The Cabinet must delay approving 8 highways raising the toll rate

DAP National Deputy Chairman and MP for Kepong Dr Tan Seng Giaw calls on the Federal Government Cabinet to delay giving permisson to concessionaires of eight highways from raising the toll rate by 10%, as the economic slowdown becomes worse.

Dr Tan makes the call on 23.12.2008 as the eight concessionaires are considering raising the toll rate.

Apparently, these concessionaires had intended to up the toll rate on 1.1.2008. Because of various factors, especially the General Elections on 8.3.2008, the toll hike has been put off. The Government is said to give compensation of RM350 million. We hope the government can confirm this as well as the eight highways involved. Are they New Klang Highway, Penang Bridge, North South Highway (Seremban-Port Dickson and Kulim-Butterworth, the Second Link between Malaysia and Singapore, Ampang-KL Highway and KL West Highway?

When the contracts between concessionaires and the government are made public on 1.1.2009, the people will know the details of the agreement including the rate of toll increase and the compensation to be paid if the government refuses the t0ll hike. If the Government lets the concessionaires do as they like, what is the burden on the people?

Now, the world economic recession, especially that in the United States of America, is affecting Malaysia. Next year, the economy will be worse. Hence, the Cabinet must consider postponing its decision to let these concessionaires increase the toll rate. Obviously, there must be negotiations between the Government and the concessionares to find an amicable solution.

Dr Tan Seng Giaw