Why did Langkawi ferry fares increase for tourists but not locals?

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Langkawi Ferry Fares Differentiate Between Tourists and Locals Following Retraction of Citizen Hike

Langkawi ferry services will see a fare increase for foreign tourists effective January 1, 2025, while the previously announced hike for Malaysian citizens has been cancelled. This decision follows advice from the Ministry of Transport and the Kedah state government, with the transport minister having warned operators against increasing fares for locals. The fare adjustment for foreign tourists will proceed as planned, impacting services between Langkawi and Kuala Kedah, as well as Kuala Perlis.
Fare Hike Retracted for Malaysian Citizens

Langkawi Ferry Line Ventures Sdn Bhd announced the cancellation of its planned fare increase for Malaysian citizens. This retraction came after initial plans to raise fares were communicated, with the adjustment initially set to take effect from January 1, 2025. The company cited advice from the Ministry of Transport and the Kedah state government as the basis for reversing the decision concerning local passengers.
Fare Adjustment to Proceed for Foreign Tourists

In contrast to the cancellation for Malaysian citizens, the fare hike for foreign tourists will be implemented as scheduled. This means that international visitors utilising the ferry services between Langkawi and mainland destinations like Kuala Kedah and Kuala Perlis will experience increased costs from the beginning of 2025. The specific details of this adjustment, including the amount of the increase, were not fully elaborated upon for tourists beyond the general announcement.
Ministry of Transport Intervention and Subsidy Warning

The Ministry of Transport, through its minister Anthony Loke, played a significant role in the reversal of the fare hike for local residents. Loke expressed disappointment and issued a direct warning to ferry operators, stating that they would lose eligibility for diesel subsidies if they proceeded with fare increases, particularly those affecting local and domestic travellers. He urged operators to retract such announcements and engage in discussions with the ministry.
Scope of Fare Adjustments

While the specific amounts for foreign tourists were not detailed, the operations manager for Langkawi Ferry Line Ventures Sdn Bhd, Norhafiz Abdul Wahid, had previously indicated that the fare hike would range between RM3 and RM10.50 per trip. This range was dependent on the passenger category and the specific travel route. The retraction, however, specifically removes the planned increase for Malaysian citizens from this scope.

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Why did Langkawi ferry fares increase for tourists but not locals?

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