The budget ceiling for the LRT Mutiara Line LRT project in Penang has been revised to RM16.8 billion due to current market conditions, and not because of uncontrolled cost escalation, stated MRT Corp, reported The Star.
The Penang LRT Bayan Lepas project was originally estimated in 2016 to cost RM10 billion, based on the projected alignment from Silicon Island to Komtar, MRT Corp CEO Datuk Mohd Zarif Hashim previously said.
“When the Federal Government took over the project in early 2024, it was renamed the LRT Mutiara Line and its alignment extended from Macallum to Penang Sentral. This expanded scope raised the cost to RM13 billion, enabling the line to serve a wider catchment area,” MRT Corp said in a statement.
The budget ceiling includes around RM2 billion for land acquisition, while RM6.8 billion will go towards Civil Main Contract Package 2, the Sungai Nibong depot, systems turnkey contracts, and project management costs, MRT Corp stated. “MRT Corp reiterates that the revised ceiling does not represent uncontrolled cost escalation, but reflects prevailing market conditions since the last eight years,” it said.
At the start of the Mutiara Line’s main construction phase in July this year, Zarif said that the inclusion of inflation adjustments, land acquisition, and the construction of a five km bridge that will link Komtar to Penang Sentral in Butterworth would typically have pushed costs to RM18-19 billion, however cost-optimisation measures have saved the government RM2 to RM3 billion.
Looking to sell your car? Sell it with Carro.
So MRT doing LRT job is that considered upgrade or downgrade but this also included sea crossing.
Ady getting 3rd bridge still got cheek to ask for LRT to mainland, meanwhile same DAP mentris reject the same LRT option for Langkawi just bcoz they are under PN control. DAP is far worst than the worst of BN!
langakawi small population, miniscule GDP , already enjoy duty-free status, still got the cheek to put themselves on same level as glorious DAP-governed silicon valley of SEA ?
By just looking at the map why not connect Mainland to Gurney area as the shortest sea crossing?
Agree bro dunno what they thinking,
Yes bro. Agree with u
Cannot due to penang port
Anwar menang rasuah hapus
what is the assurance that the rail lines will be utilized by at least 50% of the penangites (so that it can self sustain)? if you want to build the lrt system, better use the penang state own money as this project only benefitting a single state. We, citizens from the rest of Malaysia don’t want our tax money to be channeled to things that we will never use.
didn’t hear you protest even when Mrt and Lrt and smart tunnel and klcc and SIC and all the other mega projects was exclusive only to klang valley. why the citizens of all other states didn’t rise up in protest back then?
Say that to PLUS and government, other people celebrate their holiday, why want to do free toll for that period? I never leave my island also. Why use my tax contribution for something that I don’t use?