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Sunday, July 27, 2014

'Taxpayers double charged in 570pct toll hike'


The government may have used the new Eastern Dispersal Link (EDL) to justify a staggering 570 percent increase in toll charges at the Johor causeway but state opposition leader Boo Cheng Hau said the cost of the highway was already paid for and taxpayers are now being double-charged.

The EDL is critical as it links the Johor Bahru customs, immigration and quarantine (CIQ) centre to the North South Expressway (NSE).

In a statement today Boo said Plus Expressway Berhad was 20 years ago granted a concession to collect toll at the Johor Bahru CIQ with the purpose of building up its capital to one day build the link between the CIQ and NSE.

However, aside from minor expansion works to existing roads, Plus never did build the highway and instead it was Malaysian Resources Corporation Berhad (MRCB) which built the EDL.

"Plus has been collecting toll fees at Johor Bahru CIQ for the past 20 years with a total amount estimated between RM867 million to 1.5 billion which is enough to  cover the construction costs of  EDL estimated at RM1.4 billion," he said.

Recoup cost

Boo said while Plus has cashed in despite not providing any highway service, MRCB is now looking to recoup its cost of constructing the EDL.

He asked whether the staggering increase of toll at the Johor Bahru CIQ, the gateway to the causeway, which is presently being collected by Plus, had anything to do with MRCB.


He called on Putrajaya to reveal the exact nature of this new concession and also urged former prime minister Dr Mahathir Mohamad (left) to reveal the details of the earlier concession with Plus.

Yesterday, the Malaysian Highway Authority (LLM) announced the outbound toll charge at the CIQ for cars would be RM6.80 and inbound would be RM9.70, making a round trip cost RM16.50.

In contrast previously, inbound cars were only charged RM2.90 while there was no outbound charge.

The LLM had cited the EDL as among the reasons in justifying the drastic hike.

Boo said Plus also received the funds in needed to build the NSE-CIQ link and taxpayers should not now be made to foot MRCB's EDL.

"The government should not use the national treasury through taxpayers’ money or citizens' saving funds such as the Employee's Providence Fund (EPF) and Tabung Haji to shoulder the construction costs of EDL," he said.

MRCB is 40 percent owned by EPF and 20 percent owned by Tabung Haji.

"I urge the federal government to avoid burdening Johorean road users by preventing double toll fees at the CIQ by both Plus and MRCB for the same purpose of using the EDL to NSE.

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