Online road tax renewal criticised - The Star

KUALA LUMPUR: April 21, 2008 by Royce Cheah

Car dealers have criticised the Government’s move to allow vehicle road tax to be renewed online, saying the fee was expensive and that it did not benefit the public at large.

Questioning the Road Transport Department's (JPJ) move to outsource the online service to a third party, the Kuala Lumpur and Selangor Car Dealers and Credit Companies Association said it also reduced the bank’s interest over car matters.

Association president Khoo Kah Jin said that he was made to understand that if the road tax was renewed online, registration card was not needed.

“Doesn’t this mean that the interests of finance companies are not taken care of especially when it comes to renewing the vehicle insurance?”

Khoo said the online road tax renewal would also do away with one of the income streams of association members.

“People might say it is convenient but I think it is expensive.

“What I really don’t understand is why JPJ had to outsource it to another company.

“If JPJ had spent so much money upgrading their computer system, they should be able to do it themselves.”

On Thursday, MY E.G. Services Bhd launched its online road tax renewal portal where customers could renew their road tax for a fee of RM2.75.

For an additional RM6, the road tax disc could also be delivered to the customer’s doorstep. The company also offers road tax renewal kiosks that would be set up at banks.

Khoo said it was not that difficult to set up the online renewal system and kiosks and added that it was already being performed by post offices.

“They should have got the bank’s involved, especially with their large networks of ATMs already present, instead of spending money to put up new kiosks,” he said, when met before the association’s annual general meeting.

Khoo said the Government should have met with the association for feedback before implementing the move.

Earlier, Khoo handed out RM20,000 worth of donations to 10 welfare homes in Klang Valley.