With impending toll rate increases adding to the list of price hikes that Malaysians have had to endure so far, an opposition MP has warned Putrajaya that it must be responsible for signing lopsided agreements with highway concessionaires, which burdened the people.
DAP's Gobind Singh Deo said any agreement which had an impact on the people, like concession agreements, should contain clauses giving Putrajaya the right to control toll rates.
"This includes the right to reduce toll charges where it is shown that the volume of traffic on that highway has increased.
"This means, the profit expected to be achieved has been realised much earlier," he told The Malaysian Insider yesterday.
He said this in response to a statement by Minister in the Prime Minister's Department Datuk Seri Abdul Wahid Omar that the toll rate hike next year was unavoidable as it was an express condition in the concession agreement between the Government and highway concessionaires.
The former banker said the toll rate should have been revised in 2011 as stated in the concession agreement but it was deferred.
Abdul Wahid said the Government had to fork out RM400 million compensation. "And now it is time to fulfil the condition," he said in Kuala Lumpur, adding that the hike was a fair measure for taxpayers, coupled with the fact that highways were alternative routes which they do not use daily.
Word of the proposed toll rate increase followed Works Minister Datuk Fadillah Yusof's statement that it would be revised next year to comply with the agreement between the Government and the highway concessionaires.
According to newspaper reports, the increase, involving 13 highways, would likely be between 30 sen and RM1.
Gobind, who represents the densely populated Subang constituency in Selangor, said Putrajaya should take proactive steps to renegotiate contracts which imposed heavy financial burdens on the people.
"It must find ways to solve the problem."
Gobind, a two-term MP, said toll was a serious issue in his constituency as residents had to pay to enter or exit the township.
Many motorists have also questioned the need to keep paying toll on highways like the Damansara-Puchong Expressway, which comes to a standstill during peak hours.
Gobind had in the past called all upon the prime minister to give an assurance that toll rates for highways in the Klang Valley would not increase.
Datuk Seri Najib Razak had said on January 28, 2011, that he had, in line with the "1Malaysia People First, Performance Now" concept, asked toll concessionaires to carry out a review of their toll structures "to help the Government prosper the country and lessen the people’s burden".
Najib said there were many who could not make ends meet because of the spiralling cost of living, particularly in the Klang Valley.
However, since then, prices of essential goods and services, including petrol, have gone up, the sugar subsidy of 34 has been removed, electricity tariffs will be increased 15% come January, and further increases are expected when the goods and services tax is implemented in April 2015.
Kuala Lumpur property owners can also expect to pay higher assessments on their properties. TMI
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