Maximum compound rate for certain traffic offence fines set to be increased from RM300 to RM500

by · Paul Tan's Automotive News

Among the amendments to the Road Transport Act 1987 (Act 333), which were tabled for its first reading in parliament yesterday, is the move to increase the maximum compound rate for a number of traffic-related offences. Under the Road Transport (Amendment) Act 2026, that rate is set to be increased from RM300 to RM500.

As pointed out by transport minister Anthony Loke last week, authorities consider the present rate to be insufficient as a deterrent, with many drivers more willing to pay a fine than comply with the law. Therefore, he said the government was looking to increase the maximum compound rate for certain offences, especially those that endanger safety.

It was indicated that the changes do not propose setting all compounds at RM500, but under the amended Act, the road transport department is set to restructure the compound rates for more than 700 compoundable offences.

Specific offences that will be involved in the fine increase from RM300 to RM500 include:

Driving without road tax (LKM) Driving without a valid driving licence (CDL) Driving above the speed limit Failure to adhere to traffic lights/road signs Failure to display a vehicle registration number

However, the increase is not set to happen immediately once the bill is passed. “The implementation of this increase will not be done immediately. It will be given a period of two years for public preparation and system adaptation. This gives room for public education and preparation by the authorities,” Loke explained in a special briefing on the proposed amendments last week.

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