Lorry owners association supports no toll hike by Maju Holdings

PETALING JAYA: The Pan-Malaysia Lorry Owners' Association has expressed its support to the proposal by a private company not to increase toll rates of Plus highways for 20 years.
Association president Anthony Tan said the logistics industry cannot be facing increment of toll rates once every three to five years.
The support comes following a local news report stating that Maju Holdings would not increase toll rates if its offer to take over Plus Malaysia Bhd is successful.
"This would indeed be very beneficial for the logistics industry and for all road users," he said.
"It is beneficial for the government as the company intends to reduce contingent liabilities and forfeit the government's toll compensation to Plus," he said in a statement.
Maju Holdings founder and group executive chairman Tan Sri Abu Sahid Mohamad told an English daily that the rates of Plus highways would be maintained until the end of the concession period in 2038.
"We are comfortable with the toll rates right now and we can maintain the roads with what's already being charged," he was quoted as saying by the daily.
PLUS' current concessions are Projek Lebuhraya Utara-Selatan Bhd, Expressway Lingkaran Tengah Sdn Bhd, Linkedua (M) Bhd, Konsortium Lebuhraya Butterworth-Kulim Sdn Bhd and Penang Bridge Sdn Bhd.
Tan said Maju's proposal to enhance security along the highways would be another welcome move in attracting lorry operators to utilise the roads.
Tan also expressed concerns over reports of UEM Edgenta proposing for a contract of over RM20 billion to maintain all Plus highways for 21 years.
He said such a proposal, if it materialises, would lead to toll hikes and add costs to lorry operators and other road users.
"As UEM Edgenta is already an existing service provider for PLUS … we find it disconcerting that they are only planning to do this now," he said.
"UEM Edgenta also mentioned in their proposal other capital investments they plan to undertake, such as establishing a road surfacing research centre and setting up plants along the highway.
"We are unclear as to what this would entail, whether this is necessary, and if this will have an impact on costs," he added.
Tan appealed to the government to weigh in on the matter and iron out the issues.