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Thursday, October 15, 2015

Use RM6 billion GST revenue to pay highway concessionaires, says Azmin

Selangor Mentri Besar Mohamed Azmin Ali proposes that Putrajaya use the RM6 billion collected since the implementation of the goods and services tax (GST) to pay the highway concessionaires. – The Malaysian Insider file pic, October 15, 2015.Selangor Mentri Besar Mohamed Azmin Ali proposes that Putrajaya use the RM6 billion collected since the implementation of the goods and services tax (GST) to pay the highway concessionaires. – The Malaysian Insider file pic, October 15, 2015.
Selangor Mentri Besar Mohamed Azmin Ali has proposed that Putrajaya use the RM6 billion collected since the implementation of the goods and services tax (GST) to pay the highway concessionaires.
He said this today after attending the Selangor Economic Action Council meeting with Selangor State Development Corporation (PKNS) Kumpulan Perangsang Selangor Berhad (PKS).

"We have been informed that the collection from the GST is huge. More than RM6 billion as announced before. Why not use the GST revenue to ease the people's burden, instead of using this opportunity to continue pressing the people, especially road users.
"We have suggested this in the SEAC that the federal government should have used revenue from the GST to fund and proceed to the pay the compensation to the highway concessionaires involved," he said.
Nonetheless, he said that he has ordered PKNS and KPS to write up to Kesas Holdings Sdn Bhd and also Sprint Sdn Bhd to urge for a special meeting with the board of directors to discuss the matter.
"In today's meeting, the state government ordered both the subsidiaries to express objection to the toll increase even though we are just minority shareholders and do not have the final say.
"But both companies should represent the state government's stance in objecting to any increase of the toll rates," he said.
Toll hikes at both Sprint and LDP came into force today as earlier announced. The LDP toll rates for Class 1 is seeing an increase between 50 sen to RM2.10 while RM1 for Sprint.
"We have been informed that until today there is no board meeting being called by Kesas Holdings Sdn Bhd and Sprint Sdn Bhd on this matter,” said Azmin.
The state government owns 30% of Kesas stake through PKNS and 20% in Sprint and LDP highway through KPS.
- TMI

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