PUTRAJAYA’S success in renegotiation a cheaper arrangement for the China-backed East Coast Rail Link (ECRL) further proves that Pakatan Harapan’s leadership is able to “defend the welfare of the people” without compromising on the country’s financial health, said Economics Affairs Minister Mohamed Azmin Ali.
Last Friday, Malaysia reached an agreement with Beijing to reduce the construction cost for Phase 1 and 2 of the ECRL to RM44 billion. The new cost is a reduction of RM21.5 billion from the original RM65.5 billion.
“The decision of the federal government to review and resume the ECRL project is the commitment of the government in defending the welfare of the people through savings of more than RM21 billion,” Azmin said in a statement today.
“This fact proves that a leadership with integrity, firmness and one that practises good, clean and responsible governance can avoid leakages in the country’s financial management.”
Under the new deal, the train route will be 40km shorter and includes stops in Negri Sembilan. The previous route through Bentong has been scrapped.
Azmin said that the final decision also took into consideration the fact that the original route would have tunnelled through the Gombak Selangor Quartz Ridge, which has been listed as a potential Unesco World Heritage site, along with Taman Negara, Royal Belum in Gerik, Perak and the Forest Research Institute Malaysia.
He said with the new route, the ridge, which is a “pure quartz dyke”, could now be preserved, on top of cost savings for the government.
“The state government is aware of the opposition and complaints put forward by local residents as the old ECRL path would cross through forest reserves at the border of Selangor and Pahang, traditional villages, and residential and commercial areas,” Azmin said.
“This would have also led to high development costs, as there would be a need to develop through forests as well as take over dense commercial and residential areas.
“As such, I am confident that this decision does not only guarantee a high quality of social infrastructural development for the people, but will also spearhead economic growth, create jobs and open up other economic opportunities in the value chain.
“Apart from that, the determination of the government to continue this project will raise the socioeconomic standards, and increase human and logistical connectivity,” he said.
Shortly after the May 9 general election last year, Prime Minister Dr Mahathir Mohamad suspended the project, citing its exorbitant cost and “unfair” terms that his predecessor Najib Razak had signed off on.
Putrajaya had hinted it would cancel the project, but changed its stand when faced with a huge cancellation fee. – April 16, 2019.
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