SHAH ALAM: Parking management through concessionaires in Selangor is not a new practice, as it has been in place since 1996.
As of June, five local authorities (PBTs) continue to outsource parking management to private operators, according to State Local Government and Tourism Committee chairman Datuk Ng Suee Lim.
Ng stated that the upcoming concessionary parking management system, set to take effect on Aug 1, will enhance the current framework.
He explained that while privatisation has its advantages and disadvantages, the state is now ensuring a balanced approach by integrating Smart Intelligent Parking (SIP) with involvement from Menteri Besar Selangor Incorporated (Selangor MBI).
The decision to implement this system originated from the 33rd/2024 State Executive Council Meeting (MMKN) on Nov 28, 2024, and was later confirmed in the 34th/2024 MMKN on Dec 6, 2024.
The Selangor government agreed in principle to manage parking through a partnership between Selangor MBI and private firms.
Further approvals came during the 12th/MMKN 2025 on April 23, 2025, and the 13th/MMKN 2025 on April 30, 2025, which designated Rantaian Mesra Sdn Bhd, a subsidiary under MBI Group, to oversee Smart Parking management statewide.
Ng highlighted that the Smart Parking model involves a tripartite collaboration between local authorities (PBTs), Rantaian Mesra as the system coordinator, and appointed concessionaires.
A formal agreement will outline each party’s responsibilities, ensuring compliance with governance standards.
The concessionaire will invest RM200 million in Smart Parking infrastructure, including 1,800 CCTV cameras across four PBTs in the initial phase.
However, enforcement remains under PBT jurisdiction as per the Road Transport Act 1987 and Local Government Act 1976.
Ng clarified that concessionaires will handle system maintenance and staff salaries, while enforcement actions, including issuing compound notices, will remain with PBT officers.
The PBTs will not incur operational costs and are expected to see increased revenue from the new system. – Bernama
