3 new vehicle inspection companies appointed by MoT – Puspakom monopoly ends, 2 years to build centres

The ministry of transport (MoT) has announced it has appointed three new motor vehicle inspection services (PPKM) besides Puspakom. These appointments, said minister Anthony Loke today, were made in line with the results of a cabinet meeting on March 17, 2023, in which it was agreed that vehicle inspections mandated as part of the Road Transport Act 1987 (Act 333) would be opened up to other eligible companies.

The three companies approved by MoT and the road transport department (JPJ) are Wawasan Bintang in Port Klang, Gua Musang in Kelantan and Mersing in Johor; Pakatan Petroleum in Rawang and Temerloh in Pahang; and Beriman Gold in Kuching and Serian in Sarawak. Both parties said the approvals were given after conducting a “strict” evaluation process.

Applications for prospective PPKM suppliers were open from July 1 to October 31 last year, resulting in a total of 12 entries from interested companies. The approved firms were selected based on several main criteria, including being locally owned, having a strong financial standing and having a minimum paid-up capital of RM10 million.

They were also required to show that they had high potential, readiness and commitment to ensure that the conditional approval granted would be fully utilised. The selected locations also needed to be suitable for PPKM operations, with the area, distance from housing areas, land ownership status and land use zones all being considered in line with plans laid out by the Town and Country Planning Department (PLANMalaysia).

The three companies that received the PPKM approval offer now have 24 months to complete their infrastructure requirements, including the development of premises, the procurement of inspection equipment and obtaining approval from the relevant authorities. The ministry will observe the process throughout to ensure all conditions and operating standards are met and will only grant an operating licence once all requirements are met and the company is ready to commence operations.

For those that lost out this round, MoT said it will reopen applications for phase two of the PPKM scheme from March 1 to June 31. It added that the move would provide more healthy competition, better inspection quality and ultimately greater choice for the end user. To that end, both MoT and JPJ will continue to monitor and ensure the companies continuously comply with safety regulations and have sufficient technical capabilities and skills to carry out inspections on the JPJ’s behalf.

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