Govt willing to consider concession model for HSR project

 

Transport minister Loke Siew Fook says the government is looking for private finance to construct the RM100 billion high-speed rail project. (Bernama pic)

PETALING JAYA: The concession concept used for the nation’s highways could be replicated in the high-speed rail (HSR) project, says transport minister Loke Siew Fook.

He said HSR is an important project that could be an economic game changer for the country.

“There is no reason for us to reject this project, provided it can fulfil several principles outlined by the government, including not being a government-led project.

“We want the private sector to invest capital and carry on with the project.

“If we can execute highway projects through concessions, the HSR might work through a similar concession concept,” he said in an episode of the Keluar Sekejap podcast.

Loke said land acquisition can be negotiated, as long as it is not a burden to the government.

Malaysia and Singapore inked a bilateral agreement to fund the HSR on Dec 13, 2016, but terminated the agreement on Jan 1, 2021, after several delays.

The original 350km line was to have shortened the travelling time from Kuala Lumpur to Singapore to 90 minutes, compared to a four-hour car journey at present.

The government has said it is open to reviving the RM100 billion project if it can find private investors.

In March, the ministry said the project’s developer, MyHSR Corporation Sdn Bhd, was still evaluating the concept proposals before the government shortlisted the parties for the request for proposal (RfP).

Loke also said the ministry is looking at a mass transit system for Johor Bahru to start construction before 2027, the scheduled opening of the Johor Bahru-Singapore Rapid Transit System Link.

He said a number of options, including a bus rapid transit system, could be considered, adding that the government must make a decision this year because the policy paper must be drawn up within the next few months.

“This project is indeed urgent. I agree that Johor Bahru needs a transit system, whether it’s light rail, bus or something else,” he said.

In October, Johor works, transport, infrastructure and communications committee chairman Fazli Salleh said the state government has identified three possible lines for an LRT system that could stretch as far as Senai International Airport in Kulai. - FMT