The Jakarta Post , Jakarta Sun, 12/27/2009 9:43 AM Jakarta
The number of passengers flying via Jakarta's Soekarno Hatta airport increases by 15 percent in 2009 to 36 million people, Tempointeraktif.com reported Sunday.
By the end of November, the number of passengers already reached 33.78 million people, already surpassing the 2008 number of around 32 million, according to Endang Supriadi, head of the airport's data administration division.
Endang said that the number of passengers flying via the airport's Terminal I, II and III now had already reached over 100,000 people daily, and therefore, by the end of this year, the number could reach 36 million.
"Looking at this trend, we expect that the number could increase by 15 percent by the end of the year," Endang told Tempointeraktif.com, adding that the increase was exceeding the airport's earlier projection of 10 percent increase.
Endang noted that the increase was made possible with the availability of more flights to new destinations in the country and the relatively low fares as well as fewer accidents.
Sunday, December 27, 2009
The Past Decade in 50 Headlines
The Past Decade in 50 Headlines
By Morgan Housel
December 24, 2009 Comments (16)
(From The Motley Fool. http://www.fool.com/)
It all started with a panic …
Y2K Ripple Effect Could Spell Doom for Many Businesses
Business Wire, Dec. 28, 1999
That never happened …
First Business Day of Y2K Uneventful
The Associated Press, Jan. 3, 2000
So the party continued …
Analysts Agree Market Has Only Witnessed Start of Internet fever; No End in Sight for Tech Craze
Morning Post, March 26, 2000
The crazies showed up …
Dow 36,000? Why Stop There? Some Wall Street Pundits Say There's No Limit to How High it Can Go
National Post, Oct. 2, 1999
Lured by riches …
Bill Gates Net Worth Draws Close to $100 Billion
USA TODAY, Jan. 21, 1999
Drowning in denial …
The Stock Market Bubble That Is Likely To Go On Floating
Scotland on Sunday, March 26, 2000
Until sanity prevailed …
Bubble Bound to Burst When the Cash Fails to Materialize
Guardian, March 24, 2000
And the fun ended …
Bubble Bursts: Iron Laws of the Market Bring a Sharp Dose of Reality
Guardian, Dec. 30, 2000
Amazon.com (Nasdaq: AMZN). Cisco (Nasdaq: CSCO). Microsoft (Nasdaq: MSFT). Yahoo! (Nasdaq: YHOO) shares crash. Hangover ensues.
But just when we thought it was over …
Two Planes Crash into World Trade Center in Apparent Terrorist Attack; Tower Collapses to the Ground
AP Newswire, Sept. 11, 2001
Markets panicked …
Wall Street to Remain Closed in Wake of Terrorist Strikes
The Times, Sept. 13, 2001
Adding insult to injury …
•Enron Admits to Overstating Profits by About $600 Million
New York Times, Nov. 9, 2001
•WorldCom Says Nearly $3.8 Billion Hidden in its Books
The Associated Press, June, 2002
•Adelphia Files for Chapter 11 Bankruptcy Protection After Scandal
The Associated Press, June 25, 2002
How'd that all happen?
Enron Was Standard for Deregulation
Copley News Service, Nov. 29, 2001
Oh, that's right.
By now, investors are disillusioned with stock market shenanigans. But no need to worry …
Cure for a Burst Bubble: Another Bubble
National Post, Dec. 20, 2001
O ... K. Where?
New Home Buyers, Don't Fret!; Economy Slows, But Home Sales Are Hot
Toronto Sun, Nov. 2, 2001
Hmm. Tell me more …
Weathering Recession, Housing Market Continues to Roar
The Associated Press, March, 2002
I'm listening …
Fannie Mae Sees No End to Housing Boom
United Press International, Jan. 22, 2002
Sold! And it kept going …
Housing Market Surges to Record Levels
World Markets Analysis, Aug. 27, 2002
and going …
More People are Looking to Remortgage Their Property
Money Management, July 1, 2003
and going …
Home Construction Soars to 17-Year High; October Figures Defy Predictions of Decline
Washington Post, Nov. 20, 2003
And it can't be stopped …
Median Home Price Up 9.1%
USA TODAY, Aug. 27, 2004
Creating all sorts of wealth …
Buyers Turn Rising Equity into Major Spending Tool
Washington Times, Sept. 27, 2005
Fueling all sorts of fun …
'Tis the Season to go Shopping: 5% Surge Expected
FP Investing, Dec. 7, 2005
Until people got nervous …
Steep Rise in Prices for Homes Adds to Worry About a Bubble
New York Times, May 25, 2005
Even this guy spoke up:
Greenspan Is Concerned About 'Froth' In Housing
New York Times, May 21, 2005
(He's extremely observant.)
Home Sales Drop 3rd Month in Row; Market Cooling Off Faster Than Expected
USA TODAY, Jan. 26, 2006
The dam breaks …
Desperation Sets In While Homes Sit for Months With No Offers
USA TODAY, Oct. 26, 2006
And some people asked …
When Does A Housing Slump Become A Bust?
New York Times, June 17, 2007
Maybe when this happens:
Rising Defaults Shut Down Two Hedge Funds; Bernanke Says Subprime Fallout Will Hurt Economy
Washington Times, July 19, 2007
Yeah, that's when you panic …
Mortgage-Backed Securities Spread U.S. Subprime Woes Abroad
USA TODAY, Aug. 14, 2007
And panic we did …
1907 Panic: Subprime Fallout Draws Comparisons
The Gazette, Aug. 10, 2007
Until Ben Bernanke flew in …
Fed Cuts Interest Rate Half Point, Stock Markets Soar
New York Times, Sept. 19, 2007
And before long …
Dow Soars Past 14,000 To Register New All-Time High
The Frontrunner, Oct. 2, 2007
Sweet! Crisis averted.
Cayne Out As Bear Stearns CEO
The Associated Press, Jan. 9, 2008
What … the … heck is going on here?
Bear Stearns Responds to Rumors, Says Balance Sheet, Liquidity, Capital Remain Strong
The Associated Press, March 10, 2008
Phew. Had me worried there.
Shares of Bear Stearns Plummet on Fears Bank is in Danger of Insolvency
The Associated Press, March 13, 2008
Uh … oh …
Bear Stearns Bailed Out by Fed, JPMorgan
The Associated Press, March 14, 2008
Thank you, JPMorgan Chase (NYSE: JPM). Now carry on like nothing happened.
U.S. Stock Rally Fuels Dow Close Above 13,000
MarketWatch, May 1, 2008
See how easy that is?
Taxpayers Take on Trillions in Risk; Fannie, Freddie Placed Under Conservatorship
USA TODAY, Sept. 8, 2008
Crap. Time to stock up on toilet paper …
•Wall Street Chaos: Lehman Bankrupt, Bank of America Buys Merrill
AP Newswire, Sept 15, 2008
•Government Bails Out AIG with $85 Billion Loan
The Associated Press, Sept. 17, 2008
Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) prepare to get flushed, when …
Bush Asks Congress for $700 Billion for Bailout
The Associated Press, Sept. 20, 2008
Panic ensues …
U.S. Stocks Slide, Dow Plunges 777 Points
MarketWatch, Sept. 29, 2008
Neurosis ensues …
Dow Ends Up Almost 900 points
The Associated Press, Oct. 29, 2008
We all give up …
Investors Throw In the Towel
Slate Magazine, March 3, 2009
Before long, hope returns …
Stocks Move Higher as Industrial Production Rises
The Associated Press, Sept. 16, 2009
Barriers are reclaimed …
Dow Crosses 10,000
MarketWatch, Oct. 14, 2009
And we end this story …
Dow Jones Industrial Average, Dec. 23, 2009: 10,466
About where we started …
Dow crosses 10,000
Associated Press Worldstream, March 16, 1999
Here's to a more prosperous decade. Happy Holidays, Fools.
Fool contributor Morgan Housel doesn't own shares in any of the companies mentioned in this article. Amazon.com is a Motley Fool Stock Advisor selection. Microsoft is a Motley Fool Inside Value pick. Motley Fool Options has recommended diagonal calls on Microsoft. The Fool has a disclosure policy.
By Morgan Housel
December 24, 2009 Comments (16)
(From The Motley Fool. http://www.fool.com/)
It all started with a panic …
Y2K Ripple Effect Could Spell Doom for Many Businesses
Business Wire, Dec. 28, 1999
That never happened …
First Business Day of Y2K Uneventful
The Associated Press, Jan. 3, 2000
So the party continued …
Analysts Agree Market Has Only Witnessed Start of Internet fever; No End in Sight for Tech Craze
Morning Post, March 26, 2000
The crazies showed up …
Dow 36,000? Why Stop There? Some Wall Street Pundits Say There's No Limit to How High it Can Go
National Post, Oct. 2, 1999
Lured by riches …
Bill Gates Net Worth Draws Close to $100 Billion
USA TODAY, Jan. 21, 1999
Drowning in denial …
The Stock Market Bubble That Is Likely To Go On Floating
Scotland on Sunday, March 26, 2000
Until sanity prevailed …
Bubble Bound to Burst When the Cash Fails to Materialize
Guardian, March 24, 2000
And the fun ended …
Bubble Bursts: Iron Laws of the Market Bring a Sharp Dose of Reality
Guardian, Dec. 30, 2000
Amazon.com (Nasdaq: AMZN). Cisco (Nasdaq: CSCO). Microsoft (Nasdaq: MSFT). Yahoo! (Nasdaq: YHOO) shares crash. Hangover ensues.
But just when we thought it was over …
Two Planes Crash into World Trade Center in Apparent Terrorist Attack; Tower Collapses to the Ground
AP Newswire, Sept. 11, 2001
Markets panicked …
Wall Street to Remain Closed in Wake of Terrorist Strikes
The Times, Sept. 13, 2001
Adding insult to injury …
•Enron Admits to Overstating Profits by About $600 Million
New York Times, Nov. 9, 2001
•WorldCom Says Nearly $3.8 Billion Hidden in its Books
The Associated Press, June, 2002
•Adelphia Files for Chapter 11 Bankruptcy Protection After Scandal
The Associated Press, June 25, 2002
How'd that all happen?
Enron Was Standard for Deregulation
Copley News Service, Nov. 29, 2001
Oh, that's right.
By now, investors are disillusioned with stock market shenanigans. But no need to worry …
Cure for a Burst Bubble: Another Bubble
National Post, Dec. 20, 2001
O ... K. Where?
