PLUS Says Batu Tiga And Sg Rasau Toll Collection Were Supposed To End In 2038, Not 2018
The abolishment is happening 20 years early.
By Sheryll Paul — 29 Oct 2017, 12:22 PM
PLUS Malaysia Berhad has confirmed that the toll collections at Batu Tiga and Sungai Rasau were only set to expire on 31 December 2038
This is based on the 2011 Concession Agreement which was revised following the privatisation of PLUS that same year.
They released a statement yesterday in response to the several enquiries they've gotten in regards to the toll abolishment
Many people had speculated that the toll concessions were supposed to expire in 2018 anyway, before it was officially announced. A viral story by Free Malaysia Today featured PKR’s Wong Chen questioning whether or not the agreements made between the government and the toll concessionaires were going to expire soon.
In their statement, PLUS said "PLUS Malaysia Berhad (PLUS) would like to clarify that based on the 2011 revised Concession Agreement, toll collection at Batu Tiga and Sungai Rasau in Selangor is scheduled to end on 31 December 2038."
"The announcement made by YAB Prime Minister means that abolishment of toll collection effective 1 January 2018 at the Batu Tiga and Sungai Rasau toll plazas are realized 20 years ahead of schedule."
They also added that all PLUS highways had not seen any toll increases since 2005.
Prime Minister Datuk Seri Najib Razak announced the abolishments of four tolls nationwide during the tabling of Budget 2018 on Friday
The four tolls that will be abolished effective 1 January 2018 are Batu Tiga and Sungai Rasau in Selangor, Bukit Kayu Hitam in Kedah and the Eastern Dispersal Link in Johor.
Second Finance Minister Datuk Seri Johari Abdul Ghani was reported saying that the move would benefit 140,000 motorists travelling along the Federal Highway.
Drivers were thrilled when they first heard the good news
Drivers frequenting the Batu Tiga toll specifically have been rejoicing since.
Following Najib's announcement, the government will not pay a cash compensation to PLUS but extend the tenure of other PLUS highway tolls
According to Malaysiakini, Datuk Seri Johari Abdul Ghani said on 27 October, that the government will not compensate PLUS in cash, for abolishing four of its toll booths.
Instead, the government will try to extend the concession tenure of other tolls operated by PLUS.
"We don't pay cash compensation, we are trying to extend the tenure of existing tolls that are currently still operated (by the concessionaire)."
In their statement, PLUS said that "As discussions are on-going, we will make the necessary announcement upon receipt of further details from the Government."