KUALA LUMPUR (Nov 26): Deputy Works Minister Datuk Seri Dr Ahmad Maslan has urged caution in proposing new highways, telling the Dewan Rakyat that 12 out of 27 highway concessionaires recorded losses in 2024, and one is already being wound up. The 27 concessionaires run 33 highways.
He stressed the need to ensure highways proposed are financially sustainable.
As an example, he highlighted the proposed East Coast Expressway Phase 3, which could cost RM10 billion to build and charge about RM70 in tolls.
"If traffic volume is insufficient, it may not be profitable. The government would later have to bear the losses in taking over the project," Ahmad Maslan said.
Loss-making concessionaires included Maju Expressway Sdn Bhd (Kuala Lumpur–Putrajaya Expressway), ANIH Bhd (Kuala Lumpur–Karak Highway, East Coast Expressway Phase 1), Senai Desaru Expressway Bhd (Senai–Desaru Expressway) and Syarikat Mengurus Air Banjir & Terowong Sdn Bhd (SMART). Lingkaran Luar Butterworth (Penang) Sdn Bhd is currently in the process of winding up.
Meanwhile, Ahmad Maslan said 15 highway concessionaires recorded profits during the same period, including PLUS Bhd, which runs six highways, including the North–South Expressway, Malaysia–Singapore Second Link and Penang Bridge.
Lebuhraya Pantai Timur 2 Sdn Bhd (East Coast Expressway Phase 2), Besraya (M) Sdn Bhd (Sungai Besi Highway) and Kesas Sdn Bhd (Shah Alam Expressway) are among the profitable concessionaires.
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