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10 APRIL 2024

Friday, August 23, 2013

AES takeover: Privatisation, bailout or money-making scheme?

AES takeover: Privatisation, bailout or money-making scheme?
Almost a year in operation plus the baptism by GE13, the government has through the NEAC finally agreed to review the AES system.
AES is a privatised project commissioned to two companies, namely Beta Tegap and Ates, that has now become a single venture involving the sharing of profits. And naturally this is one particular point that the review procedures have to take into consideration.
As such, the government is mulling takeover of the project by a GLC and modification of the profit sharing model to ensure greater transparency, fairness and equality.
While the profit sharing model is one such issue that needs to be addressed, the public are taken aback that traffic enforcement has been privatised, allowing private companies to benefit from part of the fines collected. They query why traffic offences should not come under the direct jurisdiction of the government.
Sure enough the transport ministry can commission private companies to acquire a workable enforcement system, giving out installation and maintenance contracts, but the ministry must oversee the entire operation and the fines should not be shared directly with the privatised entities.
As private companies operate on profits, members of the public are worried they would go all out to rake in bigger profits from the project, not to mention possible government-corporate collaboration to fish unauthorised benefits.
Without sound legal controls, road users will become the eventual victims of this project.
The public are also disgruntled at the "dual track" traffic enforcement system whereby cops will still go out to get traffic offenders, catching them red-handed at specific spots, just as the AES is running in full force.
In other words, road users could be served with more than one traffic ticket at the same time in certain accident-prone areas.
Similar systems have been implemented and proven effective in other countries. If implemented properly here, the same should help reduce the accident rate, saving the country sizeable resources squandered on road accidents while protecting the lives of Malaysian motorists.
Unfortunately, before we could even see the results. we have been shown the negative side of AES as a profiteering attempt that benefits only a specific group of people.
The authorities accuse the public of opposing the project just for the sake of opposing, without painstakingly vetting through the content of this project, apparently unaware of the real reasons behind the public outcry.
From what the acting transport minister Datuk Seri Hishamuddin Hussein has said, we can see that the government is now seriously looking into ways to restore public confidence in AES.
More importantly, the government must not think that privatisation is the panacea for seamless implementation of all projects. Things like enforcement, road safety planning and education still need the input from government agencies. Various departments need to coordinate among themselves and identify their respective responsibilities while enhancing their own capabilities to bring about the desired results instead of pinning their hopes on nothing but privatisation.
- mysinchew.com

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