New Home Buyers, Don't Fret!; Economy Slows, But Home Sales Are Hot
Toronto Sun, Nov. 2, 2001
Hmm. Tell me more …
Weathering Recession, Housing Market Continues to Roar
The Associated Press, March, 2002
I'm listening …
Fannie Mae Sees No End to Housing Boom
United Press International, Jan. 22, 2002
Sold! And it kept going …
Housing Market Surges to Record Levels
World Markets Analysis, Aug. 27, 2002
and going …
More People are Looking to Remortgage Their Property
Money Management, July 1, 2003
and going …
Home Construction Soars to 17-Year High; October Figures Defy Predictions of Decline
Washington Post, Nov. 20, 2003
And it can't be stopped …
Median Home Price Up 9.1%
USA TODAY, Aug. 27, 2004
Creating all sorts of wealth …
Buyers Turn Rising Equity into Major Spending Tool
Washington Times, Sept. 27, 2005
Fueling all sorts of fun …
'Tis the Season to go Shopping: 5% Surge Expected
FP Investing, Dec. 7, 2005
Until people got nervous …
Steep Rise in Prices for Homes Adds to Worry About a Bubble
New York Times, May 25, 2005
Even this guy spoke up:
Greenspan Is Concerned About 'Froth' In Housing
New York Times, May 21, 2005
(He's extremely observant.)
Home Sales Drop 3rd Month in Row; Market Cooling Off Faster Than Expected
USA TODAY, Jan. 26, 2006
The dam breaks …
Desperation Sets In While Homes Sit for Months With No Offers
USA TODAY, Oct. 26, 2006
And some people asked …
When Does A Housing Slump Become A Bust?
New York Times, June 17, 2007
Maybe when this happens:
Rising Defaults Shut Down Two Hedge Funds; Bernanke Says Subprime Fallout Will Hurt Economy
Washington Times, July 19, 2007
Yeah, that's when you panic …
Mortgage-Backed Securities Spread U.S. Subprime Woes Abroad
USA TODAY, Aug. 14, 2007
And panic we did …
1907 Panic: Subprime Fallout Draws Comparisons
The Gazette, Aug. 10, 2007
Until Ben Bernanke flew in …
Fed Cuts Interest Rate Half Point, Stock Markets Soar
New York Times, Sept. 19, 2007
And before long …
Dow Soars Past 14,000 To Register New All-Time High
The Frontrunner, Oct. 2, 2007
Sweet! Crisis averted.
Cayne Out As Bear Stearns CEO
The Associated Press, Jan. 9, 2008
What … the … heck is going on here?
Bear Stearns Responds to Rumors, Says Balance Sheet, Liquidity, Capital Remain Strong
The Associated Press, March 10, 2008
Phew. Had me worried there.
Shares of Bear Stearns Plummet on Fears Bank is in Danger of Insolvency
The Associated Press, March 13, 2008
Uh … oh …
Bear Stearns Bailed Out by Fed, JPMorgan
The Associated Press, March 14, 2008
Thank you, JPMorgan Chase (NYSE: JPM). Now carry on like nothing happened.
U.S. Stock Rally Fuels Dow Close Above 13,000
MarketWatch, May 1, 2008
See how easy that is?
Taxpayers Take on Trillions in Risk; Fannie, Freddie Placed Under Conservatorship
USA TODAY, Sept. 8, 2008
Crap. Time to stock up on toilet paper …
•Wall Street Chaos: Lehman Bankrupt, Bank of America Buys Merrill
AP Newswire, Sept 15, 2008
•Government Bails Out AIG with $85 Billion Loan
The Associated Press, Sept. 17, 2008
Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) prepare to get flushed, when …
Bush Asks Congress for $700 Billion for Bailout
The Associated Press, Sept. 20, 2008
Panic ensues …
U.S. Stocks Slide, Dow Plunges 777 Points
MarketWatch, Sept. 29, 2008
Neurosis ensues …
Dow Ends Up Almost 900 points
The Associated Press, Oct. 29, 2008
We all give up …
Investors Throw In the Towel
Slate Magazine, March 3, 2009
Before long, hope returns …
Stocks Move Higher as Industrial Production Rises
The Associated Press, Sept. 16, 2009
Barriers are reclaimed …
Dow Crosses 10,000
MarketWatch, Oct. 14, 2009
And we end this story …
Dow Jones Industrial Average, Dec. 23, 2009: 10,466
About where we started …
Dow crosses 10,000
Associated Press Worldstream, March 16, 1999
Here's to a more prosperous decade. Happy Holidays, Fools.
Fool contributor Morgan Housel doesn't own shares in any of the companies mentioned in this article. Amazon.com is a Motley Fool Stock Advisor selection. Microsoft is a Motley Fool Inside Value pick. Motley Fool Options has recommended diagonal calls on Microsoft. The Fool has a disclosure policy.
Unprecedented infrastructure development?
Rendi A. Wintular , Jakarta Mon, 12/21/2009 11:52 AM Review & Outlook
For the government’s economic team, 2010 will be a decisive year to demonstrate its competence in settling the accumulation of five years of homework resolving the protracted problems that are stifling infrastructure development.
A set of policies aimed at expediting key infrastructure projects, notably highway and power projects, were unveiled in late October for all levels of government to work on.
Among the policies widely expected next year is a revision of a 2006 presidential decree on land clearance for public interest and a law on the revocation of land ownership rights.
According to Public Works Minister Djoko Kirmanto earlier this month, a revision to the presidential decree would include the halving of the land price negotiation period from 120 days to 60 days. The private sector will also be allowed to start construction of government-initiated projects as soon as 51 percent of the required land has been cleared.
Djoko is optimistic that all land-purchase policies, especially those for toll road projects, can be passed by the end of January. However, revisions to land clearance laws, he said, would take longer as they would need to be deliberated among lawmakers.
According to Djoko, the government’s negotiation team for land clearance will also be overhauled because its members are made up of incompetent officials working for local administrations.
Most infrastructure projects have hit roadblocks as landowners refuse to sell their land at market prices, demanding prices that often reach irrational levels.
Of the 1,000 kilometers of toll road projects linking the Eastern and Western tips of Java, planned in 2004, only around 40 kilometers have been constructed thus far, according to the Public Works Ministry. (Ha ha ha - blogger)
The Central Statistics Agency reveals growth in highway capacity, excluding toll roads, only reached an average of 3 percent annually between 2002 and 2007.
As of the end of 2007, Indonesia only has 421,535 kilometers of road linking its 1.91 million square-kilometers of land.
Analysts have voiced concerns that limited highway capacity — including toll roads — has already created a bottleneck in logistics and distribution of goods, undermining the nation’s competitiveness.
In order for the private sector to feel secure in building more highways, toll roads and power plants, the government is slated to form a company next year that will cover all risks when participating in government-initiated infrastructure projects.
The company, dubbed as PT Penjamin Infrastruktur Indonesia, will function as an insurer to any risk exposed to the private sector.
The company will complement the already established state-run financing company PT Sarana Multi Infrastruktur in managing the construction of infrastructure.
Aside from highway and toll road projects, the government has also pledged to accelerate the development of its first and second phases of 10,000-megawatt (MW) power plants.
Nearly half of the projects included in the first phase could be ready by the second half of 2010, falling short of the target of being entirely operational in 2009.
Among the policies proposed to accelerate construction is a revision to a set of regulations that will eventually enable state-run power company PT Perusahaan Listrik Negara (PLN) to have flexibility in determining the electricity prices purchased from independent power producers (IPPs).
Under the existing regulations, the government is setting a price cap for PLN when negotiating an electricity purchase with the private sector, regardless any impact from inflation and unexpected soaring costs of plant construction.
According to the Energy and Mineral Resources Ministry, only 18 percent of 50 private companies willing to construct power plants have so far secured a deal with PLN and licenses from the government.
Due to the difficulties, several resource-rich provinces are currently under a protracted plague of electricity shortage.
Aside from limited electricity supplies, the business community is also concerned with interruptions in power distribution due to PLN’s already overstretched facilities.
The company, which has a monopoly in electricity distribution, has recently suffered problems in its storage and transmission networks, which has resulted in rotating blackouts in many parts of the country, most notably in Greater Jakarta.
PLN will need an investment of US$933 million to overhaul and expand its transmission networks next year, according to the company’s president director Fahmi Mochtar.
The company, he said, could only provide 78 percent of the funds, with sourcing for the outstanding amount still being worked out.
Critics have said problems in the company’s sagging facilities had actually been noticed by policy makers as long as five years ago. However, no measures have been proposed.
A combination of stiff bureaucratic mentality and poor coordination among ministries and agencies have contributed to sluggish infrastructure development.
Doubts are lingering in the business community over the ability of economic ministers and bureaucrats to resolve the coordination problems, exacerbated by overlapping regulations.
Several key policies to watch for:
1. Policy synchronization for spatial planning.
2. Revision in land clearance regulations and laws.
3. Reform at the National Land Agency.
4. The forming of the risk-mitigating company for infrastructure PT Penjamin Infrastruktur Indonesia.
5. Regulation issued on forest conversion.
6. Revision to government regulations on the use of idle land.
7. Revision to government and ministerial regulations to increase the portion of coal allocated for the domestic market.
8. Revision to regulations related to PLN’s purchase of electricity from the private sector.
Source: The Office of the Coordinating Minister for the Economy
The author is a staff writer at The Jakarta Post.
For the government’s economic team, 2010 will be a decisive year to demonstrate its competence in settling the accumulation of five years of homework resolving the protracted problems that are stifling infrastructure development.
A set of policies aimed at expediting key infrastructure projects, notably highway and power projects, were unveiled in late October for all levels of government to work on.
Among the policies widely expected next year is a revision of a 2006 presidential decree on land clearance for public interest and a law on the revocation of land ownership rights.
According to Public Works Minister Djoko Kirmanto earlier this month, a revision to the presidential decree would include the halving of the land price negotiation period from 120 days to 60 days. The private sector will also be allowed to start construction of government-initiated projects as soon as 51 percent of the required land has been cleared.
Djoko is optimistic that all land-purchase policies, especially those for toll road projects, can be passed by the end of January. However, revisions to land clearance laws, he said, would take longer as they would need to be deliberated among lawmakers.
According to Djoko, the government’s negotiation team for land clearance will also be overhauled because its members are made up of incompetent officials working for local administrations.
