From the Railway Assets Corporation
The Railway Assets Corporation extends its appreciation to Rosli Khan for his thought-provoking article, Too Many Trucks, Too Few Trains (FMT, July 12). The issues raised are both timely and relevant, especially in light of the current challenges facing Malaysia’s transport and logistics sector.
The demand for rail-based freight services continues to grow among industry players. Statistics show a significant increase in container volumes handled by Keretapi Tanah Melayu Berhad, the sole operator of cargo rail services in Malaysia, from 198,857 TEUs in 2020 to 324,764 TEUs in 2022.
This upward trend highlights the growing potential of the rail sector in supporting national trade and logistics.
Recognising this development, the government, through the transport ministry, is reevaluating the national transport ecosystem and placing greater emphasis on rail as the backbone of the logistics system.
The Road to Rail initiative, introduced under the National Transport Policy 2030, is a strategic move to promote a modal shift of cargo from road to rail. This approach is seen as a safer, more environmentally friendly, and cost-effective long-term solution.
RAC’s role and ongoing commitment
As the primary owner and manager of railway assets in Malaysia, RAC is fully aware of the two main challenges that must be addressed to support this transition:
Rail asset capacity: ensuring a sufficient and operational fleet of locomotives and freight wagons; Infrastructure development: constructing dedicated freight stations to support intermodal operations.
Reviving rail assets
In 2019, RAC introduced the rolling stock strategy as a 30-year long-term plan for the rail industry.
Under this initiative, which began implementation in 2023, a total of 44 locomotives and 246 freight wagons that are currently idle or non-operational will be refurbished in phases, with active participation from private sector partners.
This refurbishment, expected to be completed by 2027, will significantly enhance the nation’s rail freight capacity without incurring the high costs of procuring new rolling stock.
Kempas Baru rail line reopening
Another major development is the reopening of the Kempas Baru rail line in May. This 39.9km stretch connecting Kempas Baru, Seelong, and Johor port has been fully upgraded at a cost of RM55 million.
With the completion of this project, KTMB has increased cargo train frequency from two to six trips daily and tripled container handling capacity from 140 TEUs to 420 TEUs per day.
Enhancing intermodal infrastructure
To further improve infrastructure, RAC has issued a request for proposals inviting industry players to participate in the development of six new freight stations along the existing railway network.
These stations will serve as intermodal hubs, facilitating more efficient integration between rail and road transport.
Looking ahead to the 13th Malaysia Plan, the government plans to further expand rail freight capacity by procuring 44 additional locomotives and 1,200 new freight wagons.
This long-term investment reflects the government’s ongoing commitment to building a modern, reliable, and sustainable rail logistics system for the nation.
RAC reaffirms its commitment to enhancing Malaysia’s rail freight sector.
These initiatives aim not only to reduce dependency on road-based cargo transport but also to align with the national agenda to meet the sustainable development goals, reduce carbon emissions, and improve the safety of transport infrastructure.
With continued support from the government, operators, and industry stakeholders, RAC is confident that Malaysia’s rail logistics sector will grow into a key economic driver and position the country as a competitive and environmentally friendly regional logistics hub.
The Railway Assets Corporation, a statutory body under the transport ministry, is the primary owner and manager of railway assets in Malaysia.
The views expressed are those of the writer and do not necessarily reflect those of FMT.