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PLUS RFID to continue despite legal action from CIMB. Denies breaching any agreement

Touch ‘n Go‘s parent company, CIMB Group, had recently filed an Arbitration Notice against PLUS for launching their own RFID system. They claim that this was a breach of a joint venture agreement that was signed in 1998 and CIMB is seeking an injunction to stop PLUS from engaging in the RFID business. 

The highway concessionaire today had acknowledged the arbitration notice but it isn’t pulling the brakes on its ongoing RFID initiatives. 

PLUS believes that the recently launched PLUS RFID pilot program will promote choices to the rakyat as it offers options and convenience for customers to pay as you use via credit and debit cards. According to them, this will be an addition to existing e-wallet and prepaid mode of payments provided by Touch ‘n Go.

They added that Touch ‘n Go’s e-wallet and prepaid payment remains one of the options in the PLUS RFID targeted pilot, therefore it believes that it is not a breach of any agreement.  The statement also mentions that giving additional choices to highway users should be considered a virtue, in line with the spirit of Touch ‘n Go’s agreement to provide the best customer service. PLUS says that they are looking forward to making their case in the arbitration proceeding. 

PLUS RFID had commenced its RFID public pilot testing on 15 December and it is currently available at four highway toll plazas in Penang and Kedah. The RFID system can be linked directly to your debit and credit card, which eliminates the need of managing a separate eWallet. Those working and staying in Penang, are also entitled to enjoy 20% discount for toll charges on the Penang Bridge. 

SEE ALSO:  PSA: RFID toll lane only deducts from eWallet, not from the TNG card

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Alexander Wong