The new trains introduced to Estonia's intercity lines at the beginning of the year have brought new competition to the transport sector, with lower bus prices on one route seen as a direct result.
Tickets on the Tallinn-Viljandi route were halved from 11 euros to 6 euros.
"All bus companies have to exert themselves to compete with the trains, which are extensively subsidized," said Tõnu Ruusamäe, a director of Eesti Buss, a subsidiary of Sebe, in an interview by the local daily Sakala.
The cheapest train ticket from Viljandi to Tallinn is now 7.50 Euro.
The company Hansa Liinid, formerly known as Mulgi Reisid, was the first to reduce its prices on January 19.
Bus prices on the country's most popular route, from Tallinn to Tartu, for now are still holding firm at approximately 11 euros.