Syarikat Kenderaan Melayu Kelantan (SKMK) has decided to cancel Cityliner stage bus service from Nov 21 to stop losses due to rising operational cost.
Konsortium Transnasional Berhad (KTB) executive director Tengku Hasmadi Tengku Hashim said the decision affect 17 routes or 55 percent of 31 main routes in the state.
“We have made a decision to cancel bus services on 17 routes effective next Monday as the Kelantan government has failed to help us address rising losses,” he told reporters here today.
SKMK is a subsidiary company of KTB.
The Kelantan government has failed to find an effective mechanism to help restore the company’s operation although initially they promised to do so.
Hasmadi said the company had postponed cancellation of services to avoid difficulties to the public and after appeal by Menteri Besar Datuk Nik Aziz Nik Mat.
“The financial aid of RM400,000 monthly is inadequate to help the company overcome losses.”
He said losses incurred by SKMK also affect other companies under KTB due to competition from new express bus companies and pirate taxis.