The periodic inspection service of motor vehicles which is required under the Road Transport Act 1987 will be opened to qualified parties who meet the prescribed conditions after the current concession to ‘Pusat Pemeriksaan Kenderaan Berkomputer’ (PUSPAKOM) expires on 31 August 2024.
Transport Minister, Anthony Loke, said the matter was decided by the Council of Ministers on 17 March, which saw the end of PUSPAKOM’s monopoly as a provider of periodic motor vehicle inspections with effect from 1 September 2024.
He said, the invitation process for parties interested in providing services will be opened no later than the first quarter of 2024.
“This decision is in line with the government’s desire to create a competitive service environment and make it easier for all citizens.
“At the same time, we are also inviting parties who are interested and meet the conditions to make an application that starts no later than the first quarter of next year, so there is no longer a question of monopoly,” he said at a press conference here today.
Loke said, in order to implement the decision, his ministry together with the Road Transport Department (JPJ) will develop qualification requirements, operating rules, service scope, determination of inspection locations and guidelines for other parties interested in providing the inspection service.
He said, in order to ensure uniformity of rules and fairness in the aspect of competition, interested parties will be obliged to fulfill all the same conditions and rules that have been imposed on PUSPAKOM under the Concession Agreement.
“This includes the obligation to appoint workers who meet the prescribed qualification requirements only, provide and use computerized inspection equipment that is regulated and approved by JPJ, provide services in full compliance with the scope, standards and procedures of motor inspection;
“Can only charge a set inspection fee rate, it is not allowed to offer repair or vehicle modification services and the sale of spare parts.
“JPJ will continuously audit and monitor all parties that provide the service to ensure compliance, quality and integrity of the inspection. Any party found to be in violation of the stipulated conditions may be subject to a penalty or have their permission to conduct the inspection revoked,” he said.
Loke said, MOT will also ensure that the opening of periodic inspections to other parties does not contribute to unhealthy competition elements and bring negative effects to the provision of motor vehicle periodic inspection services under Act 333.
He added that the government also agreed to extend the PUSPAKOM concession agreement for another 15 years effective September 1, 2024 by improving the terms of the existing agreement.
“This decision takes into account that PUSPAKOM has carried out the inspection function on behalf of JPJ well and met the set service level.
“However, PUSPAKOM has been asked to implement a number of improvements including amendments to the procedures and scope of periodic inspections set to improve the quality and integrity of inspections such as expanding automation elements and the use of computer equipment.
“The inspection process will be modernized in accordance with current technological developments with the use of high-tech communication equipment, sensors or cameras to enable inspections to be monitored in real time online by users other than the ministry.
“Increasing the level of staff competence by providing a human resource development training system that is more effective and relevant to current needs, improving the booking process and customer complaints and installing CCTV systems at all checkpoints for the purpose of real-time control and monitoring.
“Improving the scope of vehicle inspection such as internal inspection, ‘under body’ inspection and motorcycle inspection to improve the level of technical safety and ‘road-worthiness’ of vehicles on the road, especially involving public transport vehicles and goods,” he said.
He said, JPJ will also improve the monitoring, regulation and audit aspects of all PUSPAKOM inspection centers and activities throughout the period of the concession agreement being in force.
