Big news for Klang Valley residents. Prime minister Datuk Seri Ismail Sabri Yaakob has announced that toll rates on highways operated by four concessionaires will not be raised until the end of their concession period, and this will be done via the restructuring of the four companies.

The government has agreed to the proposed restructuring of the companies that manage the Kesas Highway (Shah Alam Expressway), Smart Tunnel, Sprint Highway and Damansara-Puchong Highway (LDP).

The PM said the decision was made after a detailed study covering all aspects, namely the burden on highway users, the government’s obligations in line with the concession agreements, as well as the government’s financial burden, Bernama reported.

Normally, if toll prices remain unchanged, the government will have to pay compensation to the concessionaires, but Ismail Sabri says that the restructuring of the four companies was expected to reduce compensation cost from January 1 this year until the end of the concession period, and enable the government to save at least RM4.3 billion in toll subsidies.

He added that the restructuring was implemented in line with the government’s main principle and objective, which was to alleviate the burden of Keluarga Malaysia, and does not involve financial implications to the government. Details on the restructuring of the companies will be elaborated by senior works minister Datuk Seri Fadillah Yusof later, the Bera MP said.

“This is the government’s continuous effort to ensure that Malaysian families are not burdened, especially with the increase in toll rates as stipulated in the concession agreement. The savings from this move can be utilised for the country’s infrastructure development programme and other facilities that need to be given priority for the wellbeing of Malaysian families,” the PM said in a statement today.