Concession Companies Urged to Comprehend Toll Hike Delay Efforts

Kuala lumpur: The decision to delay toll rate increases on several highways is a strategic move by the MADANI government aimed at alleviating the financial burden of road users, particularly those from the B40 income group, according to Works Minister Datuk Seri Alexander Nanta Linggi. Despite the potential negative impact on the cash flow of highway concession companies, Nanta is confident that the government's intentions will be recognized and understood by all stakeholders involved.

According to BERNAMA News Agency, Nanta addressed the issue during a press conference following the handover of the Letter of Acceptance for the Blackspot and Federal Road Maintenance Programme in Peninsular Malaysia. The Minister acknowledged that while the delay could disrupt the business models of the concession companies, it was crucial to prioritize easing the burden on highway users. He expressed appreciation for the concession companies' cooperation and understanding of the government's decision during the challenging economic climate.

Nanta further elaborated on the responsibilities of concession companies under existing agreements, emphasizing the need to consider their financial obligations. He noted that the companies have commitments such as loan repayments and return on investment, urging all parties to collaborate for mutually beneficial outcomes.

Prime Minister Datuk Seri Anwar Ibrahim had announced the toll rate increase postponement for 10 highways, including the Senai-Desaru Expressway, East Coast Expressway 2, and South Klang Valley Expressway. This decision is part of a broader initiative to ease the financial strain on citizens.

On the topic of road safety, Nanta highlighted the success of the 'blackspot' programme, which has significantly reduced accident rates by up to 60 percent. For 2023, RM37 million has been allocated to continue repair and mitigation efforts in identified blackspot areas across Malaysia, with RM27.1 million already utilized for projects in 11 states. The programme includes targeted installation of street lights in high-risk accident zones to enhance road safety.