DRT: Why an open tender was not used to appoint both companies? - Hilman Idham

Assemblyman questions state's alleged decision to skip open tender for DRT project

28 May 2024 08:29pm
Hilman - File photo by Bernama
Hilman - File photo by Bernama

SHAH ALAM - Gombak Setia assemblyman Hilman Idham has slammed the state government for its alleged lack of transparency in the recent Demand-Responsive Transit (DRT) Pilot Project in Selangor.

In a statement on Tuesday, Hilman raised concerns about the state government’s decision not to implement an open tender process when appointing the two companies involved.

He urged the state government to adopt more transparent and responsible practices to safeguard the interests of the people of Selangor.

"The central issue here is why the state government chose not to implement an open tender for the appointment of two companies.

"This needs to be thoroughly explained to the public since it involves the use of state government funds.

"To uphold transparency and accountability, the state government should be prepared to disclose the contract details related to the DRT project with the appointed companies,” he said.

Hilman further stated that the Selangor state needs to provide a detailed explanation for allegedly awarding the project through direct negotiation to Asia Mobility Technologies Sdn Bhd and Badan Bas Coach Sdn Bhd.

He said that this is necessary because the exclusive appointment of these two companies raises various questions, including the amount of investment by the state government, the business model, and the return on investment for the state government.

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Hilman stressed that the DRT is a new service model intended to serve as a 'feeder' to the existing public transportation system.

However, he said that the concept of DRT service is not new, as various e-hailing companies are already operating efficiently with advanced applications.

"I urge the state government to reassess the DRT service implementation model and cancel the existing contract to ensure the interests of the people of Selangor.

"Previous issues such as the controversy over the Selangkah application and the Insan Insurance Scheme that jeopardised the interests of the people should serve as lessons to preserve the state government's integrity and credibility,” he added.

Hilman also highlighted that he is confident that various e-hailing companies such as Grab, AirAsia Ride, Maxim, and even existing public transportation companies like Prasarana, have the capability to obtain licences from the Land Public Transport Agency (APAD) for the implementation of DRT services.

Therefore, he said the success and experience of implementing a 'proof of concept' alone are not sufficient to justify the state government’s appointment of the mentioned companies.