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- LRT3 will begin operations at end-2025, connecting Bandar Utama–Damansara to Johan Setia, Klang in Selangor, serving 6,200 passengers per hour per direction.
PETALING JAYA (Oct 10): Malaysia’s public transport sector will receive nearly RM200 million under Budget 2026 to upgrade bus services and prepare for the Johor Bahru (JB)-Singapore Rapid Transit System (RTS) launch.
Prime Minister Datuk Seri Anwar Ibrahim, who also serves as Finance Minister, presented the “Fourth Madani Budget: The People’s Budget” in Parliament today. The Budget 2026, worth RM419.2 billion, marked a RM2 billion decrease from last year’s allocation.
The nearly RM200 million allocation will support better connectivity between cities and rural areas through new stage bus routes and increase capacity in key urban centres.
To maintain air links in remote regions, the government will continue the RM209 million Rural Air Services (RAS) subsidy for Sabah and Sarawak.
Meanwhile, the MyRailLife pass, which provides free KTM Komuter and Shuttle DMU rides, will now be extended to school students, the disabled person (OKU) community and all children under six.
Rail connectivity upgrades
Malaysia’s rail network is set for major expansions over the next few years:
Electric Train Service (ETS): Extended to Kluang in August 2025, with the final phase to JB Sentral expected by year-end.
Light Rail Transit 3 (LRT3): Operations to begin at end-2025, connecting Bandar Utama–Damansara to Johan Setia, Klang in Selangor, serving 6,200 passengers per hour per direction.
East Coast Rail Link (ECRL) Phase 1 (Kota Bharu–Gombak): On track for completion by end-2026, reducing travel time between Kelantan and the Klang Valley to four hours.
Klang Valley Double Track Phase 2 (KVDT2): Scheduled for completion by 2029, spanning Bandar Tasik Selatan–Seremban and Simpang Pelabuhan Klang–Port Klang, with a total cost of RM4.1 billion.
LRT Kelana Jaya Line: To receive 26 new train sets worth RM1 billion, procured by Prasarana Malaysia Bhd.
LRT Mutiara Line (Penang): Implementation to begin soon, benefiting 1.8 million residents and 3.5 million annual visitors.
Bus and van fleet expansion
Prasarana will roll out 310 new buses by February 2026 for high-demand routes, alongside 300 Demand Responsive Transit (DRT) vans to be fully operational by end-2025.
In line with Malaysia’s green mobility goals, 1,450 electric buses and 300 electric vans will be acquired in phases until 2030.
Road safety and maintenance
To maintain road safety and reliability, RM2.5 billion has been allocated for federal road maintenance, covering pothole repairs, street lighting, and road furniture.
An additional RM5.6 billion under the Malaysian Road Records Information System (MARRIS) will go to state governments, while RM700 million is reserved for G1–G4 contractors.
District Engineers will receive RM30 million to manage small-scale repairs and address complaints via the MyJalan app, while the Malaysian Highway Authority will install 3,000 LED lights at high-risk locations.
Heavy vehicles equipped with speed limiter devices will qualify for an Accelerated Capital Allowance (one-year claim), and the Social Security Organisation (Perkeso) will extend its Health Screening Programme to public and goods transport drivers.
As Penang girds itself towards the last lap of its Penang2030 vision, check out how the residential segment is keeping pace in EdgeProp’s special report: PENANG Investing Towards 2030.
