ENZHMS
Link Copiedcheck_circle
Auto News

Are Toll Freezes Draining Taxpayers’ Money?

Kumeran Sagathevan

Share via

y-u-yiut-jw---r--e.jpg


Pressure is mounting on the government to declassify highway concession agreements and rethink toll policy, as critics warn that repeated toll freezes funded by public compensation are fiscally unsustainable and unfair to taxpayers.

Transport economist Dr Rosli Azad Khan said concession agreements remain hidden under the Official Secrets Act, denying the public visibility over how taxpayer money is committed. Speaking to the New Straits Times, he said declassification would improve transparency, strengthen accountability and allow for a fairer toll framework.

Rosli argued that freezing toll rates offers short-term relief to motorists but simply shifts the cost to taxpayers through compensation payments. He described the practice as “double taxation”, with the public paying tolls while also funding compensation via taxes, effectively protecting private operators with public funds.

Meanwhile, Universiti Teknologi Mara’s Dr Mohamad Idham Md Razak said toll compensation has become a quasi-subsidy that disproportionately benefits higher-income households reliant on private vehicles. Since 2016, RM7.7 billion has been spent on such payments, money he said could have delivered far greater returns if invested in public transport.


MRT-Corp-SSP-Line-May-PLUS-Highway-Sg-Buloh-Toll-1-scaled-full_normal.jpg


Although this year’s RM591.5 million allocation to freeze toll hikes on 10 highways signals some fiscal restraint, Idham said it fails to address the underlying problem. He called for renegotiated concession terms, including variable tolling, partial buybacks or revenue-sharing models, to reduce dependence on recurring compensation.

Transport think tank MY Mobility Vision echoed these concerns. Co-founder Rahman Hussin said toll compensation is effectively a broad-based subsidy for private car use, paid for by all Malaysians, including rural communities and households without vehicles.

Rahman noted that successive governments have relied on compensation to defer toll hikes, with RM7.7 billion spent over the past decade. While this year’s allocation is among the lowest in recent years, based on figures reported, he said the funds could instead support thousands of daily bus trips or expanded feeder services.


Mercedes-S-Class-Level-4-Self-Driving-Robotaxis-Debut-In-Abu-Dhabi-Mercedes-Benz-launches-Level-4-self-driving-S-Class-robotaxis-in-Abu-Dhabi-partnering-with-Chinese-software-firm-Momenta-(36).png


Instead, compensation has become a recurring expense that stabilises toll rates without expanding capacity or reducing car dependence. He added that payments often extend to mature, profitable highways as well as weaker concessions.

Rahman and former deputy transport minister Datuk Ab Aziz Kaprawi urged the government to redirect funds from toll compensation towards system-wide transport improvements, including better bus services and first- and last-mile connectivity.

With the National Transport Policy targeting lower private vehicle dependence and higher public transport use, critics say the continued reliance on toll compensation runs counter to national goals, raising questions over how long Malaysia can afford to keep freezing its transport choices.

Source: NST , NST


Share This Article

More then half his life spend being obsessed with all thing go-fast, performance and automotive only to find out he's actually Captain Slow behind the wheels...oh well!

Share via

JPJ Running Numbers

KUALA LUMPUR

VRU8709

SELANGOR

BSU5416

JOHOR

JG2045J

PULAU PINANG

PSG6453

PERAK

APM4216

PAHANG

CFJ1895

KEDAH

KGJ5443

NEGERI SEMBILAN

NEM3599

KOTA KINABALU

SJU6455

KUCHING

QAB7995P

Last updated 22 Oct, 2026

Fuel Price

Petrol

RON 95

RM 3.97

+1.38

RON 97

RM 4.90

+1.75

RON 100

RM 7.20

+2.20

VPR

RM 8.23

+2.00

Diesel

EURO 5 B10

RM 5.12

+2.08

EURO 5 B7

RM 5.32

+2.08

Last updated 30 Apr, 2026

Related News

Auto News

Toll Exemptions On Dec 23, 24 For Class 1 Vehicles

The government has announced free tolls on December 23 and 24 for the Christmas holiday.

