PETALING JAYA: The company building the Circle Line mass transit railway says a RM5 billion cut in the cost of the MRT3 project is attainable, by conducting open tenders with strict criteria and processes.
Mass Rapid Transit Corporation Sdn Bhd (MRT Corp) said the company was happy to hear the prime minister’s commitment to the continuation of the project and was confident it would be able to exercise prudent cost controls.
Prime Minister Anwar Ibrahim announced yesterday that the government planned to reduce the 51km line’s construction cost to under RM45 billion, as opposed to the RM50 billion price tag announced by the previous government.
MRT Corp CEO Zarif Hashim said: “We are of the view that the budget saving is attainable as the project will be implemented through various open tender exercises with strict criteria and processes.”
Zarif said it would also manage the impact on stakeholders, such as during land acquisition or construction, as a result of the cost reduction.
The MRT3 mass rapid transit project, also known as the Circle Line, runs over a 50.8km circular alignment covering the perimeter of Kuala Lumpur. Work resumed last year after it was put on hold by the Pakatan Harapan government in 2018 and delayed further by the outbreak of the Covid-19 pandemic.
The Circle Line is slated to be fully operational by 2030, with the first phase set to begin operations two years before that.