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Home Transport

Berjaya to challenge YTL for MLFF highway toll project?

  • BY Alexander Wong
  • 19 February 2024
  • 11:20 am
  • Comment
MLFF System Taiwan
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The barrier-free Multi Lane Free Flow (MLFF) tolling system might see a new challenger according to a report by Free Malaysia Today (FMT). It was alleged that Berjaya Group is working on a competing bid to install a barrier-free system for highways which will cost at least 30% less than the current MLFF proposal by a YTL-linked consortium.

A source told FMT that senior Berjaya executives had held individual meetings with 32 highway concessionaires to get feedback before submitting their final proposal to the Ministry of Works. The report added that Berjaya’s MLFF proposal is more palatable compared to the earlier proposal that’s still being considered by the government.

What’s interesting is the reported arrangement for the MLFF implementation. The source said Berjaya proposes to allow highway companies to construct their respective multi-lane free-flow infrastructure and Berjaya or another company provides the toll collection services, which is apparently what highway concessionaires want.

Barrier-free toll collection. Source: Wikipedia

The source added that under this approach, concessionaires will get their revenue the next day while the company providing the toll collection services will take care of revenue leaks that arise when the toll booth barriers are removed. As a result, highway concessionaires won’t be bogged down with tracking down motorists who drive through the toll without paying.

The FMT source also said that concessionaires only want the MLFF system to be deployed at major toll plazas in the Klang Valley, Penang and Johor, where traffic congestion is worse, and the arrangement will reduce the implementation cost by 30%.

Malaysia initially wanted to implement MLFF by 2025 which will get rid of physical toll lanes and barriers for a seamless toll payment experience. However, the project which costs RM3.46 billion appears to have hit a snag when it was reported that highway concessionaires had strongly opposed the MLFF monopoly. It was alleged that the 20-year award to YTL-linked KJS-SEP Synergy (M) Sdn Bhd violates their agreements with the government.

Following the report, Works Minister Alexander Nanta Linggi said his ministry would review the project. Nanta clarified that the contract awarded in 2021 was only granted so that the parties involved could start the negotiation process. Prime Minister Anwar Ibrahim also said the MLFF project will have to go through a proper process and it has to be transparent. When asked about the supposed MLFF agreement made in 2021, he said the government will have to relook at the whole process, and whether the process is fully adhered to.

[ SOURCE, IMAGE SOURCE ]

Tags: BerjayaBerjaya GroupKJS-SEP SynergyMLFFMulti Lane Fast FlowMulti Lane Free FlowYTL
Alexander Wong

Alexander Wong

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