21-12-2024
Auto News

Two Days Of Free Toll For Deepavali This Weekend

The government has decided to exempt highway users from toll charges in conjunction with the Deepavali celebration.

10-11-2023
Auto News

Free Toll Ends Today

The four-day free toll which began on April 19 until April 21 will end today on Monday (April 24).

24-04-2023
Auto News

Free 'Rahmah' Toll For Aidilfitri To Cost Government RM93m - Ahmad Maslan

Government will bear approximately RM93 million to implement the free Rahmah toll initiative.

21-04-2023
Auto News

2.3 Million Vehicles Expected Daily On Three Major Highways During Raya - PLUS, KL - Karak And East Coast Expressway 1

LLM announces more than 2.3 million vehicles expected to flood daily on three major expressways.

19-04-2023
Auto News

Highway Maintenance Work Halted For Smooth Traffic Flow, Says Nanta

The government confirms highway maintenance work will be halted to ensure smooth traffic flow.

19-04-2023
Auto News

4 Days Of Toll Exemptions For Eid Celebration

The government announced free toll rates across 33 highway concessionaires on April 19 through April 21, as well as April 24.

18-04-2023
Auto News

Govt’s Initiative To Lessen Traffic Jams Through Barrier-Free System

The Malaysian government will implement a new toll system to prevent traffic congestion due to outdated toll technology currently in use in the nation.

21-03-2023

Latest News

Auto News

Proton's Exports Are Growing, But Not All The Cars Wear Proton Badges

Proton exported 7,370 vehicles in the first nine months of 2026, including Geely cars built in Malaysia. Here's why it matters for Tanjong Malim.

21-10-2026
Auto News

6,537 Road Deaths In 2025 - Can Malaysia's New Safety Push Make A Difference?

Malaysia recorded 6,537 road deaths in 2025. With a new MOT-MIROS proposal underway, can the country meet its target to halve fatalities by 2030?

20-10-2026
Auto News

ECRL Vs Driving To Kota Bharu: Petrol, EV Or Train, Which Costs Less?

ECRL fares to Kota Bharu start at RM125. We compare train tickets with petrol and EV energy costs to see which option makes more sense.

19-10-2026
Auto News

"We'd Love To Go Back": Mercedes Eyes Sepang Return As F1 Night Race Idea Emerges

Mercedes-AMG Petronas F1 wants to return to Sepang, while Signify says a night race is technically possible. Could Malaysia's next F1 race be after dark?

19-10-2026
Auto News

RM52,000 In Car Rebates? Sime Motors' 3-Day Sale Is Now On!

Sime Motors' 3-day sale runs from 16 to 18 October 2026 in Ara Damansara, with car rebates up to RM52,000, test drives and special offers.

16-10-2026
Auto News

RM950 Million From F1 At Sepang. So Why Is Malaysia Still Hesitating?

F1 at Sepang generated nearly RM950 million in economic impact. But a five-year Malaysian GP deal could cost RM1.5 billion. Here's why.

16-10-2026
Auto News

35 Cars Daily! BYD's New Miri 3S Centre Puts Aftersales In Focus

BYD's new Miri 3S Centre can service up to 35 cars daily. Here's how the latest Sarawak expansion strengthens aftersales support for EV owners.

15-10-2026
Auto News

Chery Omoda 5 Recall: 600 Cars In 2024, 8,878 In 2026. What Changed?

Chery's Omoda 5 recall covers 8,878 vehicles, compared with 600 in 2024. Here's what changed, what remains unknown and what owners should do.

15-10-2026

Show More

trending_flat

Malaysia First Used Car and EV Consignment Platform

This is the best place to sell your car at true market value. Instead of accepting low dealer trade-ins, we handle everything and connect your car directly to genuine buyers for the highest price.

I want to consign my car! Trade-in price too low.

CariCarz Automall

Understanding CariCarzAutomall Consignment Plan

Approved 200-Check Points Inspection

7 Day Money Back Guarantee

One Year Extended Warranty

No Hidden Charge

About Us

CarzAutoMedia: Stay connected to the latest car news! Get instant updates on new releases, industry trends, and automotive innovations. Your go-to source for 24/7 coverage of everything automotive.

© 2026 CariCarz.com. All Rights Reserved.