KUALA LUMPUR (Oct 30): The West Ipoh Span Expressway (Wise), to span 60.88km from Gopeng to Kuala Kangsar, is now estimated to cost RM6.2 billion instead of RM5.75 billion, according to the project’s concessionaire, East Coast Road Sdn Bhd (ECRSB).
It was previously estimated that the project would cost RM5.75 billion or about RM90 million per km. The latest figure remains a preliminary estimate and may be subject to further changes, said ECRSB director Any Arope Zainal Abidin.
The 55-year concession agreement for the highway was inked between the government and ECRSB in September this year to undertake the project.
Works Minister Datuk Seri Alexander Nanta Linggi reiterated that the government will bear no cost for the project during the handover of the concession agreement to ECRSB representatives on Wednesday.
“Among the prerequisites the company must meet is to finance the development cost and obtain approval from the [Perak] state government or relevant local authority.
“In this regard, I call for all parties, such as financial institutions, the state of Perak, local authorities and others to give the appropriate support and cooperation to make this project a success for the sake and benefit of the rakyat,” Nanta said.
Construction of the project will take four years and that work will kick-off once ECRSB meets the agreement’s prerequisites and obtains relevant approvals, Nanta said.
A company check with the the Companies Commission Malaysia (SSM) showed that ECRSB is 52.84% owned by Any Arope, Zurich Headquarter Sdn Bhd (22.78%), Zurich Capital Sdn Bhd (13.67%) and Ahmad Sahill Zainal Abidin (10.7%).
Zurich Headquarter is 92%-owned by Any Arope, Ahmad Mahadzir Shaffirin Md Som (5%), Muhamad Abd Karim Ismail (1.5%), Mustaffa Kamal Mohd Nayan (1.5%), Fatin Amirrah Zainal Abidin (0.003%) and Ahmad Sahill (0.002%).
Zurich Capital is 40%-owned by Zurich Zainal Abidin, Zulykha Zainal Abidin (30%) and Ahmad Sahill (30%).
Fixed toll rate
Nanta said a constant toll rate of 23 sen per kilometre has been fixed for Wise over the entire 55-year concession period, which includes the four-year construction period.
“This toll rate setting method is unique because it is the first of its kind in the country and ensures the highway’s users benefit because there will be no increase in the rakyat’s expenses for a long period of time,” he said.
According to Wise’s website, the highway is expected to use the multi-lane-free-flow (MLFF) tolling system.
Nanta said Wise is expected to reduce congestion along nearby highways by 40%.
“The Wise alignment provides an alternative route for users of the Menora Tunnel, who face congestion caused by a high number of heavy vehicles,” he said.
“This is based on the hilly profile and topography in Gopeng–Kuala Kangsar area, the PLUS Expressway which slows down the movement of heavy vehicles and further affects the flow of traffic, especially at peak times,” he added.
