Brunei's new land transport regulations seem to have pitted Sarawak transport operators against authorities in the tiny sultanate.

Earlier this year, after decades of virtually unimpeded access into and through the oil-rich state sandwiched between Sarawak and Sabah, Brunei authorities imposed a set of new regulations on the entry of Sarawak-registered goods and passenger vehicles.

Now Malaysian-registered goods lorries are required to transport their load onto Brunei-registered vehicles at an inland container depot (ICD) near the Sungai Tujoh immigration border checkpoint.

Brunei's move was apparently in response to their transport industry's long standing complaints about businesses being undermined by containers and goods vehicles from neighbouring Miri that delivered directly to consignees within Brunei.

Miri Lorry Association has expressed its despair over the new regulations.

It said that the new rule requiring their member operators to transfer their load at Brunei's ICD made little sense since this would mean double handling, additional costs and inconvenience for both the consignors and consignees. In addition, the ICD collect some fees as well.

As a result, many Miri operators are selling off their lorries, mainly due to a decline in business.

Business taken away

According to Brunei authorities, it was about time the authorities in Brunei and Malaysia regulate the free flow of cross-border movement of commercial vehicles.

The tiny sultanate has also been affected by the regional economic slowdown and its own financial problems following the bankruptcy of Prince Jefri's business empire, whose brother is Sultan Hassanal Bolkiah.

Brunei's Muara Container Port, which is run by the Port of Singapore Authority, is reportedly rather slow on the uptake in terms of the build-up of its container volume.

The restrictions on the entry of Sarawak-registered goods vehicles are also believed to be part of a move to help Muara Port.

According to Sarawak transport operators, some of the goods delivered to Brunei and through Brunei to Limbang and Lawas in northern Sarawak come from the Bintulu International Container Terminal, the only East Malaysian port equipped with new post-panamax quayside cranes than can handle large containerships.

"In other words, the move is also to plug a loophole," according to a Miri shipping agent who asked not be identified.

Alternative road

One Kuching-based large road haulage firm, which has started a containerised landbridge service between Sarawak and Sabah via Brunei, said that a new road alternative that will by-pass Brunei would further boost interstate traffic for goods and passengers.

Tang Container & Services managing director Johnny Tang lamented that going through Brunei means having to go through immigration and custom formalities at least twice at entry and departure points on land.

Sarawak already has an inland state highway linking Kuching to Miri covering about 1,200 kilometers and a coastal road of about equal length is under construction. There is a 300 kilometer missing link to Limbang and Lawas.

The state government has asked the federal government to foot the cost which is estimated in the region of RM1 billion to complete the link to the northern most region of the state from Miri.

Sarawak Federation of Chinese Industry and Commerce president Sim Hock Guan said a lot of hassle could be avoided by transport operators if there is such a link road, even though it may cover a longer distance.