Malaysia
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Report: LRT3 project back on track with lower costs

LRT3-related works had slowed in recent months as Prasarana, contractors and MRCB-GK had not signed the new design and contracts. — Picture by Malay Mail
LRT3-related works had slowed in recent months as Prasarana, contractors and MRCB-GK had not signed the new design and contracts. — Picture by Malay Mail

KUALA LUMPUR, Sept 17 — Work on the Light Rail Transit 3 (LRT3) project is expected to continue by November after its contractors agreed to reduced project costs, a report has said.

Citing sources, local daily The Star’s business pullout StarBiz also reported that the LRT3 project delivery partner will still be the Malaysian Resources Corp Bhd-George Kent Bhd (MRCB-GK) joint venture.

The Finance Ministry previously highlighted the LRT3 project’s tripling in costs, before later announcing that the Cabinet had on July 11 approved the continuation of the project with the total cost to be reduced from RM31.65 billion to RM16.63 billion.

StarBiz cited sources when saying MRCB had asked LRT3 project contractors to provide lower estimated costs, while a source was quoted saying: “Contractors have agreed to the new revised cost.”

The report said LRT3-related works had slowed in recent months as Prasarana, contractors and MRCB-GK had not signed the new design and contracts.

It said sources expect the project’s altered design and contracts to be finalised before the end of next month, while works on the project should resume in November.

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