'Tourism operators need fuel support to stay competitive'

LocalTravel
26 Jul 2026 • 3:12 PM MYT
Daily Express
Daily Express

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'Tourism operators need fuel support to stay competitive'

LAHAD DATU: The Lahad Datu Tourism Association (PPLD) has urged the Federal Government to consider a targeted diesel subsidy for local tourism operators, describing it as an investment that benefits the economy and local communities rather than foreign tourists.

Its president Joe Wong said the association respected the Government's position that subsidies should prioritise Malaysians, but believed targeted support for licensed tourism operators would strengthen the industry's sustainability, reduce operating costs and benefit local businesses and workers.

He said domestic tourism remained a key contributor to the sector, adding that lower operating costs would help keep tour packages affordable, encourage more Malaysians to travel locally and ensure tourism spending continued to circulate within the national economy.

Joe said Sabah's tourism operators currently paid commercial rates for diesel and petrol while competing with neighbouring destinations that enjoyed lower operating costs, particularly for marine destinations where fuel was a major factor affecting tour package prices.

He said PPLD proposed a targeted subsidy mechanism for Motac-licensed tourism companies and tourism boats and vehicles, implemented through a quota or claims system based on operating records, while also calling for special incentives for Sabah and Sarawak operators and engagement sessions with tourism associations to develop practical and fair solutions.

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