5:14 pm - Saturday September 23, 2017

Cost of three paired tunnels too high

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The DAP Government of P. Pinang paid a consultation fee of RM177.5 million

 

The Ministry of Works and the Board of Engineers Malaysia (LJM) have admonished the Penang DAP Government, which was found to have paid excessive consultation fees for the construction of the three road tunnel project, to the tune of RM177.5 million, in addition to not abiding by guidelines set in carrying out the project.

Its minister, Datuk Seri Fadillah Yusof described the fees and expenditures made by the state government as double the estimate. He also advised the Chairman of the Penang Local Government, Traffic Management and Flood Mitigation Committee, Chow Kon Yeow not to mislead people and provide a more thorough explanation on the payments made in modern road construction industry, which is also highly regulated.

“Through input from LJM, our ministry has analysed Kon Yeow’s feedback in his letter dated 24 June 2017, a day before the Aidilfitri celebration,” he said in a statement here today.

Kon Yeow had earlier stressed that the detailed design fee for the three 20-kilometer trunk road paid by the state government was not excessive in price, and comes with 10 additional components. Fadillah added that many of the 10 components described by Kon Yeow are in fact sub-components within the Detailed Environmental Impact Assessment (DEIA), the feasibility study or detailed design.

“Three of the 10 components are under the jurisdiction of LJM as well as civil and structural works. Things like the design of land tunnels and mechanical and electrical designs are also fees managed by LJM,” Fadillah said.

Based on the information given by LJM, Fadillah mentioned that it was found that overall pre-construction consultation payment totalled RM208.7 million, and this already includes RM31.2 million allocated for feasibility studies and RM177.5 million for detailed design.

“The Ministries and LJMs are of the opinion that the total amount paid exceeds the guidelines and is excessive,” he said.

Filed in: Nasional, Topik Pilihan

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