RM110 billion for KL-Singapore HSR is an estimate, agreement allows for cancellation – Azmin Ali

RM110 billion for KL-Singapore HSR is an estimate, agreement allows for cancellation – Azmin Ali

According to economic affairs minister Datuk Seri Azmin Ali, the RM110 billion cost for the Kuala Lumpur-Singapore High Speed Rail (HSR) project was just an estimate, and the final figure could be lower.

In a report by The Sun, Azmin said the higher figure provided was due to the many hidden costs that were not disclosed previously. During a Parliament sitting recently, Datuk Seri Najib Abdul Razak (BN-Pekan) asked how the federal government arrived at the RM110 billion amount, adding that the open tender process for the project would only close on Dec 28.

“As I mentioned earlier, the RM110 billion is the estimated costing after calculation by the Finance Ministry, and not the final cost after an open tender. Of course, in any open tender process, there will be savings from the biddings made. Which is why we in PH (Pakatan Harapan) have always asked that all projects be done with an open tender,” he replied.

RM110 billion for KL-Singapore HSR is an estimate, agreement allows for cancellation – Azmin Ali

On a related note, MCA deputy president Datuk Seri Wee Ka Siong (BN-Ayer Hitam) also questioned the sum and said the project is estimated to cost between RM55 and RM74 billion instead. In a reply, Azmin said, “in many cases (relating to the project), there are many hidden costs that were not revealed by the then BN (Bariasan Nasional) government. And PH felt responsible to reveal the overall costing.”

Azmin also said noted there was a clause within the HSR bilateral agreement with Singapore which allowed either country to pull out of the project. “The agreement that was signed previously provides a clause for any of the two nations to cancel the project. However, there are several terms that needed to be abided with,” he said.

However, he did not reveal if any compensation must be paid to Singapore if Malaysia opts out of the deal. Previously, prime minister Tun Dr Mahathir Mohamad had said the HSR project would be shelved for now, and a RM500 million penalty would have to be paid if plans to build the HSR were dropped.

Looking to sell your car? Sell it with Carro.

10% discount when you renew your car insurance

Compare prices between different insurer providers and use the promo code 'PAULTAN10' when you make your payment to save the most on your car insurance renewal compared to other competing services.

Car Insurance

Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard’s strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • Ab Kudus on Jul 19, 2018 at 12:02 pm

    Kuddos to DS Azmin. Superb competency, accountability and transparency to ensure Rakyat hard earned ringgit not go to waste..

    Like or Dislike: Thumb up 9 Thumb down 13
    • Anti Crony Consultants on Jul 19, 2018 at 5:10 pm

      It’s really ridiculous to note the price costing for public projects can be so inflated against logic. Looks like this HSR made with gold railways with such costing!

      Therefore Azmin should bring all consultants groups, Engineer associations IEM, Architect chapters PAM, quantity surveyors, land surveyors, property valuers Etc to pledge their integrity (Aku-Janji with MACC/SPRM) publicly and swear to rakyat never over-inflate their pricing and cohoot with cronies to propose projects designed to loot national coffers.

      Like or Dislike: Thumb up 13 Thumb down 0
      • Azmin on Jul 19, 2018 at 5:46 pm

        Betui. Even ketua pembangkang needs his ‘assistant’ to speak for him in parliament. Dunno what the previous administrations are doing.

        Like or Dislike: Thumb up 15 Thumb down 5
    • kingslayer on Jul 20, 2018 at 10:49 am

      Agreed with Anti Crony Consultants.

      Before winning, all projects they can make much lower cost than the Gov (now Oppo). After becoming Gov, all projects seems cost ballooning high? Suddenly all their maths haywire right after soaking power? How la like this?

      Furthermore, this as joint estimation with Singapore. Are Gov implying that Singapore also hanky panky with the cost?

      If there’s hidden cost, explain to the rakyat. Tell us BN Gov bullshitting us with having this (hidden) A+B+C+D cost so everything is transparent.

      Plucking numbers and vague statements should be the past already. MalaysiaBaharu maa!!!

      Like or Dislike: Thumb up 7 Thumb down 11
  • k.bhar on Jul 19, 2018 at 12:06 pm

    Gomen bashings.. In 3, 2, 1…

    Like or Dislike: Thumb up 10 Thumb down 5
  • U-Tun on Jul 19, 2018 at 12:17 pm

    LHL must be in cohort with DSN to hide the actual costs. Shame on both..

    Like or Dislike: Thumb up 1 Thumb down 7
    • Current gov Kawanfied but persalahkan previous gov. Hahaha! Deflect the blame while makan makan makan.

      Like or Dislike: Thumb up 16 Thumb down 5
  • Greasely Pedoman on Jul 19, 2018 at 12:27 pm

    Suggest every ex-ruler members start taking o-levels mathematics tuition, sad to see the world is seeing them as uneducated smart pretenders.

