KUCHING: Malaysia Bumiputera Contractors Association (PKBM) Sarawak has urged the federal government to look into the 30 per cent work allocation quota set for Bumiputera contractors for the Sarawak portion of the Pan Borneo Highway project.
Despite the report submitted to the Ministry of Works claiming the RM16.49 mega project has fulfilled the 30 per cent requirement, PKBM Sarawak president Dato Seri Abang Aditajaya Abang Alwi said that the situation on the ground appears otherwise.
“I had received a few complaints from the local Bumiputera contractors and consortium that they had been appointed and received their letter of intent to participate in the Pan Borneo Project since three years ago. But until now, they still yet to be issued letter of award for the project,” he revealed.
Abang Aditajaya also noted that there are only two years left to complete the project by its target deadline as it was supposed to be completed within five years ending 2021.
PKBM Sarawak is a non-governmental organisation set up to fight for greater participation of local Bumiputera contractors in strategic projects in the state.
“Most of our member companies have a track record of average 10 to 15 years so there is no reason for not placing the confidence on them to participate in the phase one of the Pan Borneo Project,” he said during a press conference held at a leading hotel here yesterday.
Abang Aditajaya asked the federal government and relevant authorities to initiate investigations as less than the required 30 per cent of Bumiputera contractors had actually been issued the letter of award for the construction of the highway.
“We do not know the reason, whether the problem lies with project delivery partner (PDP) or main contractors,” said Khairul Ahmat who represented Consortium Propan Borneo Sdn Bhd.
“We would like to request a thorough investigation to be carried out immediately and we hope the Ministry of Works would take our plight seriously as it involved the quota regarding the 30 per cent work allocations to Bumiputera contractors,” said Abang Aditajaya.
He said, however, that the association fully support the federal government’s decision to terminate the PDP agreement for the Pan Borneo Highway project in Sarawak.
Abang Aditajaya cited the savings made as the federal government would have to fork out about RM907 million, or 5.5 per cent of the project cost, as fee to the PDP, namely Lebuhraya Borneo Utara Sdn Bhd.
He added that the association would also be proposing to the federal government to increase the 30 per cent quota of work packages to 70 per cent.