SHAH ALAM, 15 Oct: The state government is disappointed with the decision to increase the toll rates at the KESAS highway and the Sprint Expressway (SPRINT) because it was not discussed at the board of directors meeting.
The Chief Minister, Mohamed Azmin Ali, said that even though the two state government subsidiary companies have minority shares in the highway concessionaires, it did not prevent Selangor from opposing it.
He said that the state government, through its representatives, have asked for a special Board of Directors meeting to be called immediately to use the minority power to reject the proposed toll hike.
“Despite not having the final say and only being a minority stakeholder in the highway concessionaires, it is the state government’s policy to object to the irresponsible toll hike.
“The impact of the increase will continue to pressure the people’s lives as they are being increasingly pressured due to the economic recession and the depreciation of the ringgit,” he said in a statement today.
At the same time, Mohamed Azmin also asked the Federal government to use the goods and services tax (GST) collection to pay compensation to the concessionaires.
He said that this is to prevent the people from being burdened with the excessive increase in toll rates with the increase in cost of living these days.
“The federal government’s decision to allow the toll hike is irresponsible and is regrettable, especially when the people are facing an increasing cost of living,” he said.
The state government, through the Selangor State Development Corporation (PKNS) and Kumpulan Perangsang Selangor Berhad (Perangsang) each have a minority share of 30 percent in the KESAS highway concession company since 1993.
Meanwhile, the a shareholding of 20 percent is owned by the two companies involved in the SPRINT concession company since 1999.
NS
