Twenty-six projects from 9th Plan brought forward
BY SA’ODAH ELIASPUTRAJAYA: Twenty-six development projects originally slotted for the 9th Malaysia Plan have been brought forward to revitalise the sluggish construction industry.
The projects, which will cost the Government RM2.4bil, are scheduled to be announced in the next few days. They will commence from the middle of this year.
Prime Minister Datuk Seri Abdullah Ahmad Badawi said the Government hoped this move would stimulate the industry that had contracted by 1.9% last year, and was expected to continue shrinking this year.
“These projects will be implemented through open tender to ensure competitive pricing.
“To benefit more contractors, the bigger projects that involve very high costs will be divided into packages and tendered separately,” he said when opening the 2006 Budget Consultation at the Finance Ministry yesterday. The Budget, which carries the theme Enhancing Quality Development: Commitment to Excellence, will be tabled on Sept 30 this year.
Abdullah, who is also Finance Minister, said imported materials would not be allowed for the projects, and priority would be given to contractors that utilise the industrialised building system.
He said the agencies involved in implementing this programme had been directed to act fast in advertising the opening of the tenders so that selection of contractors for the jobs could be speeded up.
Many parties, he said, had wanted the Government to emulate moves by many developed countries to increase the number of projects just to keep contractors from going bankrupt.
However, as a developing and trading nation that was at the mercy of various external factors, and one with a limited source of funds, such a move was not suitable for Malaysia, he said.
Still, the Government would strive for a balance between being prudent to ensure a sustainable deficit and ensuring a robust economic growth, as evidenced by this latest move to bring forward future projects, said Abdullah.
Aside from that, the Government had also allocated RM500mil to finance maintenance works on existing infrastructures nationwide.These jobs would be allocated to F-class contractors, he added.
Of that, he said, RM250mil had already been channelled to the Implementation and Coordination Unit in the Prime Minister’s Department for maintenance works that would be carried out at state level.
These involved 8,471 projects, and 2,567 contractors had been awarded tenders to carry them out, he said.
Those who attended the Budget Consultation session included representatives from various industries, non-governmental organisations, government-linked companies, and government agencies, as well as individuals.
Abdullah said the Government had chosen Enhancing Quality Development: Commitment to Excellence as the theme of this year’s Budget to emphasis its focus on development that is based on quality.
The 2006 Budget, he said, would influence the direction for the implementation of the Ninth Malaysia Plan and the second phase of Vision 2020.
The Budget would also focus on “soft infrastructure”.
On the question of Penang’s second bridge, Abdullah said it would be implemented after the existing one had been expanded.
“We are going ahead with the expansion; the second bridge will come later,” he added.
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