It is not the first project suspended since a new Malaysian government came into power last year promising to tighten finances and review major deals. Hopefully, the delay will not be a long one: at a joint press conference in Singapore the ministers agreed to proceed with the project not later than September 30 this year. For Malaysia, this suspension means the necessity to pay Singapore compensation for abortive costs.
The Rapid Transit System Link Project was much anticipated by thousands of Malaysians who travel back and forth to Singapore for work and school on a daily bases. The train project was expected to be complete by 2026 and is designed to carry up to 10,000 passengers per hour in each direction. It is about 30 times more than the existing train service can accommodate.
While Malaysia assures that they do not have intention to terminate the project but just need more time to re-evaluate it, the suspension will likely cost the country quite an amount.
Last year a high-speed rail project between Singapore and Malaysia’s capital, Kuala Lumpur, was also suspended. The analysts estimated it to cost around USD17 billion.
Confirmed: Singapore–Malaysia Train Project Suspended
News in Asia
A billion dollar train project that was supposed to link the city-state of Singapore and the southern Malaysian state of Johor was suspended, the transport ministers of the respective counties confirmed last week.