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Because the rail operators are government-assisted profit-based corporations, fares and ticketing on Singapore's Mass Rapid Transit system are currently aimed at least in breaking even to at least compensate for their costs of running the system. The rail operators collect fares by selling electronic tickets capable of storing data, the price of which is calculated based on the distance between the start and destination stations. These prices increase in fixed stages for standard non-concessionary travel. From the information that was earlier written in these tickets, it is possible to increase the fare according to increments based on approximate distances between stations.
Stations on the MRT system are divided into two areas, paid and unpaid areas, which allows the rail operators to collect needed fares by restricting entry only through the fare gates, also known as access control gates. These gates, connected to a computer network, are able to read the electronic tickets, and can store information such as the amount of time taken per trip, and the start and destination stations of each trip. This allows the rail operators to collect fares based on this information.
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