KUALA LUMPUR: The Works Ministry is taking a serious view of the 13 findings in the 2026 Auditor-General’s Report on Phase 1 of the Sabah Pan Borneo Highway project and will use them to strengthen project delivery, says Datuk Seri Alexander Nantan Linggi (pic).
The findings would also guide in the implementation of other federal development projects, the Works Minister added.
Nanta said the audit findings included project delays, cost increases, weaknesses in planning and non-compliance with regulations and guidelines.
He said as of Aug 25, only four of the 35 work packages under Phase 1 of the Sabah LPB had been completed, while the remaining 31 packages are still under implementation, with physical progress at 89.01% for Phase 1A, 37.58% for WP09 and 23.96% for Phase 1B.
"Project delays were caused, among others, by the change in the implementation method from the Project Delivery Partner (PDP) model to the conventional method, the Covid-19 pandemic, land acquisition issues, utility relocation and contractor performance.
"The termination of the PDP model in 2019 also necessitated a new procurement process before 15 Phase 1A contractors were awarded the packages in 2021," he said in a Facebook post late Wednesday (Oct 7).
Nanta said the cost increase for Phase 1A was due to the extension of the project period, changes in scope, construction contract prices, as well as unresolved land and utility issues.
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However, the current site readiness status had reached 99.79% for Phase 1A, 96.8% for WP09 and 79.435 for Phase 1B.
He said the ministry has also directed its officers and the Sabah Public Works Department (JKR) to attend administration and contract management courses with the Construction Industry Development Board Malaysia (CIDB) and JKR Malaysia’s Centre for Excellence in Engineering and Technology (CREaTE) to strengthen their skills in preparing bills of quantities, cost determination and contract documentation.
In addition, he said the Sabah Pan Borneo Highway Steering Committee, established in November 2024, has continued to strengthen monitoring through its site visit programme.
He said Sabah Chief Minister Datuk Seri Hajiji Noor has also recommended that the committee be co-chaired by the ministry secretary-general and the State Secretary to enhance coordination among agencies. – Bernama
