KUALA LUMPUR: The 18 per cent toll rates cut at all PLUS highways for passenger vehicles will start as early as Feb 1.
The Prime Minister's Office (PMO) in a statement today said the Cabinet had on Wednesday made the decision, and it was as announced during the 2020 Budget last year.
“The government will implement the 18 per cent reduction in toll rates for passenger vehicles at all highways owned by PLUS as early as Feb 1.
“The highways involved are the North-South Expressway (NSE) including New Klang Valley Expressway (NKVE), North-South Expressway Central Link (NSECL) or the ELITE Highway, Malaysia-Singapore Second Link (LINKEDUA), East Coast Highway 2 (LPT2), Seremban-Port Dickson Highway (SPDH), Butterworth-Kulim Expressway (BKE) and Penang Bridge (JPP),” the statement read.
The toll cut will see the rate at NSE reduced from 13.6sen/km to 11.15sen/km.
“Upon its implementation, the new rate is lower from the rate in 1999 which was at 11.24sen/km.
“Hence, the new toll rate from Jalan Duta to Alor Star will be at RM45.50, compared to the previous RM55.50, while the rate from Jalan Duta to Skudai will be reduced from RM38.50 from RM47.”
The statement said in line with the decision, PLUS Malaysia Bhd would be given a 20-year extension of the toll concession from 2038 to 2058.
“This is to ensure that PLUS can carry out the highway maintenance works and operation activities without relying on the government.
“Although the concession agreement had previously included gradual increase of toll rates, this new decision however will ensure no toll rate increase until the 38 year concession period ends (2020-2058).”
PMO said no payment will be made by the government to PLUS, in return for the toll cut.
“The government will no longer bear the burden of paying compensation to PLUS and will get an estimated savings of RM42 billion during the concession period.
“PLUS remains as the operator and will continue holding its assets and liabilities, subsequently managing the financial costs of its operation and maintenance.”
PMO said Khazanah Nasional Bhd (Khazanah) and the Employees Provident Fund (EPF) remain PLUS shareholders.
“This decision was made after more than a year of study and comprehensive consideration from various stakeholders including the Works Ministry, Finance Ministry and the Economic Affairs Ministry.
“The government has reviewed and considered the various proposals submitted, to make the best decision for everyone, especially the people.
“The government believes that this decision will benefit the people through toll reduction and at the same time allowing PLUS to continue its operation in a good financial position.
“The RM42 billion savings can now be used by the government for initiatives that will benefit the people.”