PETALING JAYA: The government’s move to address the monopoly of Touch ‘n Go on tolled roads and in the public transportation system is a step in the right direction, says the Malaysia Competition Commission (MyCC).
Commending Prime Minister Datuk Seri Anwar Ibrahim’s commitment to look into the monopoly issue and to consider possible alternatives to stimulate competition, MyCC said this would lead to a competitive market that would ultimately benefit the public.
It gave the thumbs-up to initiatives by the Works and Transport ministries, such as the introduction of the Multi-Lane Free Flow (MLFF) to allow users to pay tolls using other payment methods and the plan to develop more payment options for public transportation.
These moves are expected to end the monopoly of Touch ‘n Go, in line with public demand.
MyCC CEO Iskandar Ismail said in order to ensure concrete development in this area, the commission – through the task force set up by the Domestic Trade and Cost of Living Ministry – would continue to monitor developments in order to guarantee the seamless entry of new players into these markets.
“MyCC has investigated a few monopolies before this, when one of them was found to have made an attempt to increase the cost of new entry by making an exclusivity agreement with its downstream players,” he added.
Iskandar said as a result, the hopes of the government of injecting competition into that market could not be fulfilled.
“We will adopt the same approach in monitoring the development to instil competition in the payment of highway tolls and public transportation.
“This is so that we can have viable alternatives and strong competitors that can compete effectively in the market for the benefit of users,” he added.
