Transport Minister Anthony Loke confirms RM474.8 million in late penalties for LRT3 main contractor, citing software and testing delays.
KUALA LUMPUR: The main contractor for the Light Rail Transit 3 (LRT3) project is liable for RM474.8 million in late completion penalties.
Transport Minister Anthony Loke said the Liquidated and Ascertained Damages (LAD) were calculated as of December 31 last year.
He explained the figure is based on a daily penalty rate of RM2.7 million imposed for each day of delay.
The total delay from July 10, 2025, to December 31, 2025, amounted to 174 days.
“The main contractor is fully aware of the LAD, and Prasarana Malaysia Berhad has obtained assurances from the contractor that all outstanding issues will be addressed and resolved in the near term,” Loke told the Dewan Rakyat.
He was responding to a question from Syahredzan Johan regarding penalties for project delays.
Loke cited several factors contributing to the missed completion schedule.
A key issue was the signalling system supplier Siemens failing to deliver satisfactory software on time.
Delays also occurred in critical testing for other system packages, including the communications system.
The necessary System Integration Test (SIT) has since been completed.
Several failures were additionally recorded during the Fault Free Run (FFR) trials.
Loke said Prasarana is now focused on completing the remaining FFR testing involving eight train sets.
