Its president, Amali Munif Rahmat, said any fare hike was fully at the discretion of school bus operators as Putrajaya decided in 2015 not to regulate prices or set a ceiling.

“Since prices were floated, it’s been subject to the operator. They determine themselves whether to maintain or raise the fares based on their respective financial reports and costs,” he told FMT.

He said operators were now facing higher costs, and that most of them would likely be forced to raise their fares.

“Vehicle insurance went up in the middle of last year, while the minimum wage was also raised (to RM1,700 in August). Vehicle parts are mostly imported. All these factors impact our cost,” said Amali.

He added that the federation had no authority to bar operators from raising their prices, saying it only gave them a general guideline to follow.

“If their financial reports show that they’re making losses, the operators need to (raise their prices to) ensure that they can continue operating.”

He said some operators were able to maintain their current fares as they had raised their prices much earlier or could still “hang on” despite the higher costs.

The 2026 schooling session will begin on Sunday for schools in Kedah, Kelantan and Terengganu, and on Monday for schools in other states.