Boost public transport use to improve bottom line for operators

Rahman Hussin of MY Mobility Vision says off-peak incentives, among others, help to manage costs better than simply raising fares.

Rahman Hussin of My Mobility Vision says offering incentives such as fare credits, pass bonuses, or employer-linked benefits for off-peak travel can enourage some commuters to shift their travel outside peak hours.

PETALING JAYA:

 Experts have proposed that incentives be introduced to encourage the use of public transport to reduce the RM100 million shortfall needed to underwrite the cost of operating the Rapid KL mass transit system.

They said the government could also put in place selected disincentives to discourage driving while taking steps to improve infrastructure for greater public transport connectivity.

For instance, Rahman Hussin of transport think tank MY Mobility Vision said the government could introduce fare credits, pass bonuses, or employer-linked benefits for off-peak travel.

“This can encourage some to re-time their commute slightly to avoid the morning rush. It costs (public transport operators) more to operate during peak hour, yet flat pricing does little to encourage flexibility,” he explained to FMT.

“This is better than simply raising fares,” he added.

Transport minister Loke Siew Fook said earlier this month that the government’s initial allocation of RM200 million to Prasarana Malaysia Bhd to cover the cost of subsidising the My50 passes, was insufficient.

He said Prasarana was forced to absorb part of the shortfall, and even provided additional funding for the My50 pass programme towards the end of 2025.

Prasarana sold more than 556,000 My50 passes from July to December last year. Users pay RM50 a month and the government tops it up with another RM100, giving each cardholder unlimited use of public transport every month.

The initiative is set to continue in 2026.

Rahman noted that in many cities around the world, it is common for businesses to co-fund the cost of commuting for their employees, while the government provides the same incentive to lower-income workers. This has improved punctuality, productivity, and lowered the cost of parking.

He also stressed that last-mile integration was crucial to improve farebox recovery — covering operating costs through passenger fares — noting that many stop using public transport because the final stretch of their route is inconvenient, unsafe, or unreliable.

He said this can be improved with the introduction of feeder services, as well as integrated micromobility solutions such as e-bikes and e-scooters.

Rahman added that seamless ticketing would also encourage more frequent daily use, making public transport a dependable end-to-end system that strengthens revenue and reduces the need for repeated fiscal support for the provider.

Discourage private vehicle use 

Transport expert Goh Bok Yen said sustained growth in public transport ridership would require both incentives for users and disincentives for private vehicle use.

He said while initiatives such as the My50 pass effectively attract users, the cost of private vehicle ownership in Malaysia — including fuel prices, road tax and parking — is relatively low, reducing the urgency for commuters to switch transport modes.

“The cost of private vehicle use must gradually increase through measures such as higher parking charges, fuel pricing reforms and congestion pricing, while public transport remains affordable and reliable,” he said.

Goh stressed that public transport operators such as Prasarana should not be expected to turn a profit, noting that losses are inevitable in helping Malaysians make the transition to using public transport as the government subsidises both users and operators to build long-term ridership.

He also said closer coordination among federal agencies, operators and local authorities was essential, as gaps in local infrastructure and access to stations continue to undermine efforts to make public transport a viable end-to-end alternative to private vehicles. - FMT