Labuan ferry operator appeals for fuel subsidy

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A ro-ro ferry arriving at the Labuan International Ferry Terminal yesterday.-Bernama photo

LABUAN (March 23): One of the two ferry operators in Labuan is appealing to the federal government for fuel subsidy to help them stay afloat.

Labuan Mainland Link Sdn Bhd chairman Datuk Chin Hon Vui said there had been no fuel subsidy from the government despite repeated requests in the past.

He said ferry ticket prices had remained unchanged for the past two decades although operators had to bear increasing fuel and maintenance costs.

“We urge the government to consider our appeal; we cannot cope with the operating pressure in the current economic environment.

“We have been operating for two years during the Covid-19 movement control order (MCO) to transport food supply and gas from mainland Sabah (via Menumbok ferry terminal) to Labuan with no subsidy from the government,” he said in an interview with Bernama yesterday.

Chin said it would send an official letter to the Ministry of Transport soon to seek its support and recommendation on the matter.

For decades this duty-free island has been heavily dependent on food items brought in from mainland Sabah via ferries.

Labuan Mainland Link operate three ferries – Kimanis 1, Putrajaya 1 and Goodwill Star – while Juta Bonus Sdn Bhd operates Galaxy ferry.

Sedan-type vehicles are charged RM40 for a one-way trip (Labuan-Menumbok and vice versa) while four-wheel drive vehicles pay RM50. The fees for trucks transporting goods vary according to size and load.

“We have been incurring losses due to Covid-19 movement restrictions, and high maintenance and fuel costs, which may put us out of business,” Chin said. – Bernama