PAC wants YTL probed for RM24m marina on uninhabited island

The Public Accounts Committee has called on the Transport Ministry to investigate whether YTL Corporation Berhad can be held responsible for the construction of a RM24.27 million government-commissioned marina that has since been abandoned.

According to the PAC report tabled in the Dewan Rakyat today, Putrajaya initially had proposed to construct the marina in Lumut, but YTL had suggested it be built on the uninhabited Pulau Mentagor, which the company was initially planning to develop.

Pulau Mentagor is located southwest of Pangkor Island while in the east is Lumut. All the locations are in Perak.

Putrajaya subsequently agreed to the new location and the construction of the marina project on its behalf. The project was granted to YTL through direct negotiation.

"The Pulau Mentagor marina was completed on July 31, 2007 and began operations on March 22, 2010.

"However, the marina did not get reception from sailors, and no ship entered the marina throughout the operation period. The island was completely uninhabited," the report read.

The Transport Ministry representative, who testified at the PAC hearing, said the marina was initially offered to YTL, as it was the operator of the Pangkor Laut Resort and Pulau Mentagor.

It added that due to constraints faced by the Perak government, YTL eventually decided not to proceed with the development of the uninhabited island.

In December 2015, the federal government then tried to lease the marina to the Manjung Municipal Council for 32 years at an annual fee of RM160,000, which it rejected.

Following the change in federal government last year, the Transport Ministry in September 2018 reached out to YTL to ask if it was still interested in managing the Pulau Mantagor marina.

"A month after that, YTL informed that it was not interested in managing the marina," it said.

PAC chairperson Ronald Kiandee (above) said in a statement that he viewed the Pulau Mentagor marina issue seriously.

"The PAC urges the Transport Ministry to investigate YTL's culpability in the Pulau Mentagor public marina project," he said.

The Pulau Mentagor marina was one of 11, costing a total of RM323.16 million, which the cabinet had approved in November 2000 to encourage yachting and marine tourism.

Of the 11 marinas – which were completed between 2003 and 2009 – only five are still in operation, and are plagued by problems.

'Threat to national security'

The five operational marinas are in Kuching, Malacca, Batu Uban, Pulau Indah and Pulai Tioman.

Among the problems faced by these marinas, according to the PAC report, is the failure to ask foreign sailors docking at the marine to report themselves to the Immigration Department, which could pose a security threat.

Another three marinas – in Kuala Kedah, Tanjung Pengelih and Tanjung Gemok – are no longer operating as public marinas, and have been handed over to the Maritime Enforcement Agency (MMEA).

The marinas in Tanjong City, Muar and Pulau Mentagor are no longer operational.

The PAC said the failure of these marinas is in part due to the lack of a detailed feasibility study.

The Transport Ministry told the committee that in a bid to salvage the marinas, it is now seeking to privatise them.

Among the recommendations of the PAC was for Putrajaya's Public-Private Partnership Unit to expedite the request for proposals to this end.

It also called on the federal government to tighten control on the entry of foreigners at public marinas, and to consider the operational and human resource cost before proceeding with any development.

Malaysiakini has reached out to YTL for comment and is awaiting a response. - Mkini