KUALA LUMPUR: The East Coast Rail Link (ECRL) project will go ahead as
the cost has been reduced significantly by RM21.50bil to RM44bil.
Below is the statement issued by the Prime Minister's Office on the improved deal on Friday:
"The Government of Malaysia welcomes the signing of a Supplementary
Agreement (SA) between Malaysia Rail Link Sdn Bhd (MRL) and the China
Communications Construction Company Ltd (CCCC), which will pave the way
for the resumption of the East Coast Rail Link (ECRL) project.
The SA, which covers the Engineering, Procurement, Construction &
Commissioning (EPCC) aspects of the ECRL, was achieved after months of
negotiations between the companies involved as well as the Governments
of Malaysia and the Republic of China.
We are pleased to announce that the construction cost for Phases 1 and 2
of the ECRL has now been reduced to RM44 billion, a reduction of RM21.5
billion, from its original cost of RM65.5 billion.
This reduction will surely benefit Malaysia and lighten the burden on the country’s financial position.
Further details of the improved deal will be provided during Monday’s press conference."