ECRL to cost RM44b, PH saved another RM21.5b

By , in Business Economy Nation on . Tagged width: , , ,

KUALA LUMPUR, April 12 – East Coast Rail Link (ECRL) project has been signed between Malaysia Rail Link Sdn Bhd (MRL) and the China Communications Construction Company Ltd (CCCC) in a Supplementary Agreement costing only RM44 billion, a reduction from its original cost of RM65.5 billion. This will not only pave the way for the resumption of the ECRL project but also saved RM21.5 billion in cost.

“We are pleased to announce that the construction cost for Phases 1 and 2 of the ECRL has now been reduced to RM44 billion, a reduction of RM21.5 billion, from its original cost of RM65.5 billion. This reduction will surely benefit Malaysia and lighten the burden on the country’s  financial position.” according to a statement released by the Prime Minister’s Office today.

The statement also stated that the Supplementary Agreement covers the Engineering, Procurement, Construction & Commissioning (EPCC) aspects of the ECRL, was achieved after months of negotiations between the companies involved as well as the Governments of Malaysia and the People’s Republic of China.

Pakatan Harapan has saved more than RM30 billion

PH prudent governance has saved the country more than RM30 billion by renegotiating ongoing projects after taking over from Barisan Nasional in May 2018.

This whopping savings of RM21.5 billion is another achievement of the new government having previously announced a total savings of RM805 million after it reviewed and renegotiated tender for 121 projects.

Another jaw-dropping savings was when the government renegotiated the Mass Rail Transit Sungai Buloh-Serdang-Putrajaya Line (MRT2) with GAMUDA. The renegotiation saved the country some RM8.82 billion or 22.4 per cent, from RM39.35 billion down to RM30.53 billion.