    Like or Dislike: Thumb up 4 Thumb down 5
  • Ahmadjr on Jul 19, 2018 at 1:44 pm

    Azmin cakap nampak kemas dan cerdik. Ini nobita cerita jumpa fail merah lah, ada khabar angin singapore offer kurang separuh kos lah macam2. Ko cerita benda yang ada fakta konkrit je la macam azmin ni

    Like or Dislike: Thumb up 13 Thumb down 5
    • Yeast slum on Jul 20, 2018 at 5:21 am

      Isu air lebih kritikal weii

      Like or Dislike: Thumb up 1 Thumb down 0
    • kingslayer on Jul 20, 2018 at 10:52 am

      x nampak pun fakta nya? cuba kata hidden cost. WHat hidden cost? Explain lah.. Takkan gullible semua rakyat telan aje bulat2..

      kena lebih kritikal, sokong mana betul, x betul kita betulkan sama2.. tp kena lebih transparent dgn maklumat so rakyat can make informed decisions…

      Like or Dislike: Thumb up 5 Thumb down 1
  • AutoFrenz (the original) on Jul 19, 2018 at 2:00 pm

    Sikit2 hidden costs…we the rakyats are do bored with all your excuses pakatan…just proceed with it and all the other projects..if BN can do it why cant you… whats wrong with you guys..hello just go to work..honeymoon is over

    Like or Dislike: Thumb up 25 Thumb down 7
    • Pengundi Bijak on Jul 19, 2018 at 5:16 pm

      Whoever design, calculate the initial project must be held accountable too as to who gave them the order to inflate the project costings.

      Imagine BN won only God knows how many trillion more debts must be suffered by next generation of rakyat! Syukurlah PH menang!!

      Like or Dislike: Thumb up 9 Thumb down 18
    • 12yrsold john on Jul 20, 2018 at 11:17 am

      Bro, $$$ don’t fall from the trees la. We are talking billions here. U want to borrow from the Arabs or China without string attached is it ?
      With this kind of magnitude(billions), better be safe than be sorry ya. Just saying…

      Like or Dislike: Thumb up 1 Thumb down 1
  • Too much of hidden cost then better cancel it, beyond our ability to serve the debts, don’t burden out next generation.

    Like or Dislike: Thumb up 8 Thumb down 4
    • kingslayer on Jul 20, 2018 at 10:55 am

      Demand the details do the hidden cost. They know there are hidden cost so they must inform the rakyat what it is all about. Be transparent. Rakyat should no longer having similar mentality as prior gov telan everything, the hook, the line & the sinker!

      Like or Dislike: Thumb up 4 Thumb down 1
      • Ollie on Jul 20, 2018 at 1:55 pm

        Suddenly want transparency? Got some wahyu is it? Or cos the dedak train has run out of money? The past 10 years under your boss, which project has been transparent? Now, the details are coming out why are you shouting like a mad donkey? The costs are for the total lifecycle of the project, including interest and long-term change which will be made available. Not even 2 months already becoming mad donkey… find some dedak to eat bro, you sound hungry and foaming at the mouth.

        Like or Dislike: Thumb up 2 Thumb down 3
      • It was already answered in Parlimen debate. Azmin did answer. BN’s price is only covering construction cost. Nothing else. Consultant fee, land acquisition and loan interest rate all not included in BN’s figure . Those stuff also cost money.

        Like or Dislike: Thumb up 6 Thumb down 1
        • Bukan zombie on Jul 21, 2018 at 2:33 am

          Bro, loan interest mana Kira sekali. Itu mcm kalau beli myvi Rm50k u ckp orang u beli Rm50k or u beli Rm65K Kira sekali interest loan bank…logic ka

          Like or Dislike: Thumb up 1 Thumb down 4
  • Suddenly now he say its only an estimate. For all we know, he simply bump up the estimate by plucking the number from the sky.

    Like or Dislike: Thumb up 22 Thumb down 6
  • Anonymous on Jul 19, 2018 at 11:57 pm

    Buat la kerja tu Kerajaan Pakatan Harapan. Everyday you do press conference, when you have the time to read through all the agreements etc. Today came in office, tomorrow you announce cancel projects, you really managed to read through all the terms in the agreement overnight? Or your lawyers are super intelligent and brilliant, probably can read through, assess and analyse all the terms in their dreams? Just cutt off these kind of bullshits Pakatan, don’t try to please the rakyats with all of your blardy nonsense. Do your job.

    Like or Dislike: Thumb up 10 Thumb down 1
  • Huehuehue on Jul 21, 2018 at 9:46 am

    Over estimate cost.
    Tender comes in at half the price.
    ????
    Take all the credit.

    Like or Dislike: Thumb up 0 Thumb down 0
 

Add a comment

required

required