Transport ministry to announce new vehicle inspection companies tomorrow; Puspakom no longer sole player

The ministry of transport will be announcing tomorrow the entry of several new companies for vehicle inspection, New Straits Times has reported.

“The ministry obtained Cabinet approval last year to terminate Puspakom’s concession policy or monopoly. At present, Puspakom no longer holds a concession. Instead, it has been granted only a licence to operate. We have carried out evaluations, and tomorrow, I will be announcing several new companies that have been approved to establish vehicle inspection centres. I will make this announcement at the ministry,” transport minister Anthony Loke said.

The transport minister announced in March 2023 that Puspakom will no longer be the only agency to provide vehicle inspection services, and the government announced that the field will be opened to other qualified service providers once the company’s concession ended on August 31, 2024.

While the field has been opened to other players from that date, Puspakom remained the only provider at the time, and so it became the first company to be authorised to carry out vehicle inspections under the new mechanism of the Road Transport Act (Act 333). As of January, more than 10 companies have applied for vehicle inspection licences.

“In general, we believe that when an industry operates under a monopoly, service quality can sometimes be affected. This is why we encourage competition,” Loke said in response to concerns that monopolies could compromise vehicle inspections.

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