Targeted diesel subsidy: express buses, tourist buses excluded during rationalization, services will increase in price by 15-30%

According to reports, bus travel will become more expensive after the exclusion of express and tourist bus services from the targeted diesel subsidy scheme that comes into effect this week on the 10th. June. Star.

According to chairman Steven Chong, the cost of operating tourist bus services will increase by 30% and the rationalization has disrupted services sold by about 150 members of the Association of Tourist Bus Operators. supply island.

“Apart from the floating diesel price, we also have to pay all kinds of expenses like bus maintenance, bills, salaries, spare parts and now we have to pay 8% service tax. Operators cannot afford to reduce prices,” Chong said.

Travel agencies fear losing customers because their tour packages are quoted based on a diesel fuel subsidy of RM2.15 per litre, he said. “With this new price, it will definitely be more expensive and we are afraid that dealers will not accept our offer,” Chong added.

A memorandum on the issue of fuel pricing was also submitted to the Minister of Tourism, Arts and Culture yesterday, and the memorandum said the association had received “thousands of phone calls”. from tourist bus operators following the new diesel price of RM3.35 per person. liters, this is the amount that operators of tourist bus and express bus services will have to pay, and the additional costs must be covered and the original quote cannot be withdrawn.

Meanwhile, for express buses, express buses have a monthly quantity limit for refueling. according to the subsidy level, but operators will have to buy diesel at a higher floating price. “The quota for express buses is set at 2,880 liters per month, which is only enough for about 15 days,” said Datuk Mohamad Ashfar Ali, president of the Pan Malaysia Bus Operators Association.

Malaysia Tourism Federation president Datuk Tan Kok Liang expected the cost of tourism services in Peninsular Malaysia to increase by 27%, however he said tour operators would respect the regulated prices for tours. previously signed agreement. “We need to honor the commitments we have made, but that will cost us money,” he said, calling on the government to give the tourism industry a 12-month grace period to adjust fares.

Malaysia Travel and Tourism Agents Association president Nigel Wong also called for diesel vehicles in the tourism sector to be included in the list of vehicles exempted from the subsidized diesel engine control system program. (SKDS). “A little bit of breathing space would certainly be helpful,” Wong said, adding that a meeting with the Ministry of Domestic Trade and Cost of Living (KPDN) had been requested.

The SKDS 2.0 program started in March this year with five petrol companies for nine vehicle types and the list of vehicles eligible to use subsidized diesel under the program has been expanded to a total of 33 types. following means issued 90,000 fleet cards to qualified shipping companies last month.

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