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Puspakom monopoly on vehicle inspections to end next year
Published on: Friday, March 24, 2023
By: FMT, Lynelle Tham
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Puspakom monopoly on vehicle inspections to end next year
uspakom will no longer be the sole provider of vehicle inspection services for the road transport department from Sept 1 next year. (Bernama pic)
PUTRAJAYA: The Cabinet has decided that vehicle inspection services will be opened to all qualified parties once Puspakom’s concession ends on Aug 31, 2024.

“This means that Puspakom will no longer be the sole provider of vehicle inspection services for the road transport department from  Sept 1, 2024,” said transport minister Loke Siew Fook.

Loke told a press conference today the Cabinet decided on the matter on March 17 as it wanted to promote a competitive vehicle inspection industry.

Puspakom is Malaysia’s first and only comprehensive national vehicle inspection company, appointed in 1994 by the government to undertake all mandatory inspections for both commercial and private vehicles.

Loke said the decision to open up the sector was also to reduce time the public spent waiting for their motor vehicles to be inspected.

He said large vehicles like lorries and buses have to wait “a long time” for their vehicles to be inspected, especially if there is only one Puspakom centre in their area. There are only 56 Puspakom centres across the country.

He said while the Cabinet agreed to extend Puspakom’s concession for another 15 years from Sept 1, 2024, Puspakom has been asked to improve the quality and integrity of its inspections by expanding automation and the use of computers.

It has also been asked to improve its booking process and customer service, install CCTV systems at all checkpoints for the purpose of real-time monitoring, and provide a human resource development training system for its staff.

Loke said the transport ministry and JPJ will now outline a scope of service, develop qualification requirements and operating rules, and determine inspection locations and guidelines for other parties interested in providing motor vehicle inspection services.

He said the transport ministry is finalising operation conditions for such services and expects applications to start by the first quarter of 2024.

To ensure the uniformity of regulations and fair competition, he said, parties interested in providing periodic motor vehicle inspection services will be required to meet all the same conditions and regulations that have been imposed on Puspakom.

These include the hiring of qualified staff, using computerised inspection equipment that is regulated and approved by JPJ, and charging a fixed inspection fee rate.

They will also not be able to offer vehicle repairs, modification services, or sell spare parts.

“There are all sorts of criteria and equipment investment required to be a service provider,” said Loke, “but the government won’t subsidise (them).

“We won’t spend money to build their system. The interested companies must fulfill the criteria set by the ministry and JPJ.”

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