| Takeover Of RapidKL, RapidPenang Ensures Smooth Public Transport Services |
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KUALA LUMPUR, Nov 4 (Bernama) -- The takeover of RapidKL and RapidPenang by Prasarana Sdn Bhd, a government-linked company, was not a bail-out but to ensure the smooth operation of the public transport services, the Dewan Rakyat was told Wednesday.
Deputy Finance Minister Datuk Dr Awang Adek Hussein said both companies provided a social service and if the operation was managed by the private sector, commuters might not get the full benefits.
"In the hands of private companies, which are driven by profit, no buses would ply unprofitable routes with very few passengers travelling. But to the government, it does not matter.
"We look at it as a service to the people. The question of a bail-out does not arise," he said when replying to a supplementary question from Datuk Zahrain Mohamed Hashim (PKR-Bayan Baru).
Zahrain wanted to know the losses incurred by RapidKL and RapidPenang and the reason why both companies were bought over by Prasarana.
Awang Adek said RapidKL and RapidPenang incurred losses due to high cost of repair and maintenance of the buses.
"Through the takeover, RapidKL and Rapid Penang would be more focus in running the operation and eventually overcome the problem of integrating the public transport system," he added.
-- BERNAMA
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