Loke: School Bus Operators Have No Reason To Raise Fares, Operators Argue Otherwise

According to Transport Minister Anthony Loke, express bus and school bus operators should not raise fares following the implementation of targeted diesel subsidies.

He explained that these operators will continue to receive diesel subsidies via subsidised diesel fleet cards issued under the Subsidised Diesel Control System (SKDS).

However, R. Thiagarajan, chairman of the Secretariat Gabungan Bas Malaysia (SGBM), disputes the minister's remark. He expressed that the SKDS should be reconsidered because the existing allocation for public transport operators is insufficient to offset the impact of rising diesel prices.

He also stated that the new arrangement, which includes quotas for subsidised diesel, places a substantial burden on school and express bus companies. This burden may be significant enough to put some companies out of business.

He also stated that the government must reassess public transport requirements to ensure that impacted operators can fulfil their monthly operating costs without incurring additional charges once the diesel allotment is depleted.

Under the diesel subsidy rationalisation, school bus operators are classified as SKDS 1.0, allowing them to purchase diesel fuel at the subsidised price of RM1.88 per litre. Additionally, under the SKDS 1.0, school bus operators would only be eligible for 1,800 litres of subsidised diesel, but express bus operators would receive 2,880 litres.

According to Thiagarajan further, this amount is insufficient to cover a month's usage, thus the government must provide operators with substantial and constant diesel quotas in order to maintain fee prices.

Source: BERNAMA, MalayMail