Most infrastructure projects have hit roadblocks as landowners refuse to sell their land at market prices, demanding prices that often reach irrational levels.
Of the 1,000 kilometers of toll road projects linking the Eastern and Western tips of Java, planned in 2004, only around 40 kilometers have been constructed thus far, according to the Public Works Ministry. (Ha ha ha - blogger)
The Central Statistics Agency reveals growth in highway capacity, excluding toll roads, only reached an average of 3 percent annually between 2002 and 2007.
As of the end of 2007, Indonesia only has 421,535 kilometers of road linking its 1.91 million square-kilometers of land.
Analysts have voiced concerns that limited highway capacity — including toll roads — has already created a bottleneck in logistics and distribution of goods, undermining the nation’s competitiveness.
In order for the private sector to feel secure in building more highways, toll roads and power plants, the government is slated to form a company next year that will cover all risks when participating in government-initiated infrastructure projects.
The company, dubbed as PT Penjamin Infrastruktur Indonesia, will function as an insurer to any risk exposed to the private sector.
The company will complement the already established state-run financing company PT Sarana Multi Infrastruktur in managing the construction of infrastructure.
Aside from highway and toll road projects, the government has also pledged to accelerate the development of its first and second phases of 10,000-megawatt (MW) power plants.
Nearly half of the projects included in the first phase could be ready by the second half of 2010, falling short of the target of being entirely operational in 2009.
Among the policies proposed to accelerate construction is a revision to a set of regulations that will eventually enable state-run power company PT Perusahaan Listrik Negara (PLN) to have flexibility in determining the electricity prices purchased from independent power producers (IPPs).
Under the existing regulations, the government is setting a price cap for PLN when negotiating an electricity purchase with the private sector, regardless any impact from inflation and unexpected soaring costs of plant construction.
According to the Energy and Mineral Resources Ministry, only 18 percent of 50 private companies willing to construct power plants have so far secured a deal with PLN and licenses from the government.
Due to the difficulties, several resource-rich provinces are currently under a protracted plague of electricity shortage.
Aside from limited electricity supplies, the business community is also concerned with interruptions in power distribution due to PLN’s already overstretched facilities.
The company, which has a monopoly in electricity distribution, has recently suffered problems in its storage and transmission networks, which has resulted in rotating blackouts in many parts of the country, most notably in Greater Jakarta.
PLN will need an investment of US$933 million to overhaul and expand its transmission networks next year, according to the company’s president director Fahmi Mochtar.
The company, he said, could only provide 78 percent of the funds, with sourcing for the outstanding amount still being worked out.
Critics have said problems in the company’s sagging facilities had actually been noticed by policy makers as long as five years ago. However, no measures have been proposed.
A combination of stiff bureaucratic mentality and poor coordination among ministries and agencies have contributed to sluggish infrastructure development.
Doubts are lingering in the business community over the ability of economic ministers and bureaucrats to resolve the coordination problems, exacerbated by overlapping regulations.
Several key policies to watch for:
1. Policy synchronization for spatial planning.
2. Revision in land clearance regulations and laws.
3. Reform at the National Land Agency.
4. The forming of the risk-mitigating company for infrastructure PT Penjamin Infrastruktur Indonesia.
5. Regulation issued on forest conversion.
6. Revision to government regulations on the use of idle land.
7. Revision to government and ministerial regulations to increase the portion of coal allocated for the domestic market.
8. Revision to regulations related to PLN’s purchase of electricity from the private sector.
Source: The Office of the Coordinating Minister for the Economy
The author is a staff writer at The Jakarta Post.
Sunday, December 20, 2009
Work starts on LRT station
By ROZAID A. RAHMAN The Star
Sunday December 20, 2009
PETALING JAYA: Land clearing work for the main Putra Heights LRT station has started.
A check at the proposed site of the station, which will act as an interchange for commuters using the Kelana Jaya and Ampang lines, showed that the area has been cleared of undergrowth.
Construction of the extended LRT lines is scheduled to begin in March next year.
At least 90% of the public have responded positively towards the proposal since it was first announced three months ago.
The proposed extension plan was displayed for a three-month public viewing at the Department of Railways, the Kuala Lumpur City Hall (DBKL), Subang Jaya Municipal Council, Shah Alam City Council (MBSA) and Petaling Jaya City Council (MBPJ).
The deadline for the public to give feedback on the 34km extension ended on Dec 14.
Syarikat Prasarana Negara Berhad (SPNB) communications general manager Ebi Azly Abdullah said some resident associations wanted some of the new routes and stations to be reviewed, but none objected to the extension.
“Overall, the public agreed that we should build this extended line. Some resident associations from Taman Bunga Negara, Subang Alam, Section 2 and 3 of Putra Heights objected, but not against the extension as a whole. They want the route and location of stations at some parts to be reviewed,” he told The Star.
The Kelana Jaya-Putra Heights extension, estimated to cost about RM6bil to RM7bil, will have 13 stations, starting with Kelana Jaya/Subang Valley, Subang, Subang Jaya, USJ, and Alam Megah before ending at Putra Heights.
The Sri Petaling-Putra Heights line, also with 13 stations, is estimated to cost RM8bil and cuts across Puchong and Kinrara.
Ebi said construction would begin early next year and expected to complete by the end of 2012.
“However, this would depend on the changes that need to be made to some routes based on the feedback and suggestions received from local authorities,” he said.
Sunday December 20, 2009
PETALING JAYA: Land clearing work for the main Putra Heights LRT station has started.
A check at the proposed site of the station, which will act as an interchange for commuters using the Kelana Jaya and Ampang lines, showed that the area has been cleared of undergrowth.
Construction of the extended LRT lines is scheduled to begin in March next year.
At least 90% of the public have responded positively towards the proposal since it was first announced three months ago.
The proposed extension plan was displayed for a three-month public viewing at the Department of Railways, the Kuala Lumpur City Hall (DBKL), Subang Jaya Municipal Council, Shah Alam City Council (MBSA) and Petaling Jaya City Council (MBPJ).
The deadline for the public to give feedback on the 34km extension ended on Dec 14.
Syarikat Prasarana Negara Berhad (SPNB) communications general manager Ebi Azly Abdullah said some resident associations wanted some of the new routes and stations to be reviewed, but none objected to the extension.
“Overall, the public agreed that we should build this extended line. Some resident associations from Taman Bunga Negara, Subang Alam, Section 2 and 3 of Putra Heights objected, but not against the extension as a whole. They want the route and location of stations at some parts to be reviewed,” he told The Star.
The Kelana Jaya-Putra Heights extension, estimated to cost about RM6bil to RM7bil, will have 13 stations, starting with Kelana Jaya/Subang Valley, Subang, Subang Jaya, USJ, and Alam Megah before ending at Putra Heights.
The Sri Petaling-Putra Heights line, also with 13 stations, is estimated to cost RM8bil and cuts across Puchong and Kinrara.
Ebi said construction would begin early next year and expected to complete by the end of 2012.
“However, this would depend on the changes that need to be made to some routes based on the feedback and suggestions received from local authorities,” he said.
Friday, November 13, 2009
China setuju tingkat dagangan
China setuju tingkat dagangan
Oleh ZULKIFLI JALIL, HELMI MOHD. FOAD dan THOMAS CHONGpengarang@utusan.com.my
PUTRAJAYA 11 Nov. – Malaysia dan China hari ini bersetuju untuk meningkatkan perdagangan dan pelaburan dua hala terutama dalam bidang kelapa sawit dan kayu-kayan.
Perkara itu dinyatakan Perdana Menteri, Datuk Seri Najib Tun Razak hari ini, hasil rundingan bersama dengan Hu Jintao di Bangunan Perdana Putra di sini sempena lawatan rasmi dua hari Presiden China itu ke Malaysia. Pada sidang akhbar bersama dengan Jintao, Najib berkata, China yang merupakan rakan dagangan terbesar Malaysia berharap perdagangan dua hala akan berkembang pada masa depan.
‘‘Beliau menyatakan hasrat China untuk meningkatkan permintaan melibatkan minyak sawit dan kayu-kayan.
‘‘Kedua-dua pihak juga bersetuju projek Jambatan Kedua Pulau Pinang akan dilaksanakan dengan lancarnya dan kemungkinan lain melibatkan komitmen Malaysia untuk memberi projek pembinaan kepada syarikat China dalam membangunkan Empangan Mengkuang (di Seberang Perai) serta kerjasama dalam projek kilang kertas dan kilang melebur aluminium di Sarawak.
‘‘Malaysia juga bersetuju pada prinsipnya untuk memberi projek landasan berkembar dari Gemas ke Johor Bahru kepada (syarikat) China,” kata beliau.
Sebanyak lima memorandum persefahaman (MoU) berkaitan perbankan, pengajian tinggi dan pembetungan ditandatangani antara beberapa kementerian dengan syarikat China sempena lawatan Jintao itu.
Ketika ini pelaburan China di Malaysia bernilai AS$134 juta sementara pelaburan Malaysia di republik berkenaan berjumlah AS$1.36 bilion.
Sebanyak 67 peratus eksport Malaysia ke China terdiri daripada barangan elektrik dan elektronik serta komoditi terutama minyak sawit.
Pada masa sama, 65 peratus import Malaysia dari China juga melibatkan barangan elektrik dan elektronik, mesin dan alat ganti.
Sambil menyifatkan pertemuan dengan Jintao berlangsung dalam suasana amat baik, Perdana Menteri berkata, mereka berkongsi pandangan betapa hubungan Kuala Lumpur-Beijing telah memasuki fasa lebih menarik.
‘‘Kita komited untuk melonjakkan hubungan ini ke tahap lebih tinggi,” kata beliau.
Oleh ZULKIFLI JALIL, HELMI MOHD. FOAD dan THOMAS CHONGpengarang@utusan.com.my
PUTRAJAYA 11 Nov. – Malaysia dan China hari ini bersetuju untuk meningkatkan perdagangan dan pelaburan dua hala terutama dalam bidang kelapa sawit dan kayu-kayan.
Perkara itu dinyatakan Perdana Menteri, Datuk Seri Najib Tun Razak hari ini, hasil rundingan bersama dengan Hu Jintao di Bangunan Perdana Putra di sini sempena lawatan rasmi dua hari Presiden China itu ke Malaysia. Pada sidang akhbar bersama dengan Jintao, Najib berkata, China yang merupakan rakan dagangan terbesar Malaysia berharap perdagangan dua hala akan berkembang pada masa depan.
