The Railway Procurement Agency (RPA) has been accused of introducing congestion charges on the Luas service in Dublin by increasing the cost of tickets during the morning rush hour.
Fare increases from Monday will see the cost of single tickets rise by 10 cent each, regardless of the distance travelled, between 7.45am and 9.30am, with no increase at other times. All return tickets will also increase by 10 cent.
Luas SmartCard fares are not being increased.
The increases are being implemented even though Luas has so far turned a profit, making it the only mass transport system not to require a State subsidy.
In 2006 an annual subsidy of €25 million was given to Bus Éireann, €65 million to Dublin Bus and €180 million to Iarnród Éireann.
RPA chief executive Frank Allen said the peak-time fare increases and the lack of an increase for SmartCard holders will benefit users.
"The manner in which fare increases are being applied will help to improve convenience and comfort by prompting a switch to SmartCards and off-peak trips in particular."
However, Fine Gael transport spokeswoman Olivia Mitchell said the RPA was imposing a congestion charge on passengers who had to travel at peak times and giving a "slap in the face" to loyal public transport users.
"It is completely unacceptable to have congestion charging introduced into this country without any prior notice or public debate."
The RPA was assuming that commuters could vary their hours of work to avoid the charge, she said.
"It assumes that commuters enjoy and consciously choose to travel in congested carriages. The reality is that the lives of most workers are restricted, not just by their working hours but also by family considerations."
This "odious charge" would discourage public transport use and was a revenue gathering exercise. Dart, bus and main rail services would undoubtedly follow suit, she said.
"Instead of using price differentiation to penalise workers, the Government should provide extra peak hour trams and liberalise the bus market to increase public transport capacity."
Carriages on the Red Line from Tallaght to Connolly Station are to be increased from 30 metres to 40 metres in May, Luas spokesman Ger Hannon said.
Fare increases were necessary to maintain the service and to meet inflationary and wage costs and "people should be accepting of the idea", Mr Hannon said.
The cost of one-day, seven-day and 30-day tickets will also increase, but child fares are remaining the same.