SHAH ALAM: A sharp rise of between 25% and 28% in transportation charges is looming for factory bus services as operators grapple with surging diesel costs that have severely strained their finances. She highlighted the steep escalation in diesel prices, noting that the cost of a full 200-litre tank had jumped from RM598 on Feb 25 to RM1,104 on March 26 - an increase of nearly 84.6% within six weeks. Fuel accounts for roughly 35% of total operating costs for factory bus operators, she said, adding that the surge has significantly eroded margins. In light of the situation, Chew urged the government to introduce targeted diesel subsidies for factory bus operators, proposing a monthly allocation of 2,000 litres at RM2.15 per litre, similar to the support provided under the Subsidised Diesel Control System (SKDS). She also called for immediate financial relief measures and a more gradual adjustment of diesel prices to allow businesses time to adapt.

Source: The Star March 31, 2026 12:10 UTC