‘‘Beliau menyatakan hasrat China untuk meningkatkan permintaan melibatkan minyak sawit dan kayu-kayan.
‘‘Kedua-dua pihak juga bersetuju projek Jambatan Kedua Pulau Pinang akan dilaksanakan dengan lancarnya dan kemungkinan lain melibatkan komitmen Malaysia untuk memberi projek pembinaan kepada syarikat China dalam membangunkan Empangan Mengkuang (di Seberang Perai) serta kerjasama dalam projek kilang kertas dan kilang melebur aluminium di Sarawak.
‘‘Malaysia juga bersetuju pada prinsipnya untuk memberi projek landasan berkembar dari Gemas ke Johor Bahru kepada (syarikat) China,” kata beliau.
Sebanyak lima memorandum persefahaman (MoU) berkaitan perbankan, pengajian tinggi dan pembetungan ditandatangani antara beberapa kementerian dengan syarikat China sempena lawatan Jintao itu.
Ketika ini pelaburan China di Malaysia bernilai AS$134 juta sementara pelaburan Malaysia di republik berkenaan berjumlah AS$1.36 bilion.
Sebanyak 67 peratus eksport Malaysia ke China terdiri daripada barangan elektrik dan elektronik serta komoditi terutama minyak sawit.
Pada masa sama, 65 peratus import Malaysia dari China juga melibatkan barangan elektrik dan elektronik, mesin dan alat ganti.
Sambil menyifatkan pertemuan dengan Jintao berlangsung dalam suasana amat baik, Perdana Menteri berkata, mereka berkongsi pandangan betapa hubungan Kuala Lumpur-Beijing telah memasuki fasa lebih menarik.
‘‘Kita komited untuk melonjakkan hubungan ini ke tahap lebih tinggi,” kata beliau.
...
Friday, November 6, 2009
Three major rail lines
Three major rail lines
Malaysian Mirror Wed 4/11/09
THE Government has identified three major railway lines to improve the national rail network services.
Deputy Transport Minister Robert Lau said the projects outlined were the
Gemas-Johor Baru double tracking project, the
Serendah-Port Klang-Seremban track and the
East Coast railway line.
“The transport authorities need to find out whether there is a priority to provide rail services in the East Coast states first before it is ready to construct rail networks,” he told Kamaruddin Jaafar (PAS-Tumpat).
Lau said KTM Berhad manages 1,658km of railway lines. This included 1,328km-long single track line and 330km-long double track lines covering the Seremban-Ipoh and Sentul-Port Klang lines.
“To improve capacity of the railway transport services, the Government has approved the implementation of double-tracking projects for the Ipoh-Padang Besar (329km), Seremban-Gemas (98km) and Sentul-Batu Caves (7.5km) routes,” he added.
Lau also told Alexander Nanta Linggi (BN-Kapit) that the Government is studying the need to provide railway lines in Sarawak.
Malaysian Mirror Wed 4/11/09
THE Government has identified three major railway lines to improve the national rail network services.
Deputy Transport Minister Robert Lau said the projects outlined were the
Gemas-Johor Baru double tracking project, the
Serendah-Port Klang-Seremban track and the
East Coast railway line.
“The transport authorities need to find out whether there is a priority to provide rail services in the East Coast states first before it is ready to construct rail networks,” he told Kamaruddin Jaafar (PAS-Tumpat).
Lau said KTM Berhad manages 1,658km of railway lines. This included 1,328km-long single track line and 330km-long double track lines covering the Seremban-Ipoh and Sentul-Port Klang lines.
“To improve capacity of the railway transport services, the Government has approved the implementation of double-tracking projects for the Ipoh-Padang Besar (329km), Seremban-Gemas (98km) and Sentul-Batu Caves (7.5km) routes,” he added.
Lau also told Alexander Nanta Linggi (BN-Kapit) that the Government is studying the need to provide railway lines in Sarawak.
Tender for Bakun submarine cable in 3 months time
Friday November 6, 2009By JACK WONG
KUCHING: The open international tender for the proposed submarine cable project to transmit electricity from Bakun hydro dam in Sarawak to Peninsular Malaysia is expected to be called in three months. Sarawak Hidro Sdn Bhd managing director Zulkifle Osman said a German consultant was now helping the special purpose vehicle set up by the Tenaga Nasional Bhd-Sarawak Energy Bhd consortium to prepare the tender documents. Sarawak Hidro, a wholly-owned subsidiary of Finance Ministry Inc, is the dam’s developer and manager.
Zulkifle said submission for the tender was expected to close in August next year. The tenders are for the fabrication and laying of cables across the South China Sea. “The first of the two submarine cables is expected to be completed by 2016 and the second a year later,’’ Zulkifle told a media briefing on the Bakun project here on Wednesday night, adding that each of the two submarine cables would transmit 800MW.
He said the actual route for the laying of the undersea cables, from Tanjung Pueh, Sematan in Sarawak to the southernmost tip in Johor, had yet to be determined. The cables, ranging from 670km to 700km, have to go through Indonesian waters.
The Bakun electricity will first be transferred through Syarikat Sesco Bhd lines to Bintulu and then Kuching before being linked to the submarine cables. Syarikat Sesco is a wholly-owned subsidiary of listed Sarawak Energy Bhd. The company was formerly known as Sarawak Electricity Supply Corp before it was privatised in July 2005.
Zulkifle said the dam, which has an installed capacity of 2,400MW, would be fully operational by 2011. The first of the dam’s eight turbines, which could each generate 300MW, is expected to be commissioned in October or November next year. However, he said the amount of electricity to be generated from Bakun initially would depend on the demand as Sarawak now have an excess of some 200MW.
Power from Bakun is also expected to be exported to neighbouring Brunei.
Zukifle said the dam’s civil as well as electrical and mechanical packages were more than 90% completed.
He added that the project’s actual development cost had not been determined, noting that Sarawak Hidro has not fully utilised the RM4.3bil it had borrowed to finance the Bakun dam construction.
KUCHING: The open international tender for the proposed submarine cable project to transmit electricity from Bakun hydro dam in Sarawak to Peninsular Malaysia is expected to be called in three months. Sarawak Hidro Sdn Bhd managing director Zulkifle Osman said a German consultant was now helping the special purpose vehicle set up by the Tenaga Nasional Bhd-Sarawak Energy Bhd consortium to prepare the tender documents. Sarawak Hidro, a wholly-owned subsidiary of Finance Ministry Inc, is the dam’s developer and manager.
Zulkifle said submission for the tender was expected to close in August next year. The tenders are for the fabrication and laying of cables across the South China Sea. “The first of the two submarine cables is expected to be completed by 2016 and the second a year later,’’ Zulkifle told a media briefing on the Bakun project here on Wednesday night, adding that each of the two submarine cables would transmit 800MW.
He said the actual route for the laying of the undersea cables, from Tanjung Pueh, Sematan in Sarawak to the southernmost tip in Johor, had yet to be determined. The cables, ranging from 670km to 700km, have to go through Indonesian waters.
The Bakun electricity will first be transferred through Syarikat Sesco Bhd lines to Bintulu and then Kuching before being linked to the submarine cables. Syarikat Sesco is a wholly-owned subsidiary of listed Sarawak Energy Bhd. The company was formerly known as Sarawak Electricity Supply Corp before it was privatised in July 2005.
Zulkifle said the dam, which has an installed capacity of 2,400MW, would be fully operational by 2011. The first of the dam’s eight turbines, which could each generate 300MW, is expected to be commissioned in October or November next year. However, he said the amount of electricity to be generated from Bakun initially would depend on the demand as Sarawak now have an excess of some 200MW.
Power from Bakun is also expected to be exported to neighbouring Brunei.
Zukifle said the dam’s civil as well as electrical and mechanical packages were more than 90% completed.
He added that the project’s actual development cost had not been determined, noting that Sarawak Hidro has not fully utilised the RM4.3bil it had borrowed to finance the Bakun dam construction.
Sunday, November 1, 2009
MAHB: Revenue from foreign markets to rise
From Goh Thean Eu Published: 2009/10/31
ISTANBUL: Malaysia Airports Holdings Bhd (MAHB) (5014) expects revenue from foreign markets to make up one-tenth of group revenue in 10 years, as it expands globally.
Currently, foreign sales contribute less than 2 per cent of group revenue. Last year, the group made RM1.5 billion in revenue.
According to MAHB chairman Tan Sri Dr Aris Othman, growth does not solely depend on the number of airports it operates, but on the number of businesses it is involved in each of the airports.
"You need to depend on other businesses like hotels, car parks, ground handling and others. Of course, we would like to get more opportunities in these areas," Aris said here yesterday.
Aris and a group of senior management team members of MAHB are in Istanbul to take part in the launch of Istanbul's Sabiha Gocken International Airport (ISG).
The new terminal will be launched by Turkish Prime Minister Recep Tayyip Erdogan this evening.
Aris added that the company is in talks with a few airport operators for the possibility of joint bids and partnerships.
Nevertheless, the MAHB chairman expects the firm's next overseas venture to be within the next two to five years.
ISTANBUL: Malaysia Airports Holdings Bhd (MAHB) (5014) expects revenue from foreign markets to make up one-tenth of group revenue in 10 years, as it expands globally.
Currently, foreign sales contribute less than 2 per cent of group revenue. Last year, the group made RM1.5 billion in revenue.
According to MAHB chairman Tan Sri Dr Aris Othman, growth does not solely depend on the number of airports it operates, but on the number of businesses it is involved in each of the airports.
"You need to depend on other businesses like hotels, car parks, ground handling and others. Of course, we would like to get more opportunities in these areas," Aris said here yesterday.
Aris and a group of senior management team members of MAHB are in Istanbul to take part in the launch of Istanbul's Sabiha Gocken International Airport (ISG).
The new terminal will be launched by Turkish Prime Minister Recep Tayyip Erdogan this evening.
Aris added that the company is in talks with a few airport operators for the possibility of joint bids and partnerships.
Nevertheless, the MAHB chairman expects the firm's next overseas venture to be within the next two to five years.
SILK: Contribution from new unit starts this financial year
Published: 2009/10/31
TOLL road operator SILK Holdings Bhd will start seeing positive contribution from its recently acquired oil and gas services unit this financial year ending July 31 2010.
However, it will continue to post an accounting loss.
"We'll start seeing positive contribution from AQL Aman Sdn Bhd, but amortisation of the tolled road assets is still a big factor," said executive chairman Datuk Mohammed Azlan Hashim.
