THE previous Barisan Nasional government did not reveal the hidden costs of the Kuala Lumpur-Singapore High-Speed Rail (HSR) project, Economic Affairs Minister Datuk Seri Azmin Ali said.
Speaking at the Dewan Rakyat, Azmin said this could be seen in the actual cost of the project, which was RM110 billion, and not RM55 billion as announced by the BN administration.
“The RM55 billion announced is the project cost. But, there are many hidden costs not revealed by the previous government.
“Therefore, the Pakatan Harapan government today has the responsibility of revealing the total cost of the project,” he said during the question-and-answer session at the Dewan Rakyat yesterday.
Azmin was answering an additional question from Datuk Seri Dr Wee Ka Siong (BN-Ayer Hitam), who was asking on why the estimated RM110 billion cost was double of what was originally announced.
Azmin, who is Gombak member of parliament, said the government was studying the financial viability of the HSR project by holding ongoing discussions with Singapore.
“We will see the government’s ability to take on the project,” he said, adding that this was due to the present economic situation.
“Therefore, the government takes the stand of discussing with the Singaporean government to ensure all terms of the agreement are abided with.”
In answering the original question from Datuk Seri Dr Ahmad Zahid Hamidi (BN-Bagan Datuk), who wanted to know what was being looked into when the government said it was reviewing the HSR project, Azmin said Attorney-General Tommy Thomas was studying the terms of the project signed on Dec 13, 2016.
He said Thomas found that the matter must be resolved according to the law and with two-way discussions between both nations.
He said the project’s agreement allowed a party to cancel the project, but this was subject to other terms in the overall agreement.
Speaking to reporters at the Parliament lobby later, Azmin said the fate of the project hinged on the meeting he was expected to have with Singapore by the end of the month.
“Any party that wants to cancel the project can do so because it is allowed by the agreement, but it must be based on the terms and agreement.
“All options, including reducing the cost, cancelling the project or deferring it, are available to us. So we will table them and discuss the matter with them.
“However, we have not excluded the possibility of the project continuing, but we are not making any suggestions unless there is a consensus from both countries.”
He said Singapore’s Transport Minister Khaw Boon Wan wanted to meet by the end of the month and he would do his best to accommodate the request.
The meeting will discuss options on the HSR project, which was expected to be completed in 2024.
On the compensation to Singapore, which has reportedly spent more than S$250 million (RM740 million) on the project, Azmin said Malaysia would respect the rule of law and due process, and terms contained in the agreement, but it would be subject to the discussion with Khaw.
“There is a formula, but the actual quantum has to be determined by both parties,” he said, while declining to state what the formula was.
Reported by Hidir Reduan, Veena Babulal, Farhana Syed Nokman, Anwar Patho Rohman, Fahmy Azril Rosli, Luqman Arif Abdul Karim and Fairul Asmaini Mohd Pilus