Speaking to FMT, Pan Malaysia Bus Operators Association (PMBOA) president Ashfar Ali said the government’s tight control over fares had negatively affected the industry.

He also lamented that the last time express bus fares were increased was in 2008, while taxi and train fare increases had been approved by the government in 2015.

“We can’t understand why the government wants to involve itself in controlling express bus fares.

“It is time the government deregulated express bus fares for the benefit of all.”

Ashfar said if bus fares were deregulated, operators could adjust their fares according to operational costs and market demands.

This way, he said passengers could enjoy cheaper trips during off-peak periods while during peak periods, passengers would have pay a bit more, but even then, this would be determined by market forces.

“Airlines and hotels do it. Why shouldn’t the express bus industry be the same?

He said at the moment, the inability of operators to control fares meant they were burdened with high operational costs.

Ashfar also said that deregulation of fares would help improve bus services naturally.

This he said was because operators could compete for customers through value-added services such as better busses and onboard facilities.

He said at the moment there was no incentive for bus operators to improve their services as they had no control over fares and this also applied to customers who had little incentive to opt for other services as the prices were all the same.

“Deregulation will promote competition and operators will have no choice but to stay at the top of their game because if they don’t, customers will choose other operators.”

There are currently 4,718 express busses on the road.