Malaysia cuts goods vehicle fee at Second Link

Malaysia has reduced the Goods Vehicle Levy at the Second Link for vehicles leaving Malaysia from RM200 ($68) to RM50 ($17) with immediate effect. Goods vehicles leaving Malaysia, whether with or without goods, at the Second Link had to pay RM200. Laden vehicles entering Malaysia pay RM100.

In a Facebook post yesterday, Singapore's Transport Minister Khaw Boon Wan said he had been discussing with Malaysian Transport Minister Liow Tiong Lai ways to ease the jams at the Causeway, which is the bridge after Woodlands Checkpoint.

"Minister Liow also gave me a heads-up on their Cabinet's decision to reduce the Goods Vehicle Levy at the Second Link, from RM200 to RM50, while keeping the levy (RM200) unchanged at the Causeway," he wrote.

"They have moved speedily and decisively on this idea. I read from the media reports of their decision to do so immediately."

Mr. Khaw said this decision was welcomed by Singapore, and its impact will be monitored. He added that the subject of the Causeway jam is on the agenda every time the two ministers meet, including in Beijing recently. Mr. Khaw described the discussions as productive.

He and Datuk Seri Liow have been trying to get commuters and vehicles carrying goods to use the Second Link at the Tuas Checkpoint, and to do so during off-peak rather than peak hours.

The levy on goods vehicles is a Malaysian Customs charge and is not a toll, explained Mr. Khaw. "It is applied to all goods vehicles, regardless of nationality. There is no such equivalent at Singapore's end. We do not impose any Goods Vehicle Levy."

He added that officials on both sides of the border are discussing how to amend toll rates, and this will continue while the Malaysian officials are in town for the Singapore Airshow.