'Penang needs state-owned bus company'
The Penang government should form a public bus company and then privatise its operations to one or more companies, so that it retains control of services in the state.
The Penang government should form a public bus company and then privatise its operations to one or more companies, so that it retains control of services in the state.
Bus Users Group (Bug) spokesperson BK Ong suggested that the state government could exercise its legislative powers to do so.
“This is imperative if the DAP-led Pakatan Rakyat government is serious about providing a good bus service to the people,” he said.
“A state-controlled bus operation would be ideal because only the local, not federal, leadership would have in-depth knowledge of commuter requirements.”
Saying that this would enable the state to provide efficient, reliable and affordable bus service, Ong also said the would be revenue for the government from the privatisation project.
The schedule, route, fare and ticketing system can be decided on the basis of localised needs, while issuance of permits to bus companies will remain in state hands.
The previous Gerakan-led administration had planned to start a bus company, only to drop the idea when the federal government brought in RapidPenang, under finance ministry’s Prasarana Negara Bhd.
Six other bus companies, such as KGN.Hin Bus Co, Milan, Transit Link, United Traction Company and Park May Holdings, also provide services in Penang.
Approval of bus permits is vested with the Commercial Vehicles Licensing Board (CVLB), which is also empowered to enforce related rules. However, critics have said that the board has proved to be “incompetent and unreliable”.
Penang-based Citizens for Public Transport (Cepat) has even threatened to initiate legal action against it for neglecting its statutory duties.
State executive councillor Chow Kon Yeow, who is in charge of local government, traffic management and the environment, has expressed support for the legal action.
Social-reform movement Aliran, a member of Cepat, has applauded the state government’s stand on the issue.
“At least, it is not shirking its responsibility to provide an efficient and affordable public transport system,” said Aliran executive committee member Angeline Loh.
CVLB chairperson Markiman Kobiran has claimed that he has no evidence of the unsatisfactory public transport situation in Penang.
Loh refuted this, saying that Markiman had been given strong evidence on the subject at a meeting between Cepat, CVLB and state government in April last year.
‘End lease system’
The bus service is worse on the island, which Chow has attributed partly to the leasing system practised by Milan, Transit Link and KGN-Hin.
The three companies lease out their buses, collectively to an estimated 100 drivers, for a daily rental ranging between RM150 and RM200. Drivers bear the cost of fuel, maintenance and repairs.
Given the difficulty in making ends meet, the drivers frequently infringe the rules by not adhering to the stipulated routes, timing and work schedules.
The buses are dirty and not properly maintained; ply only profitable main routes while keeping off social routes; and are only keen to operate the service during peak hours.
During a recent dialogue session with representatives from the bus companies, Chow told them to stop the lease system and replace it with corporate-style management.
It means that the companies will have to hire drivers, pay their salary and provide perks and benefits. In addition, they will have to adhere to all rules and regulations, as well as conditions of the permit as stated by CVLB.
Ong, however, suggested that the state government could abolish the lease system by absorbing the three companies under its own operational permit.


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