Govt finalising talks on Mex II project, Dewan told

The Star

4 days ago

PETALING JAYA: Putrajaya is currently finalising discussions with the Receivers and Managers (R&M) of the Maju Expressway (Mex II) to find the best solution for completing the stalled extension project, says Works Minister Datuk Seri Alexander Nanta Linggi.
According to Nanta, the discussions focus on a solution to complete the project, considering various aspects, including the project's cost, traffic impact analysis, toll rates, cash flow management, and other factors necessary to ensure the project's sustainability.
'The plan and direction of the Mex II project will be coordinated by a Central Agency together with the relevant Ministries or agencies, particularly regarding the financial model, taking into account the appropriate parameters for the assessment of the project's viability, including technical aspects, will be submitted to the Cabinet for consideration,' he said.
Nanta stated this in a written parliamentary reply dated July 31, in response to Yeo Bee Yin (PH-Puchong), who had asked about updates on the Mex II project, including whether the concessionaire requires government approval for claim applications.
She also inquired about the funding required for the project's completion and whether additional funding would result in higher toll rates.
According to Nanta, the Mex II project was entirely borne by the concessionaire through the build-operate-transfer (BOT) method.
'All project progress confirmation, including progress claims, is reviewed and verified between the contractor, concessionaire, supervision consultant and independent checking engineer, which are submitted directly to the sukuk party,' said Nanta.
'Therefore, the progress claims for this project do not involve approval at the federal level, since it involved private financing,' he added.
Mex II is a planned three-lane dual carriageway designed to connect the MEX Putrajaya interchange to the KLIA highway.
The project began construction in 2016, and it was initially scheduled for completion in December 2019, but was halted due to financial issues.
The 18km extension project of the Mex II also came under scrutiny recently following a graft probe into allegations of false claims involving RM360mil.
Four individuals, including a Datuk Seri, were previously detained in connection with investigations into funds raised through sukuk issuance for the project.
Malaysian Anti-Corruption Commission (MACC) chief commissioner Tan Sri Azam Baki had said 61 witnesses had been called in to assist with investigations
In early May, the MACC seized various assets, including luxury vehicles, designer handbags, jewellery and cash totalling RM32mil from an individual with a Tan Sri title.
This followed reports that MACC had opened three investigation papers related to bribery and false claims involving the Mex II project.