Selangor tells state firms to reject toll hike

Selangor tells state firms to reject toll hike

SHAH ALAM: Selangor has instructed two state-owned companies with minority shares in two highways to reject the hike in toll which came into effect Thursday.

Mentri Besar Azmin Ali said Selangor State Development Corporation (PKNS) and Kumpulan Perangsang (KPS) have been ordered to write to concessionaires Kesas Holdings Sdn Bhd and Sprint Sdn Bhd to call for a board meeting to discuss the matter.

PKNS holds 30% of Kesas and KPS 20% of Sprint.

Azmin claimed that the hike was implemented without prior notification of the board of directors of both companies.

“The Selangor Economic Action Council (MTES) have instructed PKNS and KPS to write in and call for special board meetings of both the concession companies and to reject and protest against the toll hike,” Azmin told reporters after chairing the MTES meeting Thursday.

He said although both the two state companies hold minority shares, PKNS and KPS had to represent the state government’s stand of not allowing any hike in toll rates at the moment.

“We have told our representatives, as shareholders, to call for the emergency board meetings to discuss the matter and to object the toll hike,’’ said Azmin.

Azmin said PKNS acquired its share in Kesas in 1993 whilst KPS’s 20% share in Sprint was acquired in 1999.

He said the state government would look at other options to stop the hike.

He urged the Federal government to use monies collected from the Goods and Services Tax (GST) to compensate the concessionaires instead of allowing them to increase the toll.

“The GST collections were more than RM6bil. Why not use it to lessen the rakyat’s burden?’” asked Azmin.

Azmin said in a statement that the toll increase of between 10 sen to RM4.70 will only burden the people who are already faced with a worsening economy and higher living cost.

The affected highways are the Kajang Traffic Dispersal Ring Road (SILK), Duta-Ulu Kelang Expressway (DUKE), Maju Expressway (MEX), Kuala Lumpur-Karak highway (KLK), KL-Kuala Selangor Expressway (Latar), SMART tunnel, New Pantai Expressway (NPE), Besraya Highway, Lebuhraya Kajang Seremban (Lekas), Guthrie Corridor Expressway (Guthrie), Kemuning Shah Alam Expressway (LKSA), Ampang Kuala Lumpur Elevated Highway (Akleh), LDP, Sprint, Grand Saga Expressway, South Klang Valley Expressway (SKVE), Senai-Desaru Expressway and Butterworth Outer Ring Road (BORR).

-The Star Online