The government has agreed to invest 10 billion ISK over a period of ten years in the mass transit system, citing the fact that transportation is the third greatest expense in an Icelandic household.
The capital area’s bus system, while under the control of relevant municipalities, has been struggling in recent years. Services and routes are cut, as fares have increased, which has made life more difficult for those who do not have cars, and leaving few alternatives for those who do.
Vísir now reports that the government has agreed to invest one billion ISK each year for the next ten years into the capital’s bus system.
Minister of the Interior Ögmundur Jónasson and Minister of Finance Steingrímur J. Sigfússon made the deal with the road commission and representatives from capital area municipalities.
Dagur B. Eggertsson, the chairman of city council, said the money will be spent first and foremost on simplifying the bus time tables, and making bus service faster.
Part of the money will also go to developing bike lanes in the capital area, but whether this will be in the form of bike lanes on existing roads or the construction of new paths has not yet been determined.