KUALA LUMPUR: The implementation of the Multi-Lane Fast Flow (MLFF) toll system will not totally solve traffic congestion along the highways, says the Public Accounts Committee.
This was among the findings of the Parliamentary bi-partisan committee following it's probe into the feasibility of the MLFF which has been deadlocked in the project's implementation since its introduction in 2021.
"The Works Ministry and the Malaysian Highway Authority (LLM) must conduct a more detailed cost benefit analysis study because the implementation of the MLFF will involve estimated costs of RM3.46bil," the PAC said in a statement on Tuesday (Feb 18).
The MLFF was to have replace toll booths with gantries and automated payment mechanisms, similar to Singapore's Electronic Road Pricing system.
In December 2023, Prime Minister Datuk Seri Anwar Ibrahim said the MLFF project would be reviewed to ensure transparency and that is was done in accordance with procedure.
The PAC began it's probe into the MLFF project last February following protest by 32 highway concessionaires over the move to directly award the RM3.46bil project to a private company.
The concessionaires claimed that the project was awarded to the company without consulting stakeholders who would have to foot the bill for the implementation of the MLFF.
The PAC found that the Cabinet had approved the appointment of KJS Sdn Bhd and SEP Snergy (M) Sdn Bhd for the project on Dec 17, 2021, to negotiate with the highway concessionaires over a three-year period ending Dec 16 last year.
However, the letter of intent (LOI) was only issued on Jan 22, 2022, with the agreement inked on Nov 17 the same year.
Although the agreement was inked on Nov 17, 2022, the PAC said that agreement had automatically terminated on Dec 16, 2024.
The PAC also found that the appointment of KJS-SEP Snergy as the Central Tolling Company (CTC) was against the terms under the concession agreements which provides exclusive toll collection to the highway concessionaires.
"The Works Ministry and LLM must make a final decision as to the direction of the MLFF following the termination of the agreement," it stated.
The PAC also said that the Works Ministry must get advise and feedback from the Finance Ministry and the Public Private Partnership Unit under the Prime Minister's Department.
The committee said this was necessary to ensure the MLFF project is implemented accordingly.
