ALOR STAR : One-hundred tour bus companies in northern Malaysia are facing the threat of closure following the recent hike in diesel prices, prompting calls for immediate government intervention.
Chairman of the Northern Zone Tour Bus Operators Coalition, Ahmad Ruslan Abdul Latiff said the affected companies across Perak, Kedah, Penang, and Perlis are struggling to sustain operations with a significant drop in bookings from travel agencies, schools, higher learning institutions, and various organisations.
"The price of diesel has reached RM4.27 per litre, and it is not impossible for it to hit RM7 in the future.
"Operating costs have doubled, and we are seeing a 50 per cent cancellation rate in bookings.
"Even when we try to negotiate terms, customers ultimately choose to cancel due to the price increase," he said during a peaceful gathering at Stargate here yesterday, which was attended by 31 operators.
Ahmad Ruslan warned that if the situation persists, companies in the northern region would be unable to maintain their services, particularly at a time when the industry is expected to support Visit Malaysia Year.
He described the tour bus industry as the backbone of domestic and international tourist movement in the country.
"The sharp increase in diesel prices has put immense pressure on our operating costs, affecting the industry's resilience.
"We will submit a memorandum to the Tourism, Arts and Culture Ministry and the Prime Minister to seek an immediate solution.
"We are proposing temporary financial assistance and the provision of targeted diesel subsidies for tour bus operators registered under Motac," he said, adding that such measures would significantly alleviate the financial burden on operators.
Meanwhile, Malaysian Bumiputera Tour Bus Operators Association secretary Mahadi Izady Maharazi expressed hope for swift assistance to ensure the survival of the tourism transport sector.
He noted that the industry had faced similar hardships during the Covid-19 pandemic in 2020, which saw a peaceful gathering being held, and now taking place again during Visit Malaysia Year, Mahadi added. - NST
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