LABUAN: The Federal Government will continue to allocate RM11mil subsidy annually for travellers' sea transport cost from Labuan to Sabah and Sarawak and vice-versa despite the economic uncertainty.
Labuan Corporation, in a statement, said the subsidy given since 2014 was aimed at lessening the burden of Malaysians commuting by sea transport to and from the island.
The subsidised routes are Labuan-Menumbok-Labuan, Labuan-Kota Kinabalu-Labuan, Labuan-Sipitang-Labuan, Labuan-Limbang-Labuan and Labuan-Lawas-Labuan.
The government stopped the subsidy for transporters of goods using ferries to the island in 2016, after considering their failure to bring down the price of goods on the island.
Labuan MP Datuk Rozman Isli said the sea travel subsidy lessened the burden of not only commuters in Sabah but also those from Sarawak who made such trips.
Rozman, who is also corporation’s chairman, said there was a need to maintain the subsidy as many of the people who used the ferry and speedboat services were in the lower-income category.
“I really hope this subsidy would be permanent as it could help stimulate the economy here,” he said. —Bernama
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