Transparency Intl concerned over LRT extension reports

Written by Joseph Chin
EDGE, 23 June 2011
KUALA LUMPUR: Transparency International Malaysia (TI-M) has expressed “grave concern” following news reports about the alleged lack of transparency in the awarding of the Kelana Jaya light rail transit (LRT) extension contract which will stretch for another 17km. It said on Thursday, June 23 the news reports alleged the Ministry of Finance ignored the recommendations of the LRT operator, Transparency Intl concerned over LRT extension reports . TI-M said the news reports quoted political analysts and industry executives as saying the “behind-the-scenes intrigue shows how opaque and non-transparent practices that have long characterised large public-sector contract awards remain the order of the day in Malaysia”. TI-M said such reports raised questions about the federal government’s commitment to observe the principles of transparency and accountability at all times when awarding public sector projects. To recap, the Kelana Jaya Line will be extended from Kelana Jaya Station by another 17 km and reaching up to Putra Heights through 13 new stations. SPNB had on June 21, announced it awarded the extension project’s system works contract worth RM673.92 million to CMC-Colas-Uniway (CCU) for the engineering, procurement, construction, testing and commissioning of system for the project. In the latest development and following news reports about alleged lack of transparency, TI-M said on Thursday it had continually recommended to all relevant stakeholders on the need for open tenders and best procurement practices. The winning bid should include both the technical and financial justification. “The lack of transparency will undermine the confidence of investors as well as the rakyat in the award of large public sector projects. This is all the more important when the rakyat are the main stakeholders – as the customers (passengers) and the funders (their tax contributions),” it said.