KUALA LUMPUR: Boustead Naval Shipyard Sdn Bhd (BNS) has agreed to provide progress reports on the Littoral Combat Ship (LCS) to the government every three months.
BNS chairman Datuk Nazim Rahman said the company would also work in tandem with the Project Monitoring Committee (PMC), co-chaired by the Treasury secretary-general and the Defence Ministry secretary-general hence, providing added governance.
"BNS credits the government for taking a decisive step in continuing the LCS project, which is a reflection of its firm commitment towards the enhancement of the country’s defence capabilities.
"The LCS project is not only vital to the security of our maritime border but also to the growth of our maritime economy," he said in a statement on Saturday (June 10).
He said BNS also welcomed the Public Accounts Committee (PAC) to the Royal Malaysian Navy naval base in Lumut, Perak as part of its proceedings on the construction progress of the Second-Generation Patrol Vessel (SGPV) with LCS Capability.
"This is a step in the right direction and showcases the concerted efforts and steadfastness of all parties in ensuring that the LCS project is successfully delivered.
"With due consideration to the national significance of this project, BNS will focus all its efforts towards readying the first ship for Sea Acceptance Trials by 2024," he said.
It was previously reported that the Finance Ministry has established a special purpose vehicle (SPV) to take over the company responsible for the LCS construction project, BNS as a subsidiary.
Defense Minister Datuk Seri Mohamad Hasan had said the LCS project would still be monitored by the Project Monitoring Committee (PMC) jointly chaired by the Treasury secretary-general and the Defense Ministry (Mindef) secretary-general.
In addition, periodic reports to the Cabinet will be prepared in accordance to the conditions set by the Auditor-General and periodic reporting to the Parliament through the PAC will be done at least once every three months to ensure that the project can be monitored by all parties.
"This is necessary for us to achieve our intentions to continue the construction of the LCS as required by the Royal Malaysian Navy (RMN) and the Malaysian Armed Forces," he said.
The LCS project erupted in controversy after the PAC revealed that not a single ship had been completed even though the government had paid BNS RM6.083bil.
