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Sabah Pan Borneo Highway contractors, consultants reappointed

KUALA LUMPUR: All 11 project contractors and 12 consultants for the multi-billion ringgit Sabah Pan Borneo Highway Project have been re-appointed under the government’s new Project Delivery Partner (PDP) model.

Works Minister Baru Bian said the contractors and consultants, who were present at the Works Ministry here today to receive their acceptance letters, will continue work on the 15 package contracts (WPCs).

He said it was logical for the government to continue working with them - whose contract ended with the termination of the previous PDP on Sept 21 - to ensure the project’s continuity.

“This is the best option rather than appointing new contractors since the ones reappointed have been working according to schedule. There have been some slight delays but I have advised them to be more responsible.”

Baru further stressed that the ministry would not tolerate any delays in completing the project and their contracts will be terminated if they do not have any justifiable reasons.

“As the ministry responsible for the construction of the Pan Borneo Highway, we hope they (the reappointed contractors and consultants) will continue carrying out their duties at their respective packages as per the agreed time frame and schedule.

“There will be no compromise given to contractors or consultants that cause any delays or careless acts in completing the project.”

Baru said implementation of the 15 work packages will be continued under the 11th Malaysian Plan with a total cost of RM10.12 billion, while the remaining 20 packages will be executed under the 12th Malaysian Plan subject to the government’s financial ability.

“The project will benefit Sabah and the people in many ways. We will have better connectivity to many areas in Sabah and the travelling time will be reduced.

“I understand that the road condition during the construction period may not be up to expectations. I hope road users will be patient with this.

“However, we welcome any complaints from the public if they are unsatisfied with the road conditions.”

Baru said he was aware of the challenges contractors face, but reminded them to prioritise road users’ safety.

The PDP agreement had been signed with Lebuhraya Borneo Utara Sdn Bhd (LBU) (Sarawak) on June 30, 2015, with a total cost of construction of RM16.48 billion, while the agreement with Borneo Highway PDP Sdn Bhd (Sabah) was signed on April 11, 2016, with the cost construction amounting to RM12.86 billion.

With the termination of their contracts in September, the Federal Works Ministry took over the Sabah Pan Borneo Highway project as the project owner and the state Public Works Department was appointed as the superintending officer.

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