School bus sector braces for new reality after holidays


PETALING JAYA: The full impact of rising diesel prices on school bus operators is expected to surface once the school holidays end this week, with concerns mounting over costs that could eventually be passed on to parents.

Federation of Malaysian School Bus Associations president Amali Munif Rahmat said operators are closely monitoring developments, including potential government measures such as work-from-home (WFH) arrangements for parents and home-based teaching and learning (PdPR) for students, should the situation persist.

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For now, he said, licensed operators continue to benefit from subsidies, with diesel priced at RM1.88 per litre and RON95 at RM2.15 per litre.

“We will have a clearer picture after the school holidays. Only then can we assess the longer-term impact, including any policy decisions on WFH, PdPR or adjustments to targeted subsidies.

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“Apart from school bus operators, B40 parents who rely on school bus services to send their children to school will also be affected. We hope for a win-win situation,” he said.

Amali Munif said the increase in fuel prices could also affect operators using premium diesel, as subsidies apply only to Euro 5 diesel for B10 and B7 variants.

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“Operators using premium ­diesel may consider switching to Euro 5 B10 or B7. However, this may affect engine performance and could result in higher maintenance costs over time,” he said.

Amali Munif also advised ­parents not to switch to illegal operators if licensed services become less available.

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“Every licensed bus driver is required to undergo a medical check-up once a year, and vehicles must be inspected every six months.

“Private vehicles do not receive fuel subsidies, resulting in higher fares due to operating costs. They can also be seized by the Road Transport Department, and insurance does not cover passengers.

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“So, parents need to make wise decisions if they intend to use ‘sapu’ (illegal) bus operators to send their children to school,” he said.

Amali Munif noted that as of Dec 31, 2025, there were only about 12,000 registered licensed school bus operators nationwide, compared to 16,000 in 2010.

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“This decline is very worrying and should open the eyes of the minister. It needs to be studied to understand why it is happening.

“It should be remembered that among these school bus passengers are future leaders, including possibly a future prime minister. I hope all issues can be resolved so that no more operators are forced to shut down,” he added.

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The government has maintained the subsidised price of RON95 at RM1.99 per litre, despite a significant rise in global oil prices, with crude oil now exceeding US$100 per barrel due to the Middle East conflict.

However, the prices of RON97 and diesel are being adjusted in stages according to the automatic pricing mechanism, in line with global price increases since the crisis began in late February.

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