How will Malaysians travel inter state if Bus Persiaran services end
Recent news on social media indicate that more than 100 tour bus companies in northern Malaysia are currently facing the threat of closure. This sounds like what happened during Covid-19.
This crisis is primarily driven by a sharp increase in diesel prices in Peninsular Malaysia, which rose from RM3.04 to RM5.52 in less than a month as of March 2026.
As diesel prices hike to over 76% the tour bus companies operating costs have doubled for many companies, effectively eliminating profit margins.
Meanwhile, approximately 50% of bookings have been cancelled by inter-state travellers as budget conscious bus customers opt out or travelling by bus rather than pay the higher fares required to cover high diesel fuel costs. Some are looking at train travel and others might be car pooling or just not make that trip.
Unlike school and express buses, tour buses (bus persiaran) are generally not eligible for the BUDI Diesel subsidy programme, as they are classified for tourism rather than daily essential transport.
Also, recent “Special Operations” by the Road Transport Department (JPJ) have led to summonses and potential license suspensions for operators failing to meet safety standards, such as lacking second drivers for long trips or missing GPS tracking.
The Affected States Right Now In Malaysia
The Northern Zone Tour Bus Operators Association notes that companies in the following states are most at risk. Perak, Kedah, Penang and Perlis.
Industry leaders are currently preparing a memorandum for the Prime Minister to request immediate government intervention or dedicated diesel subsidies to prevent a collapse of the local tourism transport sector.
