SUBANG Jaya mayor Datuk Amirul Azizan Abd Rahim (pic) is “very positive” the Selangor Intelligent Parking (SIP) system will benefit Subang Jaya City Council (MBSJ), and is awaiting finalisation of contract details before implementation.
“MBSJ was the second council in Selangor to sign the letter of acceptance on this deal.
“Selayang Municipal Council (MPS) signed theirs on June 30, we signed on July 1.
“The signing of the letter of appointment involved three parties – MBSJ, Rantaian Mesra and Selmax,” said Amirul Azizan when asked to comment on Selangor government’s decision to privatise on-street parking across the state, starting with four local councils.
Rantaian Mesra Sdn Bhd is a subsidiary of Menteri Besar (MBI) Selangor (Incorporated), while Selmax Sdn Bhd is the concessionaire believed to be involved in the tripartite agreement.
“The agreement (on SIP) is yet to be finalised and signed; we only issued a letter of appointment,” said Amirul Azizan.
“The details of the contract are still under discussion.
“We are awaiting a draft of the contract for us to study and for contract negotiations to be called.
“We will finalise (the deal) by signing the contract.”
The mayor added that he was scheduled to have a meeting with Selmax to hear the details, but was unable to reveal more about the agreement.
When asked about his expectations for the deal, such as revenue, Amirul Azizan said MBSJ had set a baseline of RM92mil for 10 years.
“That means MBSJ will be getting RM92mil over 10 years if we don’t go ahead with the privatisation of on-street parking.
“With the privatisation move, we are setting a baseline revenue of RM92mil over 10 years, but it would be good if we could get more.
“We understand that there may not be a revenue of RM9.2mil during the initial year, but we expect the amount to increase in subsequent years.”
Amirul Azizan said the SIP system would also help MBSJ with data acquisition, such as the percentage of motorists that pay parking fees and compliance rate by zone.
“I am very positive (about this tripartite agreement).
“People are talking about the 50:40:10 ratio.
“There is nothing wrong with 10% going back to the state government and we have no problem with that,” he said, referencing previous reports that the SIP agreement would see 50% of the parking fee collection going to the private concessionaire, 40% to the council and 10% to MBI Selangor.
The mayor was speaking after chairing MBSJ’s July full board meeting at the city council’s headquarters in USJ5, Subang Jaya.
Selangor Mentri Besar Datuk Seri Amirudin Shari had announced on July 29 that the SIP scheme would proceed only with three local councils starting Aug 1, namely MPS, MBSJ and Shah Alam City Council (MBSA).
“To date, three local councils have accepted and will implement (the smart parking scheme), while Petaling Jaya City Council (MBPJ) has delayed it,” he was quoted as saying during an event in Klang.
MBPJ had previously objected to the agreement.
However, Petaling Jaya mayor Mohamad Zahri Samingon later said MBPJ had given conditional backing, emphasising that any deal must guarantee the city received parking revenue equal to current levels, if not more.
