KTM Bhd (KTMB) will continue to incur losses if additional cargo trains are not added to their fleet, Railwaymen Union of Malaya (RUM) president Muhammad Faizal Shahibul Kiraya said.  

The newly minted president said the railway company has been in the red for about 30 years now.

“KTMB has been incurring losses of RM200 to RM300 million yearly. There have been no profits after 1992. 

“We are still operating because of the government’s support and providing social services as we are a government-owned company,” he told The Malaysian Insight.  

He said revenue from cargo was their main source of income to sustain operations.  

“The operation costs are at a worrying level. We currently have about 23 to 25 out of 30 diesel and electric cargo locomotives that are in operation.  

“From 2000 to 2010, KTMB had about 100 locomotives, where 80% were operating daily.  

“Compared with 10 years ago, more than 60% of the locomotives are out of commission now.” 

He said over the years, this issue had been raised several times with management and previous governments, to no avail. 

“Sadly, development plans to get more trains keep changing.  

“This has caused KTMB to incur huge losses and they also can’t bear the cost of operations.” 

In order to save KTMB, Faizal said the government needed to find a way to provide 40 new locomotives with 3,000 wagons.  

He added that the process to acquire the locomotives would take time. 

“The tender process could take up to a year. There are no ready-made locomotives available anywhere. Once the tender is approved, only then will the locomotives be built.  

“Also, some companies can make one locomotive in six months. So, we are looking at three to five years to get all 40 trains.  

“There are many companies around the world that can build the trains; as for the costs, it will depend on market price.” 

Faizal said even after the locomotives arrive, it would take time to generate revenue.  

“It will all depend on the management’s planning expertise. If they don’t have a proper plan, the situation will be the same as now. 

“If managed properly, the company could be stable in three to five years after the new locomotives come in.” 

He hopes that Transport Minister Anthony Loke would consider getting the locomotives to save KTMB.  

“We have a few engagements with the ministry, and they have been very accommodating. Loke also said he will look into the issue.” 

Faizal said they had sent a working paper on their suggestions to Loke on Wednesday. – April 7, 2023.