KESAS

It came to my attention that our force expenditure issue is far from a positive solution. I posted fact and figures about Plus and how there should be no reason for any excuses to not to reduce the toll. Today’s paper showing LDP, Kesas and NPE profitability and none of it been passed on to public.

Let us first look on the KESAS, which claimed to earn RM5.61 billions profit.

Shareholders:
PKNS (30%)
GAMUDA (30%)
AMDB (Arab Malaysian) (20%)
PNB (Permodalan Nasional Berhad) (20%)

Combined state (PKNS) and central (PNB) say to the company decision, 50% right already given to government combined. This has not been thoroughly deep for GLC equity in AMDB and GAMUDA. Combine both direct and indirect equity holding, I am sure government have the veto decision of the KESAS well being.

What possibly could justify the RM 2.20 per tollbooth charges?
R&R – I am sure KESAS is charging the stall/ shop keepers with rent
Toilet – how much does it need to facilitate and maintain toilet per R&R
Emergency line – it wouldn’t cost that much.
No traffic jam – is it?

The toll charges will keep escalating with the concession deal. The end of it is farsighted, and the 28 years 9 month concession would end on late 2021. Knowing our present government trend, like we observe on PUSPAKOM 15 years extension deal, government would hardly want to loose any revenue that each time mysteriously missing Malaysian public pocket.

There is no reason for optimistic thinking. The concession deal needs to be looked at immediately. Charges need to be reasonable and tax money should not be paid to the concessionaire on profit loss recovery.