Scomi denies it is responsible for delay in KL Monorail project

Once all the 12 four-car trains are in operation, the 2-car trains will be decommissioned. They will be sold to other companies.

KUALA LUMPUR: Scomi Engineering Bhd denies that its unit Scomi Transit Projects Sdn Bhd (STP) is responsible for the delay in the Kuala Lumpur Monorail expansion project.

In a statement to Bursa Malaysia, Scomi Engineering said the delays were caused by “various matters over which STP had no control and in respect of which STP was entitled to (and did not) receive extensions of time and prolongation costs.”

It claims STP was not afforded its rights under the contract in connection with the delay and/or variations to the specifications and did not receive payments when due.

Scomi was responding to a statement from Prasarana Malaysia Bhd, the project owner of the monorail project, that said Prasarana would contest an injunction order obtained by STP against it.

STP obtained the order on June 21 preventing Prasarana from terminating the RM494mil contract given to STP, which involves the supply of 12 sets of four-car monorail trains to replace the current two-car train sets.

Initiated under the Government’s National Key Results Area – Urban Public Transport, the project had been targeted for completion by July 2013.

“Had it been implemented and in service by now, the project would also have incorporated advances in safety as well as have provided improved access for persons with disabilities. These enhancements have been delayed and the public has been inconvenienced as a result,” Prasarana president and group chief executive officer Datuk Azmi Abdul Aziz said in the public transport operator’s statement.

Scomi said STP had delivered an up-to-date monorail system with new four-car trains that met “the highest international standards.”

“The trains’ systems comply with European standards and provide universal access to cater for the needs of disabled travellers. The new trains have been proven in Kuala Lumpur since December 2014, when it was put into revenue service,” it said.

Scomi said STP stood ready to deliver the remaining trains for the originally negotiated price and to complete the project in 12 months provided that STP’s payment claims totalling RM365mil were dealt with promptly and fairly.

“STP has during the last three months engaged with some of the stakeholders and Prasarana with a view to negotiating a solution to the current situation which involves appointment of an independent expert to evaluate STP’s claims of RM365mil, a remedial plan which would see delivery of all remaining trains, and reinstatement of the performance bond,” it added.

Scomi said its monorail technology was completely developed in Malaysia and the company’s subsidiary Scomi Rail Bhd was the only Malaysian manufacturer and designer of monorail rolling stock.

“Scomi Rail markets its product in Malaysia and overseas and to date has won four international tenders for monorail systems leading to growing international recognition of the quality and capability of its monorail product,” it noted.

* See also Prasarana to contest court injunction