Malaysian bus and taxi operators are demanding big fare hikes due to rising fuel costs, a report said Wednesday, putting pressure on the government as it heads toward elections.
The government has already signalled that gas and electricity price hikes are in the offing, and that it will have to cut fuel subsidies that are on track to cost the nation 10 billion dollars this year.
Bus operators told the New Straits Times newspaper that fares have not risen despite a 123 percent increase in diesel prices, and called for fares to be doubled to combat heavy competition and high operating costs.
The government has already signalled that gas and electricity price hikes are in the offing, and that it will have to cut fuel subsidies that are on track to cost the nation 10 billion dollars this year.
Bus operators told the New Straits Times newspaper that fares have not risen despite a 123 percent increase in diesel prices, and called for fares to be doubled to combat heavy competition and high operating costs.
Representatives of the taxi owners said they want to raise their flagfall from 2.0 ringgit (0.60 dollars) to 3.0 ringgit (0.92 dollars), and increase the per-kilometre and waiting time rates.
Malaysia's national railway is also looking to increase the price of inter-city routes by 30 percent and commuter services by 50 percent, the paper reported.
Malaysia imposed its highest-ever fuel price rises in February 2006, citing the spiralling cost of crude oil, and pledged to use the cost savings to boost the country's substandard transport system.
Following the sharp hike, political and civil groups organised rare demonstrations in the capital Kuala Lumpur to condemn the decision.
The operators' demands come as the government prepares for elections expected to be held as soon as March.
Agence France-Presse - 1/16/2008
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