By Farah Wahida:
The state government’s decision to freeze federal projects in Selangor such as the light rail transit (LRT) extension project and other highway-related projects is a bad move, said analysts.
“We are disappointed by the state’s action to consider freezing the light rail transit (LRT) project,” said Hong Leong Investment Bank (HLIB) Research in a report.
“The extension project has already been delayed and further delays will result in cost overruns and prolong the traffic congestion and inconvenience faced by residents staying nearby.”
In addition, site workers and machinery would be left idle, revenue recognition would be delayed and the project freeze may lead to higher costs if material prices rise later on.
“We are negatively surprised by this news,” added Alliance Research.
“A freeze on Federal funded jobs in Selangor would have an adverse impact on the contractors involved.”
Meanwhile, HLIB Research’s latest checks on the concerned projects revealed that the LRT Extension project is still on-going.
The research house thinks that the government’s “freeze” would likely affect projects that have not yet started.
On the other hand, HLIB Research told StarBiz that highway-related projects are more likely to be impacted as some of them have not yet been launched.
“The proposed highways that we believe will be affected are the Sungai Besi-Ulu Klang Expressway, Damansara-Shah Alam Expressway, Serdang-Kinrara Putrajaya Expressway, Kinrara-Damansara Expressway, East Klang Valley Expressway and West Coast Expressway, with total development cost of approximately RM19 billion,” said HLIB Research.
The state government’s decision to freeze federal projects in Selangor such as the light rail transit (LRT) extension project and other highway-related projects is a bad move, said analysts.
“We are disappointed by the state’s action to consider freezing the light rail transit (LRT) project,” said Hong Leong Investment Bank (HLIB) Research in a report.
“The extension project has already been delayed and further delays will result in cost overruns and prolong the traffic congestion and inconvenience faced by residents staying nearby.”
In addition, site workers and machinery would be left idle, revenue recognition would be delayed and the project freeze may lead to higher costs if material prices rise later on.
“We are negatively surprised by this news,” added Alliance Research.
“A freeze on Federal funded jobs in Selangor would have an adverse impact on the contractors involved.”
Meanwhile, HLIB Research’s latest checks on the concerned projects revealed that the LRT Extension project is still on-going.
The research house thinks that the government’s “freeze” would likely affect projects that have not yet started.
On the other hand, HLIB Research told StarBiz that highway-related projects are more likely to be impacted as some of them have not yet been launched.
“The proposed highways that we believe will be affected are the Sungai Besi-Ulu Klang Expressway, Damansara-Shah Alam Expressway, Serdang-Kinrara Putrajaya Expressway, Kinrara-Damansara Expressway, East Klang Valley Expressway and West Coast Expressway, with total development cost of approximately RM19 billion,” said HLIB Research.
Rent in Moscow at russianrent.com/en all exclusive and luxury apartment in Moscow for short and long time stay louer à Saint Petersbourg at russianrent.com
ReplyDeleteThis is very interesting, but it is necessary to click on this link: Immobilien Norddeutschland
ReplyDelete