Transport Minister Anthony Loke Siew Fook said the Port Klang regulator had to repay loan instalments of RM222 million per annum while its revenue was forecast at RM266 million this year.

“This means PKA would incur a cash deficit of nearly RM43 million a year after taking into account the administrative cost of RM80 million and capital expenditure of RM6 million.

“In order to cover the deficit, PKA needs to tap on its cash reserves every year.

“PKA is, therefore, discussing with the finance ministry on how to restructure its debt in order to reduce repayment and avoid diminishing its cash reserves,” he said here today.

Present were Deputy Transport Minister Kamarudin Jaffar and PKA general manager K Subramaniam.

Commenting on PKFZ, Loke said PKA should generate more revenue, through the free zone, as it presently brought in about RM80 million a year from the rental of industrial lots to private firms.

Meanwhile, he said the ministry had recommended that a professional be appointed as the new PKFZ chairman.

“(The chairman-designate) is an accountant and not a politician. An announcement on the matter will be made in the near future, as there are processes to be done before the person can become the new chairman.

“We will also not appoint a political leader to the PKFZ board to ensure the zone’s direction and performance can be improved.

“It’s crucial to generate revenue for PKA to enable it to repay its debt,” Loke added.