Abdul Rahman: ECRL cost increase due to additional distance, new lines

Minister in the Prime Minister's Department Datuk Abdul Rahman Dahlan said the additional lines would involve a distance of 88km, which saw its construction cost surge to RM55 billion.

"Initially, the plan was to construct the lines from Tumpat (Kelantan) to Gombak (Selangor) via Kuantan (Pahang). That route will cover 600km at a cost of about RM46 billion.

"Then, the government decided to extend the routes to Port Klang (from Gombak) so that goods can be delivered directly to the East Coast. The costs are higher because it involves the exploration of new land in the Klang Valley," he told a press conference at the Parliamentary building lobby Tuesday.

He said in addition, the increase in cost was also due to the construction of new rail lines and bridges of 110km and 50km, respectively.

Abdul Rahman said a local English daily had claimed that the ECRL project was one of the most expensive projects in the world, and questioned the government's move to continue with the project without getting approval from the Parliament.

"The ECRL project had been discussed between the Cabinet and the (National) Economic Council but there was no requirement for the project to be brought to the Parliament," added the Kota Belud Member of Parliament (MP).

The ECRL project is part of the RM144 billion total investment and trade deals signed between Malaysia and China during Prime Minister Datuk Seri Najib Tun Razak's official visit to the republic from Oct 31 to Nov 5.

Abdul Rahman said the construction work for the project would commence early next year and would take about seven years to complete.

At the same press conference, he also cleared the air on the issue of the Malaysia Rail Link Sdn Bhd (MRLSB) when opposition MPs queried the setting up of a new RM2 start-up capital company that would be tasked to handle the RM46 billion project.

"MRLSB is wholly-owned by the Finance Ministry and has the backing of the Malaysian Government. The establishment of MRLSB is a normal practice for the government when handling mega projects such as the Mass Rapid Transit (MRT). This is not something unusual," he added.