"The highway operation is still a large part of SILK's business so it will be another year showing accounting loss," he told reporters after the company's annual general meeting in Kuala Lumpur yesterday.
The 37-km SILK Highway in southeast of Klang Valley links Balakong, Serdang, Sungai Long, Bangi, Kajang, Putrajaya and Semenyih.
Earlier, SILK shareholders approved a proposal that preferential shares be converted to ordinary shares when they mature in three years.
"Instead of coming up with RM20 million cash, we'll see an expanded capital base then," he said.
Following the purchase of the oil and gas business, SILK's gearing level has swelled to 7.8 times from 5.5.
Mohammed Azlan said once the ICULS (or irredeemable convertible unsecured loan stock) is converted to shares in three years, gearing should drop to 5.8 times.
He believes that SILK's prospects in the oil and gas sector is promising, given that the industry requires about 60 to 70 new platforms in the next three years.
Two or three anchor handling tug supply vessels and straight supply vessels are required for each platform for the purpose of transportation and logistic support. This translates to an additional demand of at least 120 new offshore support vessels.
"AQL Aman's 70 per cent subsidiary (Jasa Merin (Malaysia) Sdn Bhd) is operating 12 vessels in the South China Sea on long term service contracts with oil majors such as Petronas, Esso and Murphy Oil," Mohammed Azlan said.
TOLL road operator SILK Holdings Bhd will start seeing positive contribution from its recently acquired oil and gas services unit this financial year ending July 31 2010.
However, it will continue to post an accounting loss.
"We'll start seeing positive contribution from AQL Aman Sdn Bhd, but amortisation of the tolled road assets is still a big factor," said executive chairman Datuk Mohammed Azlan Hashim.
"The highway operation is still a large part of SILK's business so it will be another year showing accounting loss," he told reporters after the company's annual general meeting in Kuala Lumpur yesterday.
The 37-km SILK Highway in southeast of Klang Valley links Balakong, Serdang, Sungai Long, Bangi, Kajang, Putrajaya and Semenyih.
Earlier, SILK shareholders approved a proposal that preferential shares be converted to ordinary shares when they mature in three years.
"Instead of coming up with RM20 million cash, we'll see an expanded capital base then," he said.
Following the purchase of the oil and gas business, SILK's gearing level has swelled to 7.8 times from 5.5.
Mohammed Azlan said once the ICULS (or irredeemable convertible unsecured loan stock) is converted to shares in three years, gearing should drop to 5.8 times.
He believes that SILK's prospects in the oil and gas sector is promising, given that the industry requires about 60 to 70 new platforms in the next three years.
Two or three anchor handling tug supply vessels and straight supply vessels are required for each platform for the purpose of transportation and logistic support. This translates to an additional demand of at least 120 new offshore support vessels.
"AQL Aman's 70 per cent subsidiary (Jasa Merin (Malaysia) Sdn Bhd) is operating 12 vessels in the South China Sea on long term service contracts with oil majors such as Petronas, Esso and Murphy Oil," Mohammed Azlan said.
Iskandar Investment, UK college in landmark deal
Published: 2009/10/31
ISKANDAR Investment Bhd (IIB), the catalytic developer of Iskandar Malaysia in Johor, is expected to reveal numerous investments in the south economic region over the next few months. "We continue to have growing interest from potential investors worldwide, who see potential in Iskandar Malaysia," said Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar.
IIB, a unit controlled by the state-owned Khazanah, is on track to surpass the US$13 billion (RM43.94 billion) foreign direct investment target for its first phase of development.
Yesterday, Education@Iskandar Sdn Bhd, a subsidiary of IIB, signed a landmark agreement to develop Marlborough College Malaysia, as part of a long-term plan to establish EduCity - located within Iskandar Malaysia - as a world-class education hub.
The signing was witnessed by Deputy Prime Minister Tan Sri Muhyiddin Yassin, who is also Education Minister.
"Malaysia is an emerging contender to attract international students and the agreement between Iskandar Investment and Marlborough College is testament that we are moving in the right direction to become a global education hub in Asia," Muhyiddin said.
There are some 16,000 international students studying in private and international schools in Malaysia.
Marlborough College Malaysia is the first international venture for the leading British independent, co-educational boarding school for pupils aged between 13 and 18.
ISKANDAR Investment Bhd (IIB), the catalytic developer of Iskandar Malaysia in Johor, is expected to reveal numerous investments in the south economic region over the next few months. "We continue to have growing interest from potential investors worldwide, who see potential in Iskandar Malaysia," said Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar.
IIB, a unit controlled by the state-owned Khazanah, is on track to surpass the US$13 billion (RM43.94 billion) foreign direct investment target for its first phase of development.
Yesterday, Education@Iskandar Sdn Bhd, a subsidiary of IIB, signed a landmark agreement to develop Marlborough College Malaysia, as part of a long-term plan to establish EduCity - located within Iskandar Malaysia - as a world-class education hub.
The signing was witnessed by Deputy Prime Minister Tan Sri Muhyiddin Yassin, who is also Education Minister.
"Malaysia is an emerging contender to attract international students and the agreement between Iskandar Investment and Marlborough College is testament that we are moving in the right direction to become a global education hub in Asia," Muhyiddin said.
There are some 16,000 international students studying in private and international schools in Malaysia.
Marlborough College Malaysia is the first international venture for the leading British independent, co-educational boarding school for pupils aged between 13 and 18.
Muhibbah sues GPSB
BT
Published: 2009/10/31
MUHIBBAH Engineering (M) Bhd (MEB) has filed a lawsuit against Gerbang Perdana Sdn Bhd (GPSB) over unpaid contracts totalling RM32.7 million. GPSB was the main contractor for the Gerbang Selatan Bersepadu project in Johor Baru. It had appointed MEB as the subcontractor to execute part of works in the bridge project. MEB was instructed to cease works by GPSB in 2006, following the cancellation of the project by the government.
Published: 2009/10/31
MUHIBBAH Engineering (M) Bhd (MEB) has filed a lawsuit against Gerbang Perdana Sdn Bhd (GPSB) over unpaid contracts totalling RM32.7 million. GPSB was the main contractor for the Gerbang Selatan Bersepadu project in Johor Baru. It had appointed MEB as the subcontractor to execute part of works in the bridge project. MEB was instructed to cease works by GPSB in 2006, following the cancellation of the project by the government.
Monday, October 26, 2009
Malaysia Airports Holdings Bhd (MAHB) (5014) will spend some RM105 million this year on its soon-to-be-launched airport management venture in Istanbul's Sabiha Gocken International Airport. MAHB has paid about RM80 million for its 20 per cent stake in the project, RM25 million of which was settled in 2008.
A further RM50 million will be spent by the end of the year, to complete expansion works.
The new terminal and apron, which was completed in 18 months, some 12 months ahead of schedule, will be officially launched by Turkey's prime minister on October 31
The airport operator will fund the investment from its own coffers. "At the moment, due to its initial stages, the revenue contribution is quite minimal, mainly coming from technical and consultancy fees. We don't expect revenue from dividends to come in until at least five years after completing the expansion works," MAHB managing director Tan Sri Bashir Ahmad told Business Times via e-mail recently.
In 2008, the Istanbul Sabiha Gocken Uluslararasi Havali-mani Yatirim, Yapim Ve Isletme As (ISG), a joint venture among three companies - MAHB, Limak Holding and GMR Infrastructure Ltd - won the bid for the project.
The ?343 million (RM1.7 billion) project, comprises the completion of a new international terminal building, a car park building as well as the construction of a hotel and a VIP annexe.
MAHB's 20 per cent stake in the joint-venture company entitles it to have two representatives on the board of ISG, currently held by Bashir and MAHB's chief financial officer Faizal Mansor. A few of MAHB's senior officials, who include Bashir, are also heading airport working committees.
The international terminal building project concession is for a period of 20 years.
"With two international airports in Istanbul, Ataturk on the European side and Sabiha Gocken on the Asian side, we see great potential in the airport," Bashir said.
MAHB's analysis shows that Ataturk has growth constraints due to space limitations while Sabiha is the second largest airport with a growing surrounding population and plenty of space for future expansion.
As at August 20009, Sabiha Gokcen was the fastest growing airport in Turkey and, maybe, Europe with 35 per cent growth in passenger traffic compared to the same period last year.
The venture is the third of its kind for MAHB, which already has equity stakes in two other airports overseas - Hyderabad International Airport and New Delhi International Airport.
On whether there are any plans for similar investments, Bashir said while it is looking at a few possibilities, no decisions have been made.
A further RM50 million will be spent by the end of the year, to complete expansion works.
The new terminal and apron, which was completed in 18 months, some 12 months ahead of schedule, will be officially launched by Turkey's prime minister on October 31
The airport operator will fund the investment from its own coffers. "At the moment, due to its initial stages, the revenue contribution is quite minimal, mainly coming from technical and consultancy fees. We don't expect revenue from dividends to come in until at least five years after completing the expansion works," MAHB managing director Tan Sri Bashir Ahmad told Business Times via e-mail recently.
In 2008, the Istanbul Sabiha Gocken Uluslararasi Havali-mani Yatirim, Yapim Ve Isletme As (ISG), a joint venture among three companies - MAHB, Limak Holding and GMR Infrastructure Ltd - won the bid for the project.
The ?343 million (RM1.7 billion) project, comprises the completion of a new international terminal building, a car park building as well as the construction of a hotel and a VIP annexe.
MAHB's 20 per cent stake in the joint-venture company entitles it to have two representatives on the board of ISG, currently held by Bashir and MAHB's chief financial officer Faizal Mansor. A few of MAHB's senior officials, who include Bashir, are also heading airport working committees.
The international terminal building project concession is for a period of 20 years.
"With two international airports in Istanbul, Ataturk on the European side and Sabiha Gocken on the Asian side, we see great potential in the airport," Bashir said.
MAHB's analysis shows that Ataturk has growth constraints due to space limitations while Sabiha is the second largest airport with a growing surrounding population and plenty of space for future expansion.
As at August 20009, Sabiha Gokcen was the fastest growing airport in Turkey and, maybe, Europe with 35 per cent growth in passenger traffic compared to the same period last year.
The venture is the third of its kind for MAHB, which already has equity stakes in two other airports overseas - Hyderabad International Airport and New Delhi International Airport.
On whether there are any plans for similar investments, Bashir said while it is looking at a few possibilities, no decisions have been made.
