KUALA LUMPUR: THE Land Public Transport Commission (SPAD) is expected to announce major changes in the way school bus operators operate and charge for their services this Friday.
Sources said the measures, which may include the removal of a ceiling price for fares, were aimed at improving the quality of school bus services and to ensure the sustainability of the school bus services industry.
The move is believed to be in line with SPAD’s broader school bus transformation plan, which emphasises safety and quality service.
SPAD has issued a press invite for a press conference by its chairman, Tan Sri Syed Hamid Albar, this Friday. While no specific details had been given, SPAD has stated that the press conference would be on the school bus industry.
School bus operators have been appealing to the government to look into their plight, saying the current fare system was stifling their growth and unsustainable due to rising operating costs.
Industry sources said SPAD currently regulate and set the ceiling rate for school bus fares.
The current monthly fare for school buses in urban areas is RM27.43 for the first kilometre and RM2.02 for subsequent kilometres.
Fares for rural areas start at RM20.61 for the first kilometre and RM2.02 for subsequent kilometres.
Last December, the Federation of Malaysian School Bus Operators Association demanded a 40 per cent increase in fares, asserting that the current rates did not factor in rising costs and operational challenges.
They said that since the last fare hike in 2009, there had been an increase of between 18 and 20 per cent in fuel costs, with the price of RON95 petrol and diesel going up by 20 sen last September. They also complained of insufficient quotas of subsidised diesel.
The federation had said the hike in school bus fares was long overdue. Their last revision was a 10 per cent price increase in August 2009 by RM6.33 for the first kilometre in urban areas and RM4.76 in rural areas.
Some school bus drivers had threatened to go on strike. Some are also believed to be already charging parents prices above the ceiling price set by SPAD to meet higher operating costs.
It is believed that there are more than 15,000 school buses in the peninsular, most of which have been in use for more than 20 years.
Early reports stated that effective January, school buses that are more than 30 years old would not be allowed on the road, but operators have countered that they could not afford to replace their vehicles with their current revenue.
SPAD has recently announced a subsidy scheme to help operators to replace old vehicles through the school bus replacement scheme, including providing RM10,000 in aid for each applicant and a low fixed interest rate of two per cent annually.
School bus operators also face challenges, such as competition from unlicensed rivals and the inability to maximise their bus load due to different school schedules.
The federation’s secretary, Md Saad Mohamad, welcomed the school bus fare review, saying this was what the body, which boasts more than 10,000 members, had been waiting for.
“We welcome any announcement on the school bus fare review. We are pleased to know that SPAD will be making announcements on this soon and we will accept whatever decisions SPAD decides,” he said, adding that their representatives and other groups had held discussions with SPAD on the matter last year.
It is understood that the measures would commence and be implemented gradually from next year to ensure students’ safety and improve the quality of school bus services.