Sabah accepts decision to axe pipeline project

  • Nation
  • Monday, 27 May 2019

KOTA KINABALU: Despite lamenting that it had not been told earlier about the decision to terminate a contract related to the Trans-Sabah Gas Pipeline (TSGP), the Sabah government says it accepts the Federal Government’s move to do so.

“Those were our concerns; that we were not informed on its implementation or cancellation,” said Sabah Chief Minister Datuk Seri Mohd Shafie Apdal.

On Saturday, Finance Minister Lim Guan Eng said the engineering, procurement, construction and commissioning contract for two pipelines contracts as well as other associated contracts estimated at RM10.4bil were terminated.

The projects were TSGP and the Multi-Product Pipeline.

Speaking to reporters yesterday after visiting the Sembulan Rama­dan bazaar, Shafie said they were aware that the gas pipeline project would benefit Sabah, including creating downstream industries in Kota Kinabalu, Sandakan, Tawau and Lahad Datu.

“We will leave it to the Federal Govern­­ment.

“The state’s priority now is to ensure that the Pan Borneo High­way is completed as soon as possible, a dam in Papar must be realised and expansions like to the Sandakan and Tawau airports be done,” he said.


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