Success of MRT due to direct funding

Govt had better control over the construction of SBK line, says Najib

KUALA LUMPUR: The success of the fully operational MRT Sungai Buloh–Kajang (SBK) line was the result of direct funding by the Government, instead of relying on concessions, said Prime Minister Datuk Seri Najib Tun Razak.

He pointed out that the project was not only finished on schedule, but with RM2bil saved from the original construction cost.

Directly funding the SBK lines construction allowed the Government to better control and monitor the project, he said.

“A good structure of governance, funding and implementation were clearly the factors that led to the success of the MRT project,” he said in response to a question by Datuk Liang Teck Meng (BNSimpang Renggam).

He also credited the project’s success to the MRT executive committee, which enabled prompt decision making on issues during construction.

Among those in the MRT exco were representatives from the Malaysian AntiCorruption Commis sion and National Audit Department.

This ensured the project’s transparency and integrity, he said.

This structure would be followed in future government projects, he said, for efficient implementation with minimal bureaucracy.

The Prime Minister also said separating and removing the project funding responsibility from project owner MRT Corp was a good decision.

Funds for the project were managed by DanaInfra Nasional Bhd through the issuance of sukuk, and a project delivery partner (PDP) was also appointed for this project.

This was important as the PDP not only monitors the performance of all contractors but also had to bear the associated risks, like penalties if the project was not completed on time or if costs run higher than expected, he said.

Najib said there were 300 feeder buses operating within 5km radius from all MRT stations which allowed ease of access for those not living nearby.

They can also use the Park and Ride service at 14 MRT stations, and once Line 2 and Line 3 are done, the Government expected 160,000 cars fewer on the city’s roads, he said.

To a supplementary question by Dr Ong Kian Ming (DAPSerdang) on the total cost of the project, Najib said there was no room for dispute as everything was carried out in a transparent manner.