PAC still has questions on PKFZ

Thursday October 18, 2007MYT 7:27:21 PM


PORT KLANG: The Public Accounts Committee (PAC) wants to know the final cost of the Port Klang Free Zone (PKFZ) and how the provisional cost of RM560mil will be spent, since the project is almost completed.

PAC chairman Datuk Shahrir Abdul Samad said the committee was seeking explanations from the Port Klang Authority and PKFZ on the RM2.8bil development cost, including 20% of the provisional cost.

“It (PKFZ) is practically ready now except for the hotel, exhibition centre and the main access road due to be done by the end of this year, how much of the provisional cost does it needs? We want to know the actual development cost,” he said.

Shahrir said he hoped to get the answers from the authorities concerned by year's end, when the project would be completed.

After visiting and being briefed on the project at the PKFZ site Thursday, he said there were many questions still unanswered.

“Now we have confirmed the project’s existence, but we still have questions on the project,” he said after a two-hour site tour and briefing by PKFZ business development general manger Chia Kon Leong.

Also present were six MPs and Auditor-General Tan Sri Ambrin Buang.

When asked if he was satisfied with the visit and the explanation by PKFZ, Shahrir said: “As far as the project is concern, we are satisfied, but are not finished with the PKFZ yet.
“We have one more meeting with the Attorney-General’s Chambers, only then will we decide if there are other areas of inquiry we have proceed with.”

Shahrir said the PAC was still waiting for a suitable date to meet with the Attorney-General to get legal opinion on the decision made by the Transport Ministry and Port Klang Authority to buy the land for PKFZ instead of acquiring it through established means.

Other questions PAC were focusing on were land price and execution of the project, he said.
“We are not anti-development, we just don’t want to see any party taking advantage of the situation or any misconduct.

“We support the government’s programme because we are also part of the system but we cannot condone corruption, over expenditure and decisions not made according to procedure,” he added.

The PAC first met on Sept 6 to discuss the PKFZ issue. Its aim is to determine how the PKFZ project came up to RM4.7bil in all, and also the issuance of bonds worth RM4.6bil by the Securities Commission for a soft loan for the project.