‘We could save up to RM1b’ from Pan Borneo project, says Sabah minister

PETALING JAYA (July 17): Sabah infrastructure development minister Datuk Peter Anthony said in a statement that up to RM1 billion could be saved if the project was managed by the Works Ministry and State Infrastructure Development Ministry. 

According to a New Straits Times (NST) report, the state government had said that the highway project should be continued, in order to reduce the Road Development Index gap in Sabah with other states.

“However, (we are) of the view that the implementation model of Sabah Pan Borneo Highway project involving Project Delivery Partner (PDP) as the implementing agency is a waste of rakyat’s money,” Peter told NST. 

The government will review the structure of the implementation model, a move agreed upon by Peter and Sarawak Works Minister Baru Bian in their discussion on the project. Baru urged for a proposal paper on the best implementation method, to be prepared by the Sabah Infrastructure Development Ministry, reported the daily.

The paper is to be submitted to the Works Ministry and then to the Finance Ministry. Implementation of the Pan Borneo Highway involves three phases of construction, for a total of 1,236km of highways.

Phase 1 involving 35 packages covering 706km, is estimated to cost RM 12,864 billion, while Phase 2 and Phase 3 covering 413km, are in the planning stage.

Maintenance of Sabah federal roads were also discussed, focusing on the privatisation contract, and the appointment of the executive concession.

The contract extension had already been signed, despite the fact that the maintenance work contract had yet to expire, said Peter.

Baru requested that the matter be reviewed.