KUALA LUMPUR (April 9): The government plans to explore two major highway projects under a privatisation model — a proposed 303.5km southern link of the West Coast Expressway (WCE) from Banting, Selangor to Gelang Patah, Johor, and a 118.7km road linking Simpang Pelangai in Pahang to Putrajaya.

The move is aimed at “optimising cost management and enhancing the country’s fiscal efficiency”, the Ministry of Housing and Local Government (KPKT) said in a statement on Thursday.

The decision was made at the 50th meeting of the National Physical Planning Council (MPFN), chaired by Prime Minister Datuk Seri Anwar Ibrahim, which deliberates on long-term national land use planning and urban development policies.

“The meeting agreed for the proposed infrastructure projects to be explored under a privatisation model to optimise costs and improve fiscal efficiency. Detailed discussions will be held with the relevant state governments to refine the implementation approach and ensure maximum economic benefits for local communities,” the KPKT said.

Both highway projects are envisaged as high-capacity alternative routes to alleviate severe congestion on the North-South Expressway (E2) and the Kuala Lumpur-Karak Highway (E8).

The Banting-Gelang Patah alignment was previously announced under Budget 2025 as a roughly 230km project, which is slated for implementation via a public-private partnership (PPP). 

The current 233km alignment of the WCE, connecting Banting to Taiping, Perak, is being developed by WCE Holdings Bhd (KL:WCEHB), 28%-owned by IJM Corporation Bhd (KL:IJM). WCE is the concessionaire for the expressway.

It is understood that a privatised highway would get no government funding, unlike the 233km WCE tolled highway from Banting to Taiping, Perak, which received a RM2.24 billion soft loan and up to RM980 million for land acquisition to make the project viable.

Meanwhile, the proposed Simpang Pelangai-Putrajaya road, announced in 2024, is currently at the feasibility study stage under the Ministry of Works, with no contractor appointed to date.