Rafizi: Prasarana set to lose RM142 million in Saudi train project

rafizi-prasarana2KUALA LUMPUR: PKR’s Pandan MP Rafizi Ramli today alleged that state-owned Prasarana Malaysia Berhad had made a huge financial loss in a deal to operate and maintain a metro train project in Saudi Arabia.

From information obtained, he estimated that Prasarana would lose RM142 million from 2015 through to May 2018.

“Today, we can see that it is actually Malaysians who are donating money to Saudi Arabia,” he told a media conference at Parliament, referring to Prime Minister Najib Razak’s claim in the past that he had received a RM2.6 billion donation from a member of the Saudi royal family.

The Saudi deal was agreed on in May 2015 when the Malaysian transport infrastructure company was awarded a contract to take over the operation and maintenance of the Mecca pilgrims train service, Al Mashaaer Al Mugaddassah Makkah Metro Southern Line (MMMSL), from China Railway Construction Consortium (CRCC).

Rafizi said his calculation of the losses borne by Malaysia for building the transportation project had been confirmed by a written reply issued by Najib in the Dewan Rakyat yesterday.

Najib, in the written reply, said the value of the Prasarana contract for the period from December 2014 until May 2018 was RM930 million.

“The total revenue received up to June 30, 2017 was RM580 million while expenditure over the period totalled RM679 million,” the prime minister added.

Rafizi said based on Najib’s reply, the deficit borne by the government was RM99 million, consistent with the MP’s own calculations.

“In a situation where Prasarana has experienced losses every year when operational costs exceeded ticket collections, why is the company being burdened with the metro train project in Saudi Arabia?” he asked.

FMT has contacted Prasarana and is awaiting a response.