Daegu City to Prohibit Cash Payments on 98 Buses Across 5 Routes Starting July 1

Some Citizens Expected to Experience Inconvenience and Opposition

Full Implementation in Daejeon, Partial Implementation in Incheon

Starting from July 1, Daegu City will pilot a "cashless city bus" system on five routes (No. 410, 410-1, 425, 706, 726) covering 98 city buses, prohibiting cash payments for boarding.

While the proportion of cash payments on city buses has steadily decreased?2.8% in 2022, 2.2% in 2023, and 1.4% as of April 2024?annual management costs for handling cash income, including labor expenses, still amount to 820 million KRW.

Daegu City Hall Sangyeok Office Building.

Moreover, issues such as delays in operation due to drivers having to give change to cash-paying passengers and concerns over safety accidents have emerged, prompting the city to introduce the pilot "cashless city bus" system to address these problems.

In particular, with the nationwide introduction of integrated free rides for seniors, the use of cards among the elderly has become widespread. Since using a transportation card is essential to receive benefits such as K-Pass card discounts and metropolitan transfer discounts, Daegu City believes the conditions are well-suited for implementing cashless city buses.

During the pilot operation, alternative payment methods will be provided for passengers without transportation cards, such as fare payment via bank transfer and issuing mobile transportation cards using QR codes, to minimize inconvenience for citizens.

Additionally, the city plans to analyze and address any issues identified during the six-month pilot period before deciding whether to fully implement the system.

A Daegu City official stated, "Currently, Seoul and Busan have not implemented this system, while Daejeon has fully implemented it, and Incheon has partially implemented it. We plan to pilot the system on five routes in Daegu and then consider whether to expand it citywide."

Kim Daeyoung, Director of the City Transportation Bureau, said, "Since using transportation cards provides many benefits such as fare discounts and free transfers, we will do our utmost to ensure thorough preparation and public awareness so that the cashless bus system can be successfully established."