'Scrapping tolls will affect investor confidence'

PARLIAMENT Abolishing tolls nationwide will add to the government's financial burden and ultimately affect investors’ confidence in the government, Works Minister Fadillah Yusof argued today.

Fadillah (right) told the Dewan Rakyat this evening that according to studies conducted, abolishing tolls would cost the government money, and this won't be seen as positive for the government's image.

"We must also be seen as honouring our agreements," he said, referring to the concession agreements with toll operators.

"If we don't honour our agreements, we will have a negative image among investors."

Fadillah also gave a rather non-committal response when asked by Hee Loy Sian (PKR-Petaling Jaya Selatan) on when the government would fulfill its election pledges to reduce toll charges nationwide.

"We are still bound by the agreements, so we are on an ongoing process of discussing reducing toll charges with toll operators," he said.

However, Fadillah refused to reveal whether he was personally satisfied with the concession agreements that have been signed before this, saying that the question, posed by Mahfuz Omar (PAS-Pokok Sena) was irrelevant.

"It doesn't matter if I am satisfied or not. The agreements have been signed and we are bound to them," he said.

Fadillah also said the people of Sabah and Sarawak should be thankful to the federal government for having upgraded their roads over time from "gravel roads to tar roads".

He said this when responding to repeated questions from East Malaysian MPs about the speed with which the Pan-Borneo Highway and other roads demanded by East Malaysians are being built.

"The government will look into this. When there is financial strength to do so (build roads), we will do it according to our capacity," he said.