The association’s president, Jackie Chew, said that diesel prices in Malaysia had surged by almost 85% within just six weeks, marking an unsustainable increase in operating costs.
She said that without timely government intervention and policy support, they had no choice but to implement temporary fare hikes of 25% to 28% on existing contracts.
“Previously, to fill a full tank (200 litres), we only had to pay RM598. Now we have to pay RM1,104 for a full tank.
“Unlike other sectors, we are unable to immediately pass on these increased costs (to customers), as most of our contracts are fixed and long-term in nature. As a result, operators are forced to absorb substantial financial losses while continuing to fulfil contractual obligations,” she told a press conference at the Selangor MCA headquarters today.
She called on the government to grant factory bus operators targeted diesel subsidies of 2,000 litres a month at RM2.15 per litre, mirroring the assistance given to other commercial transport categories under the subsidised diesel control system (SKDS) scheme, to cushion the impact of high costs.
She said although operators formally applied for inclusion in the SKDS scheme in June 2024, submitting requests to the finance ministry and the Prime Minister’s Office, they had received no official response.
She also urged the government to provide immediate financial relief measures as well as a more gradual adjustment of diesel prices to allow businesses time to adapt.
“We hope the government can look into giving us cash or whatever kind of relief in order for us to survive. If not, I think most of us will go bankrupt.”
She warned that without government intervention, manufacturers would pass on the higher costs to consumers and export markets, ultimately hurting the wider economy.
Last week, the finance ministry announced that the price of diesel in West Malaysia would go up by 80 sen, whereas the price of RON97 and unsubsidised RON95 petrol would increase by 60 sen nationwide.
The ministry said the prolonged conflict in West Asia had driven global crude oil prices up by more than 40%, surpassing US$100 per barrel and thereby increasing the risk of disruptions to global oil supply.