Did PH stop or stall LRT3 between 2018 and 2020?

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Pakatan Harapan Did Not Halt or Stall the LRT3 Project Between 2018 and 2020

The Pakatan Harapan (PH) administration did not stop, stall, or suspend the Light Rail Transit Line 3 (LRT3) project during its tenure between 2018 and 2020. Upon taking office, the PH government considered the Shah Alam LRT Line to be a critical and essential project for Klang Valley residents and continued its construction. The administration actively worked with the Project Delivery Partner, MRCB-George Kent, to rationalise costs, leading to a significant reduction in the overall project budget.
Cost Rationalisation and Cabinet Approval

Following a review by independent engineering consultants appointed in mid-2018, when the project was approximately 9% complete, the Cabinet approved a substantial cost revision. This revision saw the project's budget reduced by 47%, from an initial RM31.65 billion down to RM16.63 billion, resulting in direct savings of RM15.02 billion. These savings were achieved through measures such as reducing the number of ordered train sets and deferring the construction of five stations identified with lower projected ridership. The completion target was also extended to 2024 to avoid acceleration costs.
Reinstatement of Stations and Final Cost

The five stations that were initially deferred were later reinstated under a second-phase contract, which also included additional trains and other upgrades, at a cost of RM5.3 billion. This brought the project's total cost to RM21.93 billion. Despite the reinstatement of these stations, the final cost remained RM9.72 billion lower than the original approved cost of RM31.65 billion.
Abolition of PDP Model and Financial Benefits

The Project Delivery Partner (PDP) model was abolished and replaced with a fixed-price contract. This change was intended to prevent cost overruns, as the PDP model's fee structure was tied to the project's overall value, potentially incentivising higher costs. The successful completion of the LRT3 project is estimated to have saved Malaysian taxpayers over RM9.72 billion in upfront costs. Furthermore, the reduced debt burden is projected to save the government up to RM10 billion in interest payments over the next 25 to 30 years.
Impact and Fund Reallocation

The cost savings realised through the rationalisation efforts were not at the expense of the LRT's functionality or passenger capacity. Instead, these savings allowed for funds to be redirected towards other crucial areas, including welfare programmes and development spending. The completed LRT3 line is expected to significantly ease traffic congestion in Selangor, reduce travel times, and stimulate economic development in the region.

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Did PH stop or stall LRT3 between 2018 and 2020?

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