Why The Government Didn't Take Over The Highway Worth RM 6.2 Billion?

The government has decided to cancel the plan to take over four highways in the Klang Valley offered in 2019 by Gamuda Bhd. 

The value of the Transmission of the Ringi Trans Kuala Sdn Bhd, KL West Traffic Turnover System Sdn Bhd (SPRINT), KESAS Sdn Bhd and the Flood Water and Terotong Sdn Bhd (SMART) is estimated at RM 6.2 billion.

According to Works Minister Datuk Seri Fadillah Yusof, the decision was taken after considering the burden on the government in managing this process. However, during press time, Gamuda and other highway operator companies have provided the latest proposals to the government to resolve toll issues.

Based on the proposals made, the toll rates on the highway involved will not be raised during the concession period with the possibility of the concession period to be extended.

"The Cabinet has decided that the government will not take over the four Gamuda highways, mainly due to the burden that the government needs to bear. However, Gamuda has made a new proposal just like the PLUS Highway, where the toll rates are set, but (the concession period is extended). The proposal is being evaluated by the Ministry of Works, the Economic Planning Unit (EPU) and the Ministry of Finance and when there is a decision, we will announce," he said.

The proposal for all tolls is set at one rate until the concession is not only for Gamuda, but also Project Lintasan Kota Holdings Sdn Bhd (Prolentintas) and others. It is to address unsatisfied user issues, those who do not want tolls and those that willing to pay at a reasonable rate.