adminLABUAN, July 14 (Bernama) — The passenger boat service linking Labuan and Lawas, Sarawak, has been suspended for the first time in more than three decades, with operations halted for three months from today.
RPL Shipyard Co, the current operator of the service, informed LDA Holdings Sdn Bhd that the suspension would remain in effect until Oct 14.
According to the operator, the suspension was due to unresolved diesel supply issues, rising operating costs and passenger fares that were no longer sufficient to sustain operations.
The affordable sea transport service has long been relied upon by students from Sarawak pursuing their studies at higher learning institutions in Labuan, particularly Universiti Malaysia Sabah (UMS) and Labuan Matriculation College.
It is also widely used by residents of Lawas and surrounding areas travelling to Labuan to seek treatment at Labuan Hospital.
LDA Holdings Sdn Bhd, the management company of the Labuan International Ferry Terminal, confirmed that it had received the official notification of the temporary suspension in a letter from the operator.
“We have received the official notification regarding the three-month temporary suspension of the service. I will meet the operator tomorrow to discuss the issues and explore the way forward,” LDA Holdings chief executive officer Noor Halim Zaini told Bernama today.
According to the letter, RPL Shipyard said the unresolved diesel supply problem had affected the smooth operation of its boats.
The operator also cited continued increases in operating expenditure, particularly manpower and maintenance costs, while the existing passenger fares were insufficient to cover its daily operations and overall expenses.
It said the temporary suspension was necessary to stabilise its financial position and restructure its operations, expressing hope that the service could resume once conditions improved.
— BERNAMA