Sunday, October 25, 2009
TNB: Power line to Sumatra by 2015
BT 24/10/2009
AFTER 20 years of feasibility and technical studies, the long-awaited power connectivity between Peninsular Malaysia and Indonesia is set to become reality by 2015.
Tenaga Nasional Bhd (TNB) (5347) president and chief executive officer Datuk Seri Che Khalib Mohd Noh said the power connection project will comprise about 200km of 250-kilovolt submarine cables and two sets of 57km submarine cables.
"The interconnection will have a capacity of 600 megawatts and is scheduled to be operational by 2015. Both TNB and PLN (Perusahaan Listrik Negara, Indonesia's national utility company) will have to meet again to discuss contract formalisation, costing, working details.
"In financing, the World Bank will be involved due to the significance of this project," Che Khalib told reporters in Kuala Lumpur yesterday after signing a heads of agreement with PLN president director Fahmi Mochtar.
Che Khalib said this will be the second power connection between the two nations after the first agreement covering Bakun and West Kalimantan.
The power link will allow both countries to assist and support each other's power requirements during peak hours, which is during the day in Peninsular Malaysia and during the night in Sumatra.
Che Khalib said the connectivity is part of the Asean power grid, of which Malaysia already has connections with Myanmar, Thailand, Singapore and Laos.
AFTER 20 years of feasibility and technical studies, the long-awaited power connectivity between Peninsular Malaysia and Indonesia is set to become reality by 2015.
Tenaga Nasional Bhd (TNB) (5347) president and chief executive officer Datuk Seri Che Khalib Mohd Noh said the power connection project will comprise about 200km of 250-kilovolt submarine cables and two sets of 57km submarine cables.
"The interconnection will have a capacity of 600 megawatts and is scheduled to be operational by 2015. Both TNB and PLN (Perusahaan Listrik Negara, Indonesia's national utility company) will have to meet again to discuss contract formalisation, costing, working details.
"In financing, the World Bank will be involved due to the significance of this project," Che Khalib told reporters in Kuala Lumpur yesterday after signing a heads of agreement with PLN president director Fahmi Mochtar.
Che Khalib said this will be the second power connection between the two nations after the first agreement covering Bakun and West Kalimantan.
The power link will allow both countries to assist and support each other's power requirements during peak hours, which is during the day in Peninsular Malaysia and during the night in Sumatra.
Che Khalib said the connectivity is part of the Asean power grid, of which Malaysia already has connections with Myanmar, Thailand, Singapore and Laos.
RM9b for infrastructure development
BT 24/10/2009
THE government has allocated RM9 billion to finance infrastructure projects.
More than half of the money, or RM4.7 billion, will go to roads and bridges construction and RM2.6 billion to upgrade water supply and sewerage services.
Another RM899 million is for railway facilities construction, RM820 million for seaports and RM276 million to upgrade airports.
Master Builders Association of Malaysia hopes the government will speed up the project implementation.
"This year, the construction sector is expected to grow 3.5 per cent," said its president Ng Kee Leen.
With the setting up of the National Green Technology Centre, the association looks forward to new guidelines and specifications in the design of sustainable homes, office blocks and structures.
Green buildings can be built via modular system, using renewable building materials, incorporating lighting and air-conditioning systems that are energy efficient and fitted with dual flush toilets.
THE government has allocated RM9 billion to finance infrastructure projects.
More than half of the money, or RM4.7 billion, will go to roads and bridges construction and RM2.6 billion to upgrade water supply and sewerage services.
Another RM899 million is for railway facilities construction, RM820 million for seaports and RM276 million to upgrade airports.
Master Builders Association of Malaysia hopes the government will speed up the project implementation.
"This year, the construction sector is expected to grow 3.5 per cent," said its president Ng Kee Leen.
With the setting up of the National Green Technology Centre, the association looks forward to new guidelines and specifications in the design of sustainable homes, office blocks and structures.
Green buildings can be built via modular system, using renewable building materials, incorporating lighting and air-conditioning systems that are energy efficient and fitted with dual flush toilets.
Malaysia Budget 2010 Highlights
2010 BUDGET BUSINESS HIGHLIGHTS
* Malaysia economy to grow 2-3 per cent in 2010
* Mining to grow 1.1 per cent, manufacturing sector 1.7 per cent, agriculture 2.5 per cent, construction 3.2 per cent and service 3.6 per cent.
* Private consumption expand 2.9 per cent while private investment 3.4 per cent
* Per capita income to increase by 2.5 per cent to RM24,661
* TNB to spend RM5 billion to implement electricity generation, transmission and distribution projects in 2010.
* Individual tax relief on broadband subscription fee up to RM500 a year from 2010 to 2012.
* Public-private collaborations to include an integrated immigration, customs and quarantine complex in Bukit Kayu Hitam, construction of six UiTM campuses and the development of MATRADE centre
* 1Malaysia Development Bhd (1MDB) will establish a corporate social responsibility fund totalling RM100 million as a start to finance community activities
* Government to allocate RM899 million to intensify tourism industry.
* Government to enhance tax incentives for healthcare service providers who offer services to foreign health tourists with income tax exemptions of 100 per cent on the value of increased exports from 50 per cent previously.
* Individual taxpayers to be given tax relief on broadband subscription fee up to RM500 a year from 2010 to 2012
* Civil servants are eligible to apply for computer loans once in every three years and up to a maximum of RM5,000 from the government once in every five years
* Formulate Halal Act in collaboration with State Islamic Religious Councils.
* To corporatise the Halal Industry Development Corporation as an agency under MITI
* Intensify Halal Certification by the Islamic Development Department of Malaysia (JAKIM) by collaborating with international institutions to obtain standards certification such as HACCP ad GMP.
* To provide RM24 million to develop halal products anti-smuggling system at three entry points and three main ports.
* Allocate RM137 million to upgrade and improve drainage and irrigation infrastructures in paddy fields involving 180,000 farmers.
* To provide RM70 million to build the Paya Peda Dam Project in Terengganu to increase water supply capacity to paddy irrigation scheme in Besut.
* Allocate RM82 million to modernise aquaculture industry and conduct entrepreneurship training scheme for aquaculture breeders with focus on production of fish fry and ornamental fish.
* “The stock market will be further liberalised to enhance its efficiency as well as attract domestic and foreign investment. For this purpose, the government will undertake the following measures: First, liberalise the commission sharing arrangements between stockbrokers and remisiers in 2 stages to encrouage retail participation in the stock market. The first stage, which takes effect immediately, allows flexible brokerage sharing at a minimum rate of 40 percent for remisiers. The commission sharing will be fully liberalised in the second stage, effective 1 January 2011.
* “Allow 100 per cent foreign equity participation in corporate finance and financial planning companies compared with the present requirement of at least 30 per cent local shareholding.
* “Islamic banking assets account for 18.8 per cent of Malaysia’s total banking assets while takaful industry assets contribute 7.7 per cent of total insurance and takaful industry assets. To ensure rapid development of financial services, particulalrly in Islmaic finance, the government proposes that the existing tax incentives be extended to 2015.
* “The government is currently at the final stage of completing the study on the implementation of goods and services tax (GST), particularly to identify the social impact of GST on the people. The purpose of this study is to ensure that if GST needs to be implemented to stabilised Government finance, it will not burden the population. “If the government implements GST, it will replace the current sales tax and service tax as well as exemption will be granted to the low income group. The GST rate to be imposed will be lower than the current sales tax and service tax rates.
* “The government needs to ensure that the Malaysian tax system is equitable and able to generate revenue for development purposes. In line with this, the government proposes that a tax of five per cent be imposed on gains from the disposal of real property from 1 January 2010.
* Effective Jan 1 2010, government agrees to allow agencies to retain 50 per cent of rentals received while the remaining 50 per cent will be remitted to the government as revenue.
* The Government will implement fuel subsidy management system in early 2010.
* The Government proposes the maximum income tax rate to be further reduced to 26 per cent from 27 per cent effective from the 2010 year of assessment.
* Maximum tax rate for cooperatives will be reduced to 26 per cent while the fixed tax rate for non-resident individuals will be cut to 26 per cent.
* Personal tax relief will be increased to RM9,000 from RM8,000 effective from the 2010 year of assessment.
* The Government also proposes income tax on employment income of Malaysians and foreign knowledge workers residing and working in Iskandar Malaysia be imposed at 15 per cent compared with the maximum 26 per cent for the rest of the country.
* Government to launch a scheme in January 2010 that enables EPF contributors to utilise current and future savings in Account 2 to promote house ownership.
* RM14.8 billion is allocated to manage, build and upgrade hospitals and clinics.
* The Government will issue 1Malaysia Sukuk totalling RM3 billion.
* The Government will establish the 1Malaysia Retirement Scheme to be administrated by EPF.
* Employees EPF contributions will be raised again to 11 per cent on a voluntary basis with immediate effect. However, from Jan 1, 2011 employees' EPF contribution will revert to 11 per cent.
* The Government proposes existing personal tax relief of RM6,000 for EPF contributions and life insurance premiums be raised to RM7,000.
* Government allocates RM2.3 billion to build and upgrade infrastructures in rural areas.
* Government provides RM41 million to improve income and quality of life of the Orang Asli Community by implementing various projects.
* Budget 2010 allocations totalled RM191.5 billion, of which RM138.3 billion is for operating expenditure and RM53.2 billion for development expenditure.
* Federal Government revenue in 2010 to decline by 8.4 per cent to RM148.8 billion.
* Budget deficit at 5.6 per cent of GDP compared with 7.4 per cent in 2009. - Bernama/Reuters
* Malaysia economy to grow 2-3 per cent in 2010
* Mining to grow 1.1 per cent, manufacturing sector 1.7 per cent, agriculture 2.5 per cent, construction 3.2 per cent and service 3.6 per cent.
* Private consumption expand 2.9 per cent while private investment 3.4 per cent
* Per capita income to increase by 2.5 per cent to RM24,661
* TNB to spend RM5 billion to implement electricity generation, transmission and distribution projects in 2010.
* Individual tax relief on broadband subscription fee up to RM500 a year from 2010 to 2012.
* Public-private collaborations to include an integrated immigration, customs and quarantine complex in Bukit Kayu Hitam, construction of six UiTM campuses and the development of MATRADE centre
* 1Malaysia Development Bhd (1MDB) will establish a corporate social responsibility fund totalling RM100 million as a start to finance community activities
* Government to allocate RM899 million to intensify tourism industry.
