East Coast Rail Link civil works tenders to be called in Q4

  • Construction
  • Friday, 02 Aug 2019

ECRL July MRL July19

KUALA LUMPUR: Malaysia Rail Link Sdn Bhd (MRL) will call for tenders for the civil works packages of the 640-km rail network East Coast Rail Link (ECRL) in the fourth quarter of 2019.

MRL said on Friday 331 Malaysian construction companies have been shortlisted as potential tenderers for the civil works packages after the recent pre-qualification exercise.

It said the pre-qualification committee comprised representatives from MRL and China Communications Construction Company Ltd (CCCC).

The shortlisted 331 or 25.1% of 1, 321 Malaysian construction companies followed detailed evaluation of each entity’s track record, financial capabilities, technical personnel and plant & equipment.

“From the 331 construction companies that qualified as potential tenderers, the CIDB G7 category made up the largest number with 164 entities followed by CIDB G4 with 69 entities.

“The remaining came from CIDB G3 with 45 entities while G5 and G6 categories made up 33 entities and 20 entities respectively.

“The pre-q evaluation committee has also identified 234 or 70.7% of the 331 construction companies that were shortlisted to be Bumiputera companies, ” it said.

All shortlisted companies are expected to be notified in writing before end-August 2019 by CCCC. CCCC is the engineering, procurement, construction, and commissioning (EPCC) contractor for the 640-km ECRL project.

To recap, a supplementary agreement was signed between MRL and CCCC on April 12 to pave the way for the resumption of the ECRL project.

The improved deal, amongst others, saw the construction cost of the ECRL reduced to RM44bil from RM65.5bil. The portion for local participation of the ECRL civil works rose to 40% from 30%t previously.

MRL explained that prior to the suspension of the ECRL project, there were local companies consisting of suppliers, contractors, and consultants that were appointed by CCCC for preliminary works on the ECRL. These contracts were suspended following the suspension of the ECRL project on July 3, 2018.

MRL CEO Datuk Sri Darwis Abdul Razak, tender packages to be issued for the 40% civil works (excluding tunnel works) would first involve the 223-km stretch from Dungun to Mentakab where the rail alignment had been finalised.

Tenders for local contractors would continuously be called throughout the construction period of the ECRL.

He said tenders would be called once both the re-alignment from Kota Bharu to Dungun as well as new Southern alignment between Mentakab and Port Klang have been firmed up, noting that completion of the ECRL by end of 2026 also hinges on the effective participation of local contractors in ECRL’s civil works which includes earthworks, foundation works, structural works, soil improvement works and road works.

MRL, a unit of the Minister of Finance Incorporated, is the project and asset owner of the ECRL.

The rail network is scheduled for completion by December 2026 and expected to link Kota Bharu to Putrajaya in approximately four hours.

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