Twelve Highways Post Losses - Ahmad Maslan

Twelve highway concessionaires ended 2024 with losses, showing that not all toll roads are profitable.
Among those recording deficits were major routes including the Kuala Lumpur–Putrajaya Expressway (MEX), KL–Karak and LPT1, Senai–Desaru Expressway (SDE), and the Damansara–Shah Alam Elevated Highway (DASH). 

Other highways posting losses included Kemuning–Shah Alam (LKSA), South Klang Valley Expressway (SKVE), Sungai Besi–Ulu Klang Elevated Highway (SUKE), SMART tunnel, and the Butterworth Outer Ring Road (LLB).

Meanwhile, 15 highway operators reported profits, including PLUS Berhad with its North–South Expressway, ELITE, Butterworth–Kulim Expressway, and the Malaysia–Singapore Second Link. 

Other profitable highways included LPT2, BESRAYA, GRANDSAGA, AKLEH, LATAR, SPRINT, NPE, LDP, KESAS, DUKE, SILK, and the Second Penang Bridge.

Deputy Public Works Minister Datuk Seri Dr Ahmad Maslan cautioned that any plans for new highways must consider potential traffic and profitability.

“If traffic is insufficient, profits are not guaranteed. For example, many have requested LPT3 between Kuala Terengganu and Kota Bharu with an estimated toll of RM70 and construction cost of RM10 billion. Would it be profitable?

“If it’s not profitable, it becomes a problem later because the government may have to cover losses if it takes over,” he said in the parliament.

Ahmad Maslan recently confirmed that the LPT3 will proceed as a public-private partnership at no cost to the government, noting that documents have been submitted to the Prime Minister’s Department’s PPP Unit and a request for proposal will be issued soon to attract interested concessionaires.