The queries were raised by Barisan Nasional spokesman Abdul Rahman Dahlan on Friday. He had accused the state government of funding the costs of the project while allowing the project contractor to profit through 30-year road tolls and the sale of lucrative reclaimed waterfront land.
“We will hold a press conference on Monday based on the issues raised by Rahman,” state executive councillor Lim Hock Seng said today. Lim is the concillor responsible for public works, utilities and transport.
“The state government wishes to point out that Rahman did not provide a wholesome picture, which included incorrect information of the projects proposed, from the process of pre-qualification, open tender, feasibility studies, detailed design, independent environment impact assessment and subsequently physical construction,” the statement said.
Abdul Rahman, who is also minister for urban wellbeing and housing, had listed seven questions about the tunnel project and queried whether the true cost of the project would reach RM20 billion. He asked why the state had agreed to pay a total of RM305 million for studies on the project, the awarding of tolls, and RM6.3 billion worth of seaside land.
The seven questions were:
- Explain why the total cost of various studies for the project, which is essentially mostly paperwork could reach a staggering RM305 million?
- Was the award of these studies based on open tender? If in the affirmative, please explain why the initial feasibility study was awarded to a related party who did not appoint necessary consultants or expertise to complete the job and had to subsequently give up.
- Why was the private company already paid an advance payment of RM139 million even though the studies (feasibility report and environmental impact assessment) have yet to be completed?
- If the feasibility study is unfavourable, can the DAP Penang State Government recover any of the RM139 million already paid?
- Was the private company penalised for failure to adhere to the agreed project timeline?
- Despite agreeing to pay the full cost of the construction, why did the DAP Penang State Government agree to give a further 30 years toll concession to the company?
- Why did the DAP Penang State Government agree to pay using 110 acres (44ha) of prime seaside land -valued at RM6.3 billion in 2013 – for a project that may only be completed in 2025 at the earliest, given that this pre-identified land could be worth double or triple the RM6.3 billion in 2025?
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