THE cost of building the Penang undersea tunnel and three major highways will not change from RM6.3 billion, said Consortium Zenith Constructions Sdn Bhd boss Zarul Ahmad Mohd Zulkifli.

The financing model for the entire project will also remain unchanged, even though Pakatan Harapan is now the federal government, the CZC chairman said.

“You think the federal government will finance the (infrastructure) project? I don’t think so,” he said at CZC’s Hari Raya open house earlier today.

“The former Penang chief minister is now the finance minister. He is a very ‘kedekut’ (stingy) man.

“He will never concede to any kind of payment unless it is totally necessary,” Zarul said, referring to Lim Guan Eng, who led the Penang government for 10 years before moving to Putrajaya after the May 9 polls.

Zarul’s description of the newly-minted finance minister drew laughter from reporters. He said they were free to quote him.

“He (Lim) can take my remark either way. There is freedom of speech now.”

He said in the past when speaking to the media, there were certain things he could not say.

“Now I can answer…I know I won’t get into trouble by making whatever statement I want to make.”

Earlier, Zarul commented on CZC’s graft scandal and the Malaysian Anti-Corruption Commission’s probes into it over the tunnel and highways projects when the federal government was controlled by Barisan Nasional.

In the run-up to the 14th general elections in May, the project came under attack by BN politicians. In January, MACC began raiding the offices, Penang government departments, CZC and its joint-venture partner Ewein Bhd, and others.

Many, including Penang government excos and consultants involved in the project, were called up for statements. Zarul himself was remanded to assist investigations.

Among the questions raised against the projects was the land swap payment to CZC. The Penang government provided no funding for the project, except through a land swap.

It was reported that Penang gave CZC two plots worth RM208 million that had been reclaimed under the Seri Tanjung Pinang 1 (STP1) reclamation. CZC is working in a joint-venture with developer Ewein to develop the plots.

CZC will also receive 20.2ha of reclaimed land from the subsequent STP2 project off Persiaran Gurney as payment for the tunnel and highways project.

Zarul told reporters today that CZC had no financial issues over its RM26.5 million paid-up capital.

He said most of the financing would come from banks, so if the paid-up capital was too high, CZC would go bust just paying interests. – July 2, 2018.