KUALA LUMPUR: Three new companies have been appointed to provide motor vehicle inspection services following an open selection process, says Anthony Loke.
The Transport Minister said that the appointments were made transparently to ensure the integrity of these companies.
Addressing concerns about the experience of new entrants, Loke clarified that one of the selected companies, despite being newly established for this application, has a solid financial foundation.
“Yes, this company is only eight months old, but it was specifically set up as a Special Purpose Vehicle (SPV) for this application. What’s important is that it has RM20mill in paid-up capital and is backed by an existing business.
“This is not a RM2 shell company; it has the necessary financial resources. Furthermore, this company is fully Bumiputera-owned, with all three directors being Bumiputera entrepreneurs capable of running a vehicle inspection operation,” he explained.
He also reassured the public that the selection process was conducted transparently.
“There is nothing to hide. We appointed these companies openly. If I had any intention to keep things under wraps, I wouldn’t have publicly announced their names. Our goal is to open up the vehicle inspection market to create a more competitive industry with better choices for consumers,” he said in response to a question during the Ministerial Question Time (MQT) in the Dewan Rakyat on Tuesday (Feb 18).
Loke was responding to a question from Khairil Nizam Khirudin (PN-Jerantut) who asked about the criteria that allowed these three new companies to be selected despite lacking experience.
Meanwhile, Loke said that all three companies are Bumiputera-owned and should be trusted to handle the project.
Speaking on the selection process, Loke reiterated that only companies meeting all criteria within the given timeframe will be granted an operating licence.
“We will only issue the operating licence once all conditions are met. If a company fails to fulfil our requirements within 24 months, they will not receive the licence. I take road safety seriously, and I do not want licences handed out to companies that are not fully prepared,” he emphasised.
Meanwhile, he said the Ministry is conducting various enforcement operations, including surprise inspections at Puspakom by Road Transport Department (JPJ) officers.
"We need to ensure that inspections are conducted properly and that there are no integrity issues,” Loke added.
He also addressed a common issue involving vehicle inspections and tyre replacements.
“Puspakom may certify that a vehicle’s tyres are in good condition at the time of inspection, but some vehicle owners immediately swap them for worn-out tyres after leaving the centre. This is a challenge, as tyre shops fall under the Domestic Trade and Consumer Affairs Ministry, not JPJ. This highlights the complexity of enforcement, as it involves multiple agencies,” he noted.
Loke reaffirmed that opening the market to new players is crucial to improving the industry.
“The key message here is that vehicle inspections are about safety. As Honourable Members have pointed out, we are breaking the monopoly so that more industry players can participate. This will enhance the quality of vehicle inspections and ultimately ensure safer roads for everyone,” he said.
On Feb 7, the Transport Ministry announced that Wawasan Bintang Sdn Bhd, Pakatan Petroleum Sdn Bhd, and Beriman Gold Sdn Bhd were awarded the project to implement PPKM.
Anthony explained that this move was aimed at ending the monopoly of the Computerized Vehicle Inspection Center (Puspakom).