Skip to content

Putrajaya initiates talks to take over and ‘abolish’ tolls

February 26, 2019

* Government in talks with Gamuda to take over four toll concessions
The RM383 billion cash cows – The hidden reasons government refuses to abolish toll collections

In line with its promise to abolish toll collection in stages, the government today announced that it has entered into talks with Gamuda Berhad to negotiate acquisitions of four highway concessions which the company has a majority stake in.

The Prime Minister’s Office (PMO) in a statement today said the move will eventually see the government doing away with the existing toll mechanism, to be replaced with a congestion charge.

“Upon successful takeover of the highways, the government intends to abolish the existing toll mechanism.

“In its place, a ‘congestion charge’ will be introduced where commuters will only pay a ‘congestion charge’ equivalent to the existing toll for six hours of ‘peak’ period a day,” said the PMO in a statement.

The four highways involved in the initial discussion with Gamuda are the Lebuhraya Damansara Puchong (LDP), Sistem Penyuraian Trafik KL Barat (Sprint), Lebuhraya Shah Alam (Kesas) and Smart Tunnel.

During the “off-peak period” between 11pm and 5am, the PMO said that commuters will travel on the highways for free.

“At other ‘normal’ travelling hours, commuters will enjoy discounted rates up to 30 percent compared to existing toll rates,” it added.

The PMO further said revenue collected from the “congestion charge” will go towards operations and maintenance of the highways, and repayment of loans.

“Any surplus collected will then be channeled into a public transportation fund to improve the quality of public transport in Malaysia,” it said, adding that further details on the proposed exercise will be announced by the finance minister at a later date.


From → Malaysia Upclose

Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

<span>%d</span> bloggers like this: