Johor-KL tour bus prices up 10% after tour buses excluded from M'sia diesel subsidies

The cost will be passed on to customers.

Belmont Lay | June 18, 2024, 02:48 PM

Telegram

Whatsapp

Those travelling from Johor to Kuala Lumpur (KL) on tour buses will have to pay more, about 10 per cent, for their next trip booked via a travel agency, The Star reported.

This was after tour bus operators in Malaysia were excluded from their government’s diesel subsidy programme and they are passing on the costs to travellers.

Travel agencies have upped prices, Malaysian Chinese Tourism Association (MCTA) Johor chapter chairman Edwin Tay said.

“Now that the price of diesel has been floated, the cost of transporting travellers from Johor Bahru to KL International Airport (KLIA) in a tour bus will increase by RM250 (S$72) per trip," he said.

The Malaysia government announced that starting Jun. 10, the price of diesel will be floated and retailed at RM3.35 (S$0.96) per litre in the peninsula, an increase from the previous price of RM2.15 (S$0.61) per litre, which is about 55 per cent costlier.

The journey from Johor Bahru to KLIA is about 320km by land.

Tay was responding to the increase in operating costs due to the rationalisation of diesel subsidies, and the exclusion of tour buses from the government’s subsidy programme.

Customers paying more

Most travel agencies under MCTA have asked customers to top up the extra travel expenses being charged, after they had already paid for their travel packages.

Those who have not paid are expected to be given a "new quotation", it was reported.

Malaysia transport minister Anthony Loke previously said in a statement that there is no subsidy for the tourism sector, as the buses are for tourism purposes and not for daily use.

In response, Tay said the matter should be reconsidered as tour buses do not only carry foreign tourists and that the tourism sector "should not be sidelined".

Tay explained: “I think this is an unfair remark as tour buses are often used to carry passengers such as students on their field trips and factory workers or employees on company trips, as well as participants of meetings, incentives, conferences and exhibitions."

Background

On Jun. 11, Loke said there is no diesel subsidy for the tourism sector, which will lead to tourists experiencing an increase in costs, but he said he thinks it would still be acceptable for them.

On Jun. 13, Loke said at a press conference that the possible diesel subsidies for tour bus operators would be handled by the Tourism, Arts and Culture Ministry to help industry players transition to the removal of diesel subsidies.

The Malaysian Inbound Tourism Association had also appealed to the government to consider subsidising tour bus operators, citing the dramatic increase in operating costs.

Under the current targeted diesel subsidy programme, 33 types of vehicles ranging from public transport to goods transportation can continue enjoying subsidised diesel by using fleet cards via the Subsidised Diesel Regulation System Pilot Project.

Related story:

Top phot via Unsplash