The Star Malaysia

East Coast Rail Link (ECRL)

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Cost: RM81bil Railway link infrastruc­ture project connecting the East Coast Economic Region Status: Suspended

The East Coast Rail Link (ECRL) project, which spans from Port Klang to Gombak and onwards to Kuantan and Pengkalan Kubor, has been suspended due to its escalating price tag.

The project started off with an initial estimate of less than RM30bil in 2007. When the previous government signed the agreement with China Communicat­ions Constructi­on Company Ltd (CCCC), the project’s main contractor, in 2016, it was for only Phase 1 – from Gombak to Wakaf Baru in Kelantan – tagged at RM46bil.

The cost of Phase 2, from Gombak to Port Klang, was another RM9bil.

On May 13, 2017, the previous government signed an additional agreement with CCCC to carry out Phase 2 of the project.

Subsequent­ly, the Cabinet approved the northern extension of the project from Wakaf Baru to Pengkalan Kubor in Kelantan for the value of RM1.28bil. On Aug 23, 2017, the Cabinet further permitted the upgrading of the ECRL to a double-tracking project, costing an additional RM10.5bil.

According to these figures, the basic cost of the project amounts to about RM66.78bil. However, it does not include the land acquisitio­n cost, interest, fees and operating costs - bringing the final amount of the ECRL to a staggering RM81bil.

The Finance Ministry announced the project was suspended on July 3, adding that the 688-km rail project would only be continued once the cost has been lowered to a financiall­y-viable level.

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