Dr M: Govt will conduct six-month study on RTS viability


  • Business
  • Thursday, 30 May 2019

– Bloomberg

KUALA LUMPUR (Bernama): The Government will conduct a six-month study on the Johor Baru-Singapore Rapid Transit System Link (RTS) project to determine whether it would be beneficial to the country, says Prime Minister Tun Dr Mahathir Mohamad.

"The previous government entered into some kind of agreement on several projects in Malaysia.

"We felt that the contracts were overpriced and there was some evidence of corruption and we decided long before we became the government to do away with the projects.

"However, doing away with the projects or cancelling them would involve very high compensation," he said at the Foreign Correspondents' Club of Japan in Tokyo, Japan on Wednesday (May 30).

Dr Mahathir said the present government had decided to reduce the cost of the projects and renegotiate with the contractors, such as the East Coast Rail Link (ECRL), where the government managed to slash RM21bil from the original cost.

"Now we also have other projects, which we may have to delay, either delay or reduce the scope or the cost. This is what we are doing, but we are doing through negotiations," he said.

Among others he said, Malaysia needs two years to decide on the Kuala Lumpur-Singapore High-Speed Rail (HSR) project.

"These are being settled amicably between the Malaysian government and the contractors of the previous government," added Dr Mahathir. – Bernama

 

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