B - Cost of Living B00. Cost of Living

B08. Improving the quality and coverage of public transport

May 10, 2018

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In progress
May 2019

Govt announces half-a-billion ringgit fund to improve public transport

FMT News May 02, 2019

KUALA LUMPUR: The government today announced plans for a RM500 million fund to improve the country’s public transport. Finance Minister Lim Guan Eng said under the fund, companies involved in public transport will be offered a 2% financing rate. The fund, to be managed by Bank Pembangunan Malaysia, may be used to purchase buses, taxis and other public transportation vehicles. In his speech, he had cited Goal 11 of the United Nations Sustainable Development Goals (SDGs), which calls for making cities more inclusive, safe, resilient and sustainable, especially in light of rapid urbanisation. He added that Malaysia’s urbanisation rate is estimated to reach a peak of 80% by 2020. “Reforming urban transportation can serve as a strong catalyst for achieving that sustainable development goal,” he said, especially in improving the quality of air in urban areas. “This reflects the government’s ‘entrepreneurial state’ mission, where the government will support and provide incentives to strategic sectors such as public transportation. “These sectors may not necessarily be commercially attractive for the ordinary investor, but have potential to trigger an exponential multiplier effect to our growing economy, and improving people’s quality of life,” he said during his opening speech at the launch of the Public Transportation Fund. The transportation fund is the third of its kind managed by Bank Pembangunan Malaysia Berhad. The previously launched Digital Industry Fund and Sustainable Development Fund were also facilitated through Bank Pembangunan. “The government hopes to catalyse the participation and collaboration of the private sector in these strategic areas in a mature and transparent way,” he added. Lim added, there was a need to take advantage of technology to help bridge the gap between the first mile and last mile elements of the transportation system. “Digital solutions may also be used to make the transport system flow more smooth, resulting in less crowded trains that are also punctual.” He said it may even be used to provide real-time updates on traffic conditions and service interruptions to passengers, live estimation on their journey time, and WiFi access. Zaiton Mohd Hassan, chairman of Bank Pembangunan, told reporters that only registered companies in Malaysia, and those with more than 50% of shares owned by Malaysians, would be eligible for financing under the fund.

May 2018

Improving the quality and coverage of public transport

Pakatan Harapan May 10, 2018

The Pakatan Harapan Government will widen the access and coverage of public transports by incentivising bus companies to operate in semi-urban and rural areas. Bus companies that want to bid for concessions in profitable routes will be required to provide services in less populated areas too. Strict actions will be taken to companies who fail to follow the rules so that the failures of UMNO and Barisan Nasional can be rectified. The Pakatan Harapan Government looks favourably at the advent of new technologies and the growth of new economic sectors like e-hailing. We acknowledge that other countries are piloting e-hailing using buses and motorcycles. We will work with the companies and owners of buses and school buses, and we will encourage new entrepreneurs who own suitable vehicles, to venture into this new sector so that it can grow in areas that need more public transport. There is high potential in rural areas as well as Sabah and Sarawak.

This will require a legal and governance system that is innovation-friendly, so that more people can enter into the e-hailing sector, thereby contributing to increasing the access to public transportation and at the same time increase job opportunities for those in rural areas. The Pakatan Harapan Government will enhance the rights of e-hailing drivers without neglecting the welfare of taxi drivers.

We will reduce the cost of license fee for school bus permits. The Pakatan Harapan Government will ensure transportation companies compete in a healthy way to obtain concessions, so that we prevent monopolies, which will help reduce public transportation costs. In larger towns across Malaysia, we will gradually introduce a monthly public transportation pass worth RM100 that can be used in all types of public transportation. To ensure the coverage of public transport buses can be improved, we will ensure there is an increase of 10,000 public buses nationwide in the first term of our administration.