JPJ Urged To Allow Surrender Or Disposal Of Old Car Numbers

A used car trade group has urged the government to implement a system that allows vehicle owners to voluntarily surrender their registration plates to the JPJ, reducing bureaucracy and inconvenience. According to Tony Khor, president of the Federation of Motor and Credit Companies Association of Malaysia (FMCCAM), anyone planning to change their car's registration plates can only transfer the old car's number to a brand-new vehicle. He stated that some used car buyers want to keep their old car number or obtain a new one, but the lengthy and costly process of doing so is one of the reasons people prefer to buy a new car rather than a used one. "In many cases, these buyers are forced to buy a new, unregistered motorcycle for RM1,800 and then go to JPJ to transfer the licence plate from the old car to the bike." "This process is wasteful and time-consuming," Khor said at a press conference.

He expressed hope that, as a result of JPJ's recent digitalization efforts, a system could be developed to allow the disposal or surrender of existing vehicle registration numbers. The transfer of an existing vehicle registration number is currently limited to newer vehicles owned by the same individual, according to the JPJ website. Khor emphasised that the current procedure has turned off a large number of potential used car buyers. Many buyers prefer to keep their current car registration numbers when purchasing a used car, but doing so incurs additional costs. He claims that this practise has contributed to the stagnation of used car sales, which have remained at an annual average of 400,000 cars (as of 2020), while new car sales reached around 720,000 in the same year. According to Khor, the most viable solution is registration plate disposal, citing FMCCAM data showing that 67% of motorists trade in their old cars for new ones. Furthermore, Khor stated that the government should accelerate the implementation of an online-based vehicle ownership certificate (VoC) (formerly known as the car grant) to streamline administrative processes. He proposed to JPJ and the police the integration of the VoC system with the eAuto system - a sales database of all used cars under FMCCAM. This integration has the potential to remove roadblocks in the purchase of used cars.

The association's president added that, while the sector applauds the government's initiative to liberalise Puspakom's monopoly on vehicle inspections, there are still issues to be addressed, such as number plate transfers and manual registrations. Source: FMT