The Federation of School Bus Associations Malaysia (FASBM) has indicated that school bus fares may rise due to increasing operational costs, including insurance, wages, and vehicle parts.
FASBM president Amali Munif Rahmat explained that any fare increase is entirely up to individual operators, as the government decided in 2015 not to regulate prices or set a maximum fare. “Since fares were left unregulated, operators decide whether to maintain or increase them based on their financial situation and operating costs,” he told FMT.
Amali said operators are now facing rising expenses, and many may have no choice but to raise fares. “Vehicle insurance increased in mid-2025, the minimum wage was raised to RM1,700 in August, and most vehicle parts are imported. All these factors have a direct impact on costs,” he said.
He added that the federation has no power to stop operators from increasing fares and only provides general guidance. “If their financial reports show losses, operators need to adjust prices to stay in business.”
Some operators, however, are able to maintain current fares because they raised prices earlier or can still manage despite higher costs.
The 2026 school session will start on Sunday for schools in Kedah, Kelantan, and Terengganu, and on Monday for schools in other states.
