A three-member panel of the Court of Appeal in Putrajaya today unanimously dismissed an appeal by Metrobus Nationwide Sdn Bhd to seek damages from the Commercial Vehicles Licensing Board Peninsular Malaysia (CVLB) for its approval of lower fares to Rangkaian Pengangkutan Integrasi Deras Sdn Bhd (RapidKL).

The court ruled that the CVLB's approval of lower fares for RapidKL was a matter of public interest to provide efficient transport services in the Klang Valley.      

In his 32-page judgment, Justice Azahar Mohamed said the CVLB had considered the element of general public interest in fixing different fares for RapidKL and Metrobus stage buses.    

He added that the CVLB had explained that its approval was based on the policy of providing an integrated public transport service in the Klang Valley.

“There was a legitimate reason for the CVLB to allow RapidKL to impose fares without adhering to the rates as prescribed under the Commercial Vehicles Licensing Board (Rates of Fare) Rules 2000,” he said.  

Metrobus Nationwide Sdn Bhd, the company which operates the Metrobus stage buses, claimed that there was evidence to show that the CVLB’s approval of lower fares to RapidKL had caused the company (Metrobus) massive financial losses due to a sharp decline in its passengers since April 21, 2007.    

Metrobus also claimed that the approval of the lower fares did not comply with the Rates of Fare Rules.  

Justice Azahar said there was no concrete evidence showing a connection between the financial difficulty suffered by Metrobus and RapidKL’s lower fares.

 

On Sept 30, 2009, the High Court had rejected Metrobus’ claims for the damages but had allowed a partial judicial review, to declare the CVLB’s March 28, 2006 decision as a breach of the Rates of Fare Rules.

Metrobus was however not awarded any damages as the High Court ruled that there was not enough evidence to show the board had practised discrimination against the company.  

Metrobus had then filed for a judicial review, naming the CVLB and federal government as respondents.  

Justice Azahar in his judgment said the introduction of RapidKL lower fares was not unjust or unreasonable.   

He concluded that the deviation from the Rates of Fare Rules by CVLB was rational and reasonable and there should be no suggestions of discrimination or arbitrariness, as it would serve the general public to provide a better and efficient public transport service in the Klang Valley.  

- Bernama