Impact of high-speed rail on aviation industry being scrutinised - Razali

The impact of the high-speed rail (HSR) project connecting Malaysia and Singapore on the aviation industry is still being scrutinised by both countries, the Dewan Rakyat was told today.

Deputy Minister in the Prime Minister's Department Datuk Razali Ibrahim said the consideration took into account whether the air traffic would be hurt upon the completion of the HSR.

He said Malaysia's Land Public Transport Commission (SPAD) and Singapore's Land Transport Authority (LTA) had received market feedbacks on the project, including on its construction and financing, and uploaded them on their websites.

"To say that the aviation industry will be badly affected upon HSR completion. Well, it is being the scrutinised by both countries," he said when responding to a question from Datuk Hasan Arifin (BN-Rompin).

To another question from Nasruddin Hassan (PAS-Temerloh), Razali said despite the volatile economy, the government would not stop the HSR project, instead both countries were finalising details, including its financing and companies that would be involved in the project.

"If we were to call off the project, it will affect plans under the Economic Transformation Programme. We have to look at it with an open mind as we expect new sources of income for development and look after people's well-being," he added.

The proposed HSR project, which is expected to start in 2017 and to be completed by 2022, will shorten the journey between Kuala Lumpur and Singapore to 90 minutes from eight hours by train at present.