GEORGE TOWN, July 4 — The decision to abolish Plaza Sungai Nyior toll falls under the jurisdiction of the federal government since there is an agreement between the government and the highway concession company.
Chief Minister Chow Kon Yeow said his office was waiting for the federal government’s consideration on the issue of compensation to be paid to Lingkaran Luar Butterworth (LLB) (Penang) Sdn Bhd if it is abolished.
“This is under the jurisdiction of the federal government which has an agreement with the concession company and if it is cancelled, then the issue of compensation arises because the concession agreement period has not expired.
“I believe this matter needs to be considered by the relevant ministry to see what compensation is required,” he told a press conference here today.
He added that if it is cancelled before the concession agreement period expires, it will involve losses on the part of the concessionaire company that has invested in building the highway.
He said previously the abolition of tolls in some highway areas had been implemented and it also involved the issue of compensation to the concessionaire companies involved.
Meanwhile, when asked if the cancellation of the Sungai Nyior Plaza toll will be included in the state election manifesto, Chow, who is also the chairman of Pakatan Harapan (PH) Penang, said that the issue of the manifesto has not yet been finalised.
”We are aware of the issues played by (opposition parties) including the abolition of tolls,” he said.
Yesterday, the Penang Gerakan urged DAP, which leads the state government, to provide an explanation for the failure to abolish the Sungai Nyior Plaza toll as promised in the 12th general election (2008).
The Sungai Nyior Toll Plaza began operating in January 2007 and in October 2015, LLB announced an increase in the toll rate from 50 sen to RM1.60.
The new toll rate for class one is RM1.20 compared to 70 sen, class two RM2.40 compared to RM1.00 and class three RM3.60 compared to RM2.00.
