JPJ claims transparency in AES contract award

Nine firms vied for the job and the competition was fair, says a statement from the department.

KUALA LUMPUR: The Road Transport Department (JPJ) has denied allegations of corruption in the award of the automated traffic enforcement system (AES) contract, claiming it was a transparent process.

In a press statement issued today, JPJ director-general Solah Mat Hassan said the contract was awarded after fair competition among nine companies.

He added that the government undertook extensive research, including visits to countries using the same system, before it considered implementing it. He dismissed accusations that it was done in haste.

Among the countries visited were South Korea, Australia, the United States, Germany, Sweden, France, Britain and Switzerland.

“We found after the visits in December 2005 that we should implement the AES,” read the statement.

It added that a steering committee was set up to oversee the project.

Putrajaya is struggling to deflect accusations of foul play in its move to implement the AES, which detractors claimed was aimed at enriching companies linked to Barisan Nasional.

The two firms awarded the contract to implement the enforcement system — ATES Sdn Bhd and Beta Tegap — will spend between RM300 million and RM400 million each to set up traffic cameras at 831 “black spots” nationwide.

Thorough vetting

Both ATES and Beta Tegap are entitled to RM16 per valid summons for the first five million issued. They will then split the remaining revenue evenly with the government up to a cap of RM270 million each.

The firms will each receive 7.5% from the remaining revenue and the government will keep the rest.

Pakatan Rakyat has suggested that the companies are linked to the MCA and Umno, but this has been vehemently denied.

Parliament recently approved the implementation of the AES despite calls for a review and opposition from both sides of the political divide.

Solah said bidding companies were vetted thoroughly and asked to conduct live demonstrations and that the two were picked only after detailed assessments by several government agencies, including the Audit Department and the Malaysian Anti-Corruption Commission he added.

“It took us eight years before we decided to implement it,” he said.