The Malaysian Insight

PUTRAJAYA will have to fork out around RM102 million a year in compensation to highway operator PLUS Malaysia Bhd following the decision to end toll collections at the Batu Tiga and Sg Rasau plazas, said Finance Minister II Johari Abdul Ghani. 

Speaking in a question-and-answer session on TV3 last night, Johari also said an estimated RM8 million will have to be paid out for abolishing the Bukit Kayu Hitam toll in Kedah. 

“For the two tolls (Batu Tiga and Sungai Rasau), it’s RM102 million a year (and) we use government resources.

“For Bukit Kayu Hitam toll, it’s estimated to be around RM8 million,” he said. 

TV3’s Nightline programme later reported that the compensation for removing the toll at the Eastern Dispersal Link in Johor will also be RM8 million. 

Johari, however, did not state how long the compensation period was to be. 

“We think it is within our means, as the economy is getting better and stronger, so we accept it. The Batu Tiga and Sg Rasau toll plazas are being used by 155,000 vehicles per day.

“So when we ask them to stop collecting tolls starting January 1, 2018, they will lose their income by RM102 million per year and this amount has to be compensated by the government,” he said. 

Last Friday, Johari said after the tabling of Budget 2018 that PLUS would be compensated for allowing four of its tolls to be scrapped but this would not be in the form of cash. 

Deputy Prime Minister Ahmad Zahid Hamidi said two days after the budget that Putrajaya will pay compensation to PLUS for the remaining 20 years of the contract, which is set to expire on December 31, 2038. 

PLUS currently owns 94 tolls nationwide. Among its other highway operations are the New Klang Valley Expressway, North-South Expressway, Malaysia-Singapore Central Crossing, Butterworth-Kulim Expressway and Penang Bridge. – November 2, 2017.