Minister of Finance: Prasarana must cut more RM6b for LRT3

KUALA LUMPUR (July 10): The Ministry of Finance will not provide additional funding for the Light Rait Transit 3 (LRT3) project unless the cost is significantly streamlined without compromising the cost of the project. integrity of the rail network as well as the security and quality of service provided, "said Finance Minister Lim Guan Eng ( photographed ) in a press release today.

"However, the total expected cost of LRT3 of RM31.45 billion due to mismanagement by Prasarana Malaysia Bhd requires drastic cost reductions to make the LRT3 feasible and profitable.

" Some reports have indicated that the cost of LRT3 can be reduced by RM 6 billion. The Ministry of Finance wants to declare that more than RM 6 billion must be reduced for the LRT3 project to continue, "said Lim.

" Prasarana Malaysia has already obtained a government guarantee for a RM 10 billion bond facility for finance the project. in 2015.

"However, on March 30, 2018, Prasarana requested an additional government guarantee of RM 22 billion to finance the construction and completion of the LRT3 project.

" The Ministry Finance has already asked Prasarana "

The Star reported today that nearly 6 billion RM can be shaved off the cost of the LRT3 project if it follows the original design.

The modifications made to the initial plans for the 37 km runway, which goes from Bandar Utama to Klang, include the addition of more stations and the increase in the number of cars per train from six to four. .

The LRT3 The project is a major project to reduce traffic congestion along one of the most important and densely populated economic development corridors from Klang, from Klang to Petaling Jaya.

The line is expected to serve two million residents of KLang Vally. the ability to carry 36,700 passengers per hour per trip.