KUALA LUMPUR (July 7): Highway concessionaires are now in talks to find the best solution for the upcoming scheduled increase in toll hike.

"The association and the government are now in talks to find the best solution for the upcoming scheduled increase, taking into consideration many issues such as the rising cost of living, our members’ own financial obligations and the need to continuously provide the best services and facilities for a convenient, comfortable and safe journey for everyone," said the Association of Highway Concessionaires Malaysia (PSKLM) in a statement today.

PSKLM in defending its stand, following an article published by Sinar Harian today, over the possible the toll hike increase said that there were many factors that necessitated the hike of toll rates.

For instance, highway concessionaires have borrowed and spent hundreds of millions on highway development and facilities, it added.

Toll concessionaires spent nearly RM40 billion on just construction costs to build 30 highways nationwide, said the association.

This saves the government a huge amount of money, which was spent on other amenities such as schools and hospitals, it added.

PSKLM said these highways and facilities need to be constantly maintained and upgraded for the comfort and convenience of the users. Further suggesting that new facilities and infrastructure need to be built, especially when safety and congestion are taken into consideration.

"All these require financial capacity, and toll collections allow the concessionaires fund these expenses," it noted.

The association also stressed that scheduled toll rate increase gives concessionaires the flexibility to better absorb the financing costs and growing maintenance as well as service charges.

Furthermore, it noted that the consideration to increase toll is not solely based on the agreement between the government and the toll operators, but takes into consideration the agreements made between the toll operators and the financers as well.

PSKLM said the concession agreements, contrary to the claim made in an article published by Sinar Harian, are available for public viewing at the Ministry of Works.

It added that the article had implied that toll operators are cash cows, and as such, no increase is justified.

News on the possible toll hike drew flak from social media users especially after the goods and services tax (GST) was enforced in April this year.

To recap, on June 12, Berita Harian broke the news that the Cabinet discussed a proposal for raising toll rates at 16 highways as per agreements signed with concessionaires.

The newspaper reported that the toll rates are expected to be increased between 20 sen and RM1.

Among the highways expected to be affected are the Duta-Ulu Kelang Expressway, the Damansara-Puchong Expressway, the New Pantai Expressway and Kajang's Silk Highway.

But on the next day, Prime Minister Datuk Seri Najib Razak said there was no final decision on the proposal and called the leak on the Cabinet discussion a “betrayal”.