Pua: Najib 'not entirely lying' on LRT3 figures

HIGHLIGHTS

• Pua claimed Najib likely never saw additions to LRT3 plans
• Prasarana tried to justify LRT3 tunnel by citing Selangor palace

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Former prime minister Najib Abdul Razak was “not entirely lying” when he disputed the Pakatan Harapan-led government’s figures on the cost of the LRT3 project, claimed Damansara MP Tony Pua.

He said this is because the Pekan MP was probably unaware that the cost of the project had ballooned, despite having signed off on the Work Package Contracts (WPC) that were awarded in March this year for the project.

He said this showed the lack of control the previous government had over its projects, which allowed it cost to be inflated well above what was originally conceived.

“Najib was not lying entirely when he said that, ‘No, it was not RM30.5 billion’. He was telling a half-truth. Why? Because he probably never looked at it.

“So, he let the project go out of control. He just saw the RM10 billion, he didn’t saw the additions, plus, plus, plus… He signed off on all the Work Package Contracts (WPC) for RM15.8 billion. This was him sitting in the committee; he chaired it, he signed off.

“But there are many packages. He probably didn’t add up all the numbers to get RM15.8 billion. He just signed off each as they are, so he was probably just telling half-truths.

“But it shows the complete lack of management control over expenses for these megaprojects,” said Pua, who is also the special officer to Finance Minister Lim Guan Eng.

He was speaking at a forum with his constituents in Petaling Jaya today.

The previous administration had said that the LRT3 project would cost RM9 billion to construct, and an additional RM1 billion for land acquisitions.

However, the new Pakatan Harapan-led administration announced that the cost of the 37-kilometre long rail line had since ballooned to RM31.65 billion.

The Transport Ministry noted that project operator Prasarana had placed orders for specifications “well above necessary requirements” and had thus requested RM22 billion in additional funding.

The government has since announced that the LRT3 project will continue after slashingthe total cost to RM16.63 billion.

Cost-cutting measures included reducing the size and number of train cars and train stations, and cancelling a two-kilometre tunnel and underground train station.

Najib had disputed the figures, saying, “No contracts worth RM15 billion or RM31 billion were signed. In fact, the letter seeking for the additional RM22 billion never even reached me and I was the finance minister then.”

Pua had previously rebutted Najib saying that he cannot plead ignorance because he had chaired the tender committee meetings for the project, where each of the WPCs was signed.

Selangor palace denial

Meanwhile, Pua described in the forum how he discovered that the cost of the LRT3 project had been inflated well beyond its original RM10 billion price tag.

He said the LRT3 project was among the first projects the Ministry of Finance reviewed because only nine percent of the project had been completed, meaning that there was still time to implement changes to the project.

This was when the Prasarana letter requesting an additional RM22 billion was discovered, he said, which was strange since the project was supposed to cost only RM10 billion.

It turned out the RM10 billion figure did not include fees for its project delivery partner, reimbursables, overhead, and other times.

In addition, he said Prasarana had changed the specifications for the project.

Among others, the size of the LRT stations was brought up to the larger MRT-like standards.

The original specifications also called for about 40 sets of two-car trains, he said, which feasibility studies state would have been sufficient to meet demand until 2040.

However, when Prasarana called for a tender, they asked for four-car trains instead and subsequently increased it to six-car trains.

“(This) effectively tripled the capacity to last you until the next century. Of course, by then these cars would be dilapidated,” he said.

He said Prasarana had also justified building a two-kilometre long tunnel in Shah Alam by saying that the Selangor Palace is against having the rail line built above-ground in the city.

“So, they put in this tunnel. And then later we found out - the Istana (Palace) approached us directly - to tell us, ‘No such thing. We never asked for a tunnel’,” he said.

Not only had Prasarana had decided to build a tunnel, he said, but also an underground station in the tunnel, which would be located at Bulatan Melawati.

Pua said the area was only a traffic junction with no one living nearby, and feasibility studies indicate few people would walk to the station.

This is why both the tunnel and the Persiaran Hishamuddin station were cancelled outright rather than being deferred, he added.

 - Mkini