Media statement by Teo Nie Ching in Serdang on Friday, 2^nd March 2012:

Najib, reveal details behind grand saga toll plaza abolition!

Prime Minister Datuk Seri Najib Tun Razak announced yesterday at the groundbreaking ceremony of SRJK (C) Bandar Sungai Long that beginning today, two toll plazas along the Cheras-Kajang Highway will be abolished. The highway concessionaire company is Grand Saga Sdn Bhd.

As it is a move that will benefit the rakyat, we welcome the decision by the Prime Minister and his efforts to halve the charges for commuters traveling on the Grand Saga Highway.

However, we call on Prime Minister Datuk Seri Najib to be more open and transparent with Malaysians. We demand to know if the abolition of the toll plazas will result in another supplementary concession agreement between the Federal Government and the Concessionaire whereby the concession period will be extended, or if any compensation will be given to the Concession Company.

On September 19, 1995, a concession agreement was signed between Grand Saga Sdn Bhd and the Government of Malaysia, giving exclusive rights and authority to Grand Saga to manage, operate and maintain the expressway for a period of 30 years.

However, in 2002, the concession period of the Cheras-Kajang Highway was extended to 2027 following a revision of scheduled toll rate hikes. For that, Grand Saga was also compensated by the Government.

In 2003 and 2004, the government paid Grand Saga RM104.93 million in compensation, apart from waiving interest on and repayment on a RM59 million support loan given to the concessionaire.

In 2011, the Government extended the concession period to 2030 following the opening of the the access road connecting Bandar Mahkota Cheras to the Bandar Tun Hussein Onn Interchange.

As for the lucrativeness of the Cheras-Kajang Highway, the revenue collected until December 31, 2010 was RM585.5 million while total maintenance costs for the same period amounted to only RM147.31 million, whereas the cost of construction was RM282 million.

PM Najib should stop playing Santa Claus and be upfront and honest with all Malaysian, as to whether the abolition of the 2 toll plazas will lead to an extension of the concession period for the Cheras-Kajang Highway or whether more compensation will be paid to Grand Saga Sdn Bhd.

We must not allow Najib to use this move as a vote-fishing exercise for Barisan Nasional for the 13th General Election. All Malaysians deserve to know the details in the Government's latest "deal" with Grand Saga.

We deserve nothing more than the truth, the whole truth, and nothing but the truth. Najib owes all Malaysians an explanation!

* Teo Nie Ching, DAP Assistant National Publicity Secretary & MP for Serdang