly said.
"The maximum fare protects consumers from excessive charging, but the price passengers actually pay is set by the NSW government and all current ticket prices are set below the current maximum fare."
