[ad_1]
PETALING JAYA: The Ministry of Transportation will reopen the Klang Valley Double Tracking (Phase 2) or KVDT 2 for bidding after it found that the project costs much less than previously cited.
Transport Minister Wee Ka Siong said that the Pakatan Harapan government had previously agreed that Dhaya Maju – LTAT Sdn Bhd would continue the project at reduced cost.
The contractor had agreed to reduce the cost by 15% to RM4.475 billion from RM5.265 billion.
Wee said that a consultant assigned by the Opus ministry, a subsidiary of Khazanah Nasional Bhd, had said in October 2018 that the actual cost of the project was RM3.398 million.
But this information was never available to the Cabinet at the time. Wee said.
“After taking into consideration the results of extensive study and research, the ministry has determined that the current cost of the project is overstated.
“In accordance with this, the Cabinet of Perikatan Nasional has agreed that it is unsustainable to continue with the implementation of the project based on direct negotiation,” he said in a statement.
Wee continued to criticize the previous administration, saying that it was now prudent to reopen the bidding process through an open bidding system following proper procedures, “rather than direct negotiation as previously done.”
Initially, an independent verification consultant must be appointed before a new contractor is appointed through competitive bidding to carry out the scope of work required.
This was to shorten the construction period of the project from seven to five years.
The project spans 110 km and includes two KTM rail tracks, one from Salak South to Seremban and the other from a point between Kuala Lumpur Sentral and Angkasapuri to Port Klang.
