No experienced firm before Puspakom due to monopoly, Loke explains

Summary

• Transport Minister Anthony Loke explains that no other companies are experienced in motor vehicle inspection services because of Puspakom’s monopoly.

• But now that the monopoly is no longer in place, any company can apply for it, he says.

• Loke lashes out at those who attempt to politicise the matter and adds that no operating licences have been given, only conditional ones to allow the companies to put the necessary infrastructure in place.

Transport Minister Anthony Loke has criticised a PAS member for alleging that his team had appointed inexperienced companies for motor vehicle inspection services.

For starters, he pointed out that there were no local companies with experience in vehicle inspection as Puspakom had previously monopolised the industry.

“Can you name me one company with experience in vehicle inspections (apart from Puspakom)?

“There isn’t one because it was a monopoly. Why is no one questioning how Puspakom was established back then without prior experience?” Free Malaysia Today reported him as saying today.

With the end of Puspakom’s monopoly, Loke said interested companies have the chance to enter the vehicle inspection industry.

Two days ago, PAS member Nurul Islam Mohammed Yusoff questioned the Transport Ministry’s decision to choose Pakatan Petroleum Sdn Bhd, Beriman Gold Sdn Bhd and Wawasan Bintang Sdn Bhd to conduct vehicle inspections.

Nurul Islam said Pakatan Petroleum and Beriman Gold were involved in business unrelated to automotive, while Wawasan Bintang listed inspection of motor vehicles as its business, however, it was only eight months old and has no public track record.

“How can the ministry appoint a new company, companies without relevant experience to inspect vehicles which will involve the lives and safety of road users?” Nurul Islam asked.

Free market

Loke elaborated that the free-market system allows other companies to join the sector.

“Previously, only one company (Puspakom) was given exclusive rights to provide this service, and there were many complaints (about this monopoly).

“We have since opened the market, creating competition and giving more choices to consumers,” the Seremban MP added.

Loke criticised those who politicised the move instead of backing the government’s effort to dismantle a monopolistic system.

“Some people are deliberately twisting the facts. There was no contract awarded (to the three companies), yet they claim there is cronyism.

“If you don’t like a certain company, don’t use it. Stop politicising everything. When it was a monopoly, nobody said anything,” he added.

According to Bernama, Loke also explained that the government has not granted operating licences to the three new companies to establish motor vehicle inspection centres under the first phase.

He said that, instead, the three companies have only been given conditional approval starting from last week and two years to meet the infrastructure requirements.

“I want to emphasise that no contract has been given. We do not pay a single sen to these companies. All this requires investment from them to purchase land and machines, build workshops and so on... there are no financial implications for the government.

“They are only given conditional approval. Once they have completed the necessary facilities, then the operating licence will be issued,” he told reporters after the Exio Logistics Hub ground-breaking ceremony in Elmina.

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