Najib: Government Approves RM400 Million Fund To Assist Stage Bus Companies

By Monday December 19th, 2011 No Comments

PUTRAJAYA, Dec 19 (Bernama) — Datuk Seri Najib Tun Razak today announced that the government has approved a fund of RM400 million to assist stage bus companies which are facing financial problems in continuing their operations.

The Prime Minister said the fund would be managed by the Land Public Transport Commission (SPAD) which planned to disburse RM100 million in the first quarter of 2012.

“For the first phase, the fund would be utilised to assist companies which are facing problems in Selangor and followed by other states such as Negeri Sembilan and Pahang.

“The fund is an interim measure which is hoped to be able to continue the services of stage buses for the benefit of the people affected,” he said in a statement, here Monday.

Najib, who is also the Finance Minister, said the government, through SPAD, would begin negotiations with the affected bus operators to discuss the best method in resolving the problems faced.

The Prime Minister said the discussions were important in looking for a long-term solution to enable the affected operators to continue their business in the interests of the operators and consumers.

He said that among the methods to be discussed was the utilisation of the fund approved as subsidy based on the per kilometre rate.

He said the measure was necessary because several companies operating stage bus services especially in Selangor, Negeri Sembilan and Pahang were now facing problems to maintain services due to financial problems.

“The government realises the impact of the bus service to users of public transport and in this context, SPAD will continue to be committed towards finding a comprehensive solution to tackle the problems arising.

“These measures are in line with the principle of People First which has always been the approach adopted by the government,” said the Prime Minister.

Source : Bernama

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