* Government to enhance tax incentives for healthcare service providers who offer services to foreign health tourists with income tax exemptions of 100 per cent on the value of increased exports from 50 per cent previously.
* Individual taxpayers to be given tax relief on broadband subscription fee up to RM500 a year from 2010 to 2012
* Civil servants are eligible to apply for computer loans once in every three years and up to a maximum of RM5,000 from the government once in every five years
* Formulate Halal Act in collaboration with State Islamic Religious Councils.
* To corporatise the Halal Industry Development Corporation as an agency under MITI
* Intensify Halal Certification by the Islamic Development Department of Malaysia (JAKIM) by collaborating with international institutions to obtain standards certification such as HACCP ad GMP.
* To provide RM24 million to develop halal products anti-smuggling system at three entry points and three main ports.
* Allocate RM137 million to upgrade and improve drainage and irrigation infrastructures in paddy fields involving 180,000 farmers.
* To provide RM70 million to build the Paya Peda Dam Project in Terengganu to increase water supply capacity to paddy irrigation scheme in Besut.
* Allocate RM82 million to modernise aquaculture industry and conduct entrepreneurship training scheme for aquaculture breeders with focus on production of fish fry and ornamental fish.
* “The stock market will be further liberalised to enhance its efficiency as well as attract domestic and foreign investment. For this purpose, the government will undertake the following measures: First, liberalise the commission sharing arrangements between stockbrokers and remisiers in 2 stages to encrouage retail participation in the stock market. The first stage, which takes effect immediately, allows flexible brokerage sharing at a minimum rate of 40 percent for remisiers. The commission sharing will be fully liberalised in the second stage, effective 1 January 2011.
* “Allow 100 per cent foreign equity participation in corporate finance and financial planning companies compared with the present requirement of at least 30 per cent local shareholding.
* “Islamic banking assets account for 18.8 per cent of Malaysia’s total banking assets while takaful industry assets contribute 7.7 per cent of total insurance and takaful industry assets. To ensure rapid development of financial services, particulalrly in Islmaic finance, the government proposes that the existing tax incentives be extended to 2015.
* “The government is currently at the final stage of completing the study on the implementation of goods and services tax (GST), particularly to identify the social impact of GST on the people. The purpose of this study is to ensure that if GST needs to be implemented to stabilised Government finance, it will not burden the population. “If the government implements GST, it will replace the current sales tax and service tax as well as exemption will be granted to the low income group. The GST rate to be imposed will be lower than the current sales tax and service tax rates.
* “The government needs to ensure that the Malaysian tax system is equitable and able to generate revenue for development purposes. In line with this, the government proposes that a tax of five per cent be imposed on gains from the disposal of real property from 1 January 2010.
* Effective Jan 1 2010, government agrees to allow agencies to retain 50 per cent of rentals received while the remaining 50 per cent will be remitted to the government as revenue.
* The Government will implement fuel subsidy management system in early 2010.
* The Government proposes the maximum income tax rate to be further reduced to 26 per cent from 27 per cent effective from the 2010 year of assessment.
* Maximum tax rate for cooperatives will be reduced to 26 per cent while the fixed tax rate for non-resident individuals will be cut to 26 per cent.
* Personal tax relief will be increased to RM9,000 from RM8,000 effective from the 2010 year of assessment.
* The Government also proposes income tax on employment income of Malaysians and foreign knowledge workers residing and working in Iskandar Malaysia be imposed at 15 per cent compared with the maximum 26 per cent for the rest of the country.
* Government to launch a scheme in January 2010 that enables EPF contributors to utilise current and future savings in Account 2 to promote house ownership.
* RM14.8 billion is allocated to manage, build and upgrade hospitals and clinics.
* The Government will issue 1Malaysia Sukuk totalling RM3 billion.
* The Government will establish the 1Malaysia Retirement Scheme to be administrated by EPF.
* Employees EPF contributions will be raised again to 11 per cent on a voluntary basis with immediate effect. However, from Jan 1, 2011 employees' EPF contribution will revert to 11 per cent.
* The Government proposes existing personal tax relief of RM6,000 for EPF contributions and life insurance premiums be raised to RM7,000.
* Government allocates RM2.3 billion to build and upgrade infrastructures in rural areas.
* Government provides RM41 million to improve income and quality of life of the Orang Asli Community by implementing various projects.
* Budget 2010 allocations totalled RM191.5 billion, of which RM138.3 billion is for operating expenditure and RM53.2 billion for development expenditure.
* Federal Government revenue in 2010 to decline by 8.4 per cent to RM148.8 billion.
* Budget deficit at 5.6 per cent of GDP compared with 7.4 per cent in 2009. - Bernama/Reuters
Sunday, October 18, 2009
Projects worth RM7.5 billion to improve ties
2009/10/18
MALACCA: Eight projects worth almost RM7.5 billion have been proposed by the Indonesian, Malaysian and Thai governments to enhance physical connectivity and better linkages between the three countries.
Minister in the Prime Minister’s Department Tan Sri Nor Mohamed Yakcop said of the eight projects, four would be built in Indonesia, three in Thailand and one in Malaysia.
The projects include the development of
Sumatra ports and toll roads,
Malacca-Dumai Economic Corridor transportation system,
Malacca- Pekan Baru power inter-connection network,
Southern Thailand ports development, and the construction of the
Pak Bara cargo port and
Hat Yai-Sadoa toll road.
“Enhancing physical connectivity and better linkages between the three countries are a key and critical role in the Indonesia-Malaysia-Thailand Growth Triangle’s (IMT-GT) development strategy, ” Nor Mohamed said after the three-day 16th IMT-GT Ministerial Meeting ended here on Thursday.
Besides the proposed projects, Nor Mohamed said he also proposed the IMT-GT could venture into halal products and medical tourism.
“These are among the areas which have tremendous growth potential and would also benefit the three countr ies.” IMT-GT was established in 1993 with the aim of boosting economic growth. Its programmes are private sector driven and facilitated by the relevant ministries in each member country.
Some 200 delegates attended the meeting. Also present were Indonesian Ministry for Economic Affairs senior officer, Raidi Hendro Koestoer, Thailand National Economics and Social Development Board deputy secretary-general Porametee Vimolsiri and representatives from Japan, the Asean Secretariat, Asian Development Bank, Economic Research Institute for Asean and East Asia and IMT-GT Joint Business Council.
The meeting, among others, deliberated on the progress and implementation of the IMT-GT Roadmap to Development 2007-2011 which includes development in tour - ism, halal products and services, agriculture, transportation and human resources development, and the future direction of IMT-GT beyond 2011.
MALACCA: Eight projects worth almost RM7.5 billion have been proposed by the Indonesian, Malaysian and Thai governments to enhance physical connectivity and better linkages between the three countries.
Minister in the Prime Minister’s Department Tan Sri Nor Mohamed Yakcop said of the eight projects, four would be built in Indonesia, three in Thailand and one in Malaysia.
The projects include the development of
Sumatra ports and toll roads,
Malacca-Dumai Economic Corridor transportation system,
Malacca- Pekan Baru power inter-connection network,
Southern Thailand ports development, and the construction of the
Pak Bara cargo port and
Hat Yai-Sadoa toll road.
“Enhancing physical connectivity and better linkages between the three countries are a key and critical role in the Indonesia-Malaysia-Thailand Growth Triangle’s (IMT-GT) development strategy, ” Nor Mohamed said after the three-day 16th IMT-GT Ministerial Meeting ended here on Thursday.
Besides the proposed projects, Nor Mohamed said he also proposed the IMT-GT could venture into halal products and medical tourism.
“These are among the areas which have tremendous growth potential and would also benefit the three countr ies.” IMT-GT was established in 1993 with the aim of boosting economic growth. Its programmes are private sector driven and facilitated by the relevant ministries in each member country.
Some 200 delegates attended the meeting. Also present were Indonesian Ministry for Economic Affairs senior officer, Raidi Hendro Koestoer, Thailand National Economics and Social Development Board deputy secretary-general Porametee Vimolsiri and representatives from Japan, the Asean Secretariat, Asian Development Bank, Economic Research Institute for Asean and East Asia and IMT-GT Joint Business Council.
The meeting, among others, deliberated on the progress and implementation of the IMT-GT Roadmap to Development 2007-2011 which includes development in tour - ism, halal products and services, agriculture, transportation and human resources development, and the future direction of IMT-GT beyond 2011.
Gulf states to extend railway project to Yemen
MUSCAT, Oct 17 —Wealthy Gulf states have agreed in principal to extend their multi-billion dollar railway project to Yemen, their poorer neighbour on the Arabian peninsula, a United Arab Emirates official said today.
The six countries in the Gulf Cooperation Council (GCC) — a loose economic bloc that comprises Saudi Arabia, the UAE, Kuwait, Qatar, Oman and Bahrain — are spending more than US$100 billion (RM336.6 billion) on various rail projects to ease congestion in the face of poor public transport networks and a growing population.
The Gulf Arab rail network alone will cost US$20-US$25 billion as the six oil producers seek to create a similar model to Europe’s high speed rail system.
The 1,940-km railway would connect the six Gulf states, each of which would contribute a share of the start-up capital. Yemen had asked for the railway be extended over its border with Oman.
‘“The GCC has accepted in principle to extend the railway link to Yemen from Oman,’“ said the official, who was attending a meeting of Gulf policymakers in Oman.
Yemen, which is not in the GCC, is facing an insurgency in the north where Zaidi Shi’ite Muslims took up arms against the government in 2004, as well as frequent clashes with separatists in the south.
Gulf officials also agreed on Saturday to appoint a single authority for the rail project and approved its design.
Dubai opened the initial phase of its US$7.62 billion metro project in September. Other cities including Riyadh, Mecca and Kuwait are also planning rail systems. — Reuters
The six countries in the Gulf Cooperation Council (GCC) — a loose economic bloc that comprises Saudi Arabia, the UAE, Kuwait, Qatar, Oman and Bahrain — are spending more than US$100 billion (RM336.6 billion) on various rail projects to ease congestion in the face of poor public transport networks and a growing population.
The Gulf Arab rail network alone will cost US$20-US$25 billion as the six oil producers seek to create a similar model to Europe’s high speed rail system.
The 1,940-km railway would connect the six Gulf states, each of which would contribute a share of the start-up capital. Yemen had asked for the railway be extended over its border with Oman.
