AN RM2 billion project to build a 34km bus lane from Kuala Lumpur to Klang via the Federal Highway has been shelved, The Edge Markets reported today.

Quoting a source familiar with the project, the report said the bus rapid transit (BRT) development, which project tender was closed in May, had been suspended indefinitely.

“I can confirm that the Economic Council, which was chaired by the prime minister, decided to shelve the project indefinitely and give priority to other transportation projects such as the high speed rail and the mass rapid transit,” said the source.

The source said the decision to shelve the project was made made sometime in June or July “that’s why the BRT was not mentioned at all in the Budget 2018 announcement.

The source said the decision applied to the Kuala Lumpur-Klang BRT project only.

Land Public Transport Commission (SPAD) acting chairman Mohd Isa Abdul Samad, whom The Edge Markets contacted for comment, said he could not remember if the project had been shelved.

“I can’t recall (the decision) on the spot. Please check with my team.”

On the SPAD website, a notice indicated that the project tender, for which WCT Holdings Bhd and a foreign consortium partner had submitted an RM2 billion bid in May, was annulled.

“Tender for Kuala Lumpur to Klang BRT project is hereby annulled. SPAD would like to thank all the bidders that responded to this tender.”  

CIMB Investment Bank Bhd yesterday told its clients in a note that  SPAD “gave no explicit reasons for the cancellation (of the tender) nor did it provide any guidance on the tender’s status to interested parties”.

The KL-Klang BRT is to have 25 stations and integration with three main urban rail networks operated by Mass Rapid Corp Sdn Bhd, Prasarana Malaysia Bhd and Keretapi Tanah Melayu Bhd. About 1.9 million people in the Klang Valley, making up a projected daily ridership of 400,000, are expected to ride the busway.

Transport Minister Liow Tiong Lai said in April that the project roll-out was expected by 2019.

The government has announced 12 BRT projects, including the one that has been shelved, which costs would total an estimated RM18 billion at the conservative rate of RM84 million per km.

Of these, only the 5.4km Bandar Sunway BRT line has been completed. Costing RM634 million, or RM117 million per km, it was launched in June 2015. – November 24, 2017.