‘“The GCC has accepted in principle to extend the railway link to Yemen from Oman,’“ said the official, who was attending a meeting of Gulf policymakers in Oman.
Yemen, which is not in the GCC, is facing an insurgency in the north where Zaidi Shi’ite Muslims took up arms against the government in 2004, as well as frequent clashes with separatists in the south.
Gulf officials also agreed on Saturday to appoint a single authority for the rail project and approved its design.
Dubai opened the initial phase of its US$7.62 billion metro project in September. Other cities including Riyadh, Mecca and Kuwait are also planning rail systems. — Reuters
Sunday, October 11, 2009
Tanjung Agas Petrochem Park
Excerpts from Malaysian Insider
Oleh Zukri Aksah
Oleh Zukri Aksah
TEMERLOH, 9 Okt — Projek Taman Industri Minyak, Gas Dan Maritim di Tanjung Agas, Pekan, Pahang telah dirasmikan melalui upacara pecah tanah oleh Ke Bawah Duli Yang Maha Mulia Sultan Pahang pada bulan Jun yang lepas. Projek yang bernilai RM2 bilion ini turut melibatkan kerajaan di bawah Pelan Pembangunan Ekonomi Wilayah Pantai Timur (ECER). Diberitakan bahawa kerajaan turut mempertimbangkan untuk memberi status zon perdagangan bebas kepada Tanjung Agas.
...
Pemaju induk projek ini ialah Tanjung Agas Supply Base & Maritime Services Sdn Bhd (TASBMS) yang dipunyai 30 peratus saham anak syarikat Perbadanan Kemajuan Negeri Pahang (PKNP) dengan usaha sama tujuh syarikat multinasional dalam dan luar negara, melibatkan kawasan seluas 1,658 hektar.
Projek berimpak tinggi itu merupakan pusat sehenti dan pengkalan mencari gali dan pengeluaran minyak mentah dan gas asli. Apabila siap nanti ia dipertimbangkan untuk diberi status zon perdagangan bebas dengan menempatkan limbungan kapal, limbungan fabrikasi, pangkalan bekalan dan kemudahan perkhidmatan dan terminal petroleum, kawasan kediaman serta perdagangan dan perindustrian.
...
Tuesday, September 15, 2009
RM7b LRT extension
Tuesday September 15, 2009 By SHARIDAN M. ALI The Star
KUALA LUMPUR: Syarikat Prasarana Negara Bhd, the state-owned public transport operator, expects to start construction on the extension of its two light rail transit (LRT) lines in the Klang Valley early next year at a total estimated cost of RM7bil.
Expected to be completed in three years, the exercise will see the extension of the Kelana Jaya Line and Ampang Line by 17km and 17.7km respectively.
Group managing director Datuk Idrose Mohamed said the company had internally generated RM2bil and issued RM2bil Islamic bonds or sukuk to raise funds last week to part finance the project. The RM2bil Islamic bond issuance was reported to be more than three times oversubscribed, with an order book of RM6.6bil.
“Our initial intention was to issue a total of RM4bil of Islamic bonds. But now, the remaining RM2bil issuance will be next year or in the course of three years. “This depends on our cashflow requirements and some of the payments will only be issued after the project is completed for defect liability. Our immediate need is RM2bil for land acquisition and some initial works,” he said after a media briefing on the public display of the proposed alignment for the LRT line extensions yesterday.
The three-month display starting tomorrow at the Department of Railways, Kuala Lumpur City Hall, Petaling Jaya City Council, Subang Jaya Municipal Council and Shah Alam City Council is to get public feedback on the project. Alternatively, the public can view and channel feedback on the project via the Department of Railway website.
Idrose said Prasarana would publicise the pre-qualification of contractors to participate in the project in the newspapers next month.
“The various contracts for the project will be awarded via open tender for companies that have been pre-qualified and at the moment we have neither decided on the number of contractors nor contract packages. They will only be decided after we consider the response from the public as required by law and the final approval from the Government,” he said.
In line with the extension of LRT lines, Prasarana will also embark on fleet (train) expansion. For Ampang LRT, the fleet expansion involves an additional 13 train sets of six cars per set while the Kelana Jaya LRT extension requires 35 more train sets of four cars per set. Idrose said the funds for its the fleet expansion had been raised earlier.
Prasarana projected to double its current daily passenger volume with the lines extension.
Ampang LRT now has daily passenger volume of 170,000 while Kelana Jaya LRT has 180,000.
OSK Investment Bank analyst Jeremy Goh listed four construction companies with the potential of bagging the main contracts due to their experience in LRT.
“The first two are UEM Builders Bhd and IJM Corp Bhd as they have the experience as main contractors of the two existing LRT lines. IJM Corp wholly-owned subsidiary Road Builder (M) Holdings Bhd also has a bright chance to be involved as IJM Corp had sub-contracted many of the existing LRT works to Road Builder. Gamuda Bhd is also on the list due to its experience in the construction of Kaohsiung’s mass rapid transit in Taiwan. Malaysian Resources Corp Bhd also has high chances as it was the main contractor for the Kelana Jaya Line in the KL Sentral portion,” he said.
Goh said there would “definitely” be a lot of sub-contracts to build the stations or sound barriers that would benefit companies like Mudajaya Group Bhd.
He said funding should not be an issue as Prasarana was a state-owned company under Ministry of Finance Inc. AmResearch in its sector report said this latest development validated its earlier stance that domestic contract flows were gaining momentum and reaffirmed its overweight position on the construction sector. Apart from LRT projects, tenders for the Bakun transmission cable project – estimated to cost RM10bil – could be out by the first quarter next year,” said the report.
Master Builders Association Malaysia president Ng Kee Leen said the RM7bil project was great news for the construction sector that had suffered from fewer projects awarded in the first half of this year. It is good for the sector to be involved in the improvement of our transportation system. And there should be more transportation projects for the betterment of our public transportation system. The third and fourth quarters should chart better industry growth than the first half year, and next year should be better as we are seeing more construction projects coming in. Among the big projects are the low-cost carrier terminal, dam projects such as in Terengganu and Penang as well as works in the Eastern Corridor Economic Region,” he said.
KUALA LUMPUR: Syarikat Prasarana Negara Bhd, the state-owned public transport operator, expects to start construction on the extension of its two light rail transit (LRT) lines in the Klang Valley early next year at a total estimated cost of RM7bil.
Expected to be completed in three years, the exercise will see the extension of the Kelana Jaya Line and Ampang Line by 17km and 17.7km respectively.
Group managing director Datuk Idrose Mohamed said the company had internally generated RM2bil and issued RM2bil Islamic bonds or sukuk to raise funds last week to part finance the project. The RM2bil Islamic bond issuance was reported to be more than three times oversubscribed, with an order book of RM6.6bil.
“Our initial intention was to issue a total of RM4bil of Islamic bonds. But now, the remaining RM2bil issuance will be next year or in the course of three years. “This depends on our cashflow requirements and some of the payments will only be issued after the project is completed for defect liability. Our immediate need is RM2bil for land acquisition and some initial works,” he said after a media briefing on the public display of the proposed alignment for the LRT line extensions yesterday.
The three-month display starting tomorrow at the Department of Railways, Kuala Lumpur City Hall, Petaling Jaya City Council, Subang Jaya Municipal Council and Shah Alam City Council is to get public feedback on the project. Alternatively, the public can view and channel feedback on the project via the Department of Railway website.
Idrose said Prasarana would publicise the pre-qualification of contractors to participate in the project in the newspapers next month.
“The various contracts for the project will be awarded via open tender for companies that have been pre-qualified and at the moment we have neither decided on the number of contractors nor contract packages. They will only be decided after we consider the response from the public as required by law and the final approval from the Government,” he said.
In line with the extension of LRT lines, Prasarana will also embark on fleet (train) expansion. For Ampang LRT, the fleet expansion involves an additional 13 train sets of six cars per set while the Kelana Jaya LRT extension requires 35 more train sets of four cars per set. Idrose said the funds for its the fleet expansion had been raised earlier.
Prasarana projected to double its current daily passenger volume with the lines extension.
Ampang LRT now has daily passenger volume of 170,000 while Kelana Jaya LRT has 180,000.
OSK Investment Bank analyst Jeremy Goh listed four construction companies with the potential of bagging the main contracts due to their experience in LRT.
“The first two are UEM Builders Bhd and IJM Corp Bhd as they have the experience as main contractors of the two existing LRT lines. IJM Corp wholly-owned subsidiary Road Builder (M) Holdings Bhd also has a bright chance to be involved as IJM Corp had sub-contracted many of the existing LRT works to Road Builder. Gamuda Bhd is also on the list due to its experience in the construction of Kaohsiung’s mass rapid transit in Taiwan. Malaysian Resources Corp Bhd also has high chances as it was the main contractor for the Kelana Jaya Line in the KL Sentral portion,” he said.
Goh said there would “definitely” be a lot of sub-contracts to build the stations or sound barriers that would benefit companies like Mudajaya Group Bhd.
He said funding should not be an issue as Prasarana was a state-owned company under Ministry of Finance Inc. AmResearch in its sector report said this latest development validated its earlier stance that domestic contract flows were gaining momentum and reaffirmed its overweight position on the construction sector. Apart from LRT projects, tenders for the Bakun transmission cable project – estimated to cost RM10bil – could be out by the first quarter next year,” said the report.
Master Builders Association Malaysia president Ng Kee Leen said the RM7bil project was great news for the construction sector that had suffered from fewer projects awarded in the first half of this year. It is good for the sector to be involved in the improvement of our transportation system. And there should be more transportation projects for the betterment of our public transportation system. The third and fourth quarters should chart better industry growth than the first half year, and next year should be better as we are seeing more construction projects coming in. Among the big projects are the low-cost carrier terminal, dam projects such as in Terengganu and Penang as well as works in the Eastern Corridor Economic Region,” he said.
Wednesday, August 26, 2009
IJM expects to keep orderbook above RM4b
By Jeeva Arulampalam
Published: 2009/08/26
IJM Corp Bhd (3336), the country's second biggest construction company, expects to maintain an order book of more than RM4 billion as it bids for sizeable government contracts locally and abroad.It aims to bid for infrastructure projects that will be rolled out under government stimulus packages in Asia. Governments around the world are spending more money to pull their economies out of recession."We would replenish the order book so that we maintain about RM4 billion plus at any one time. Since our chewing rate is about RM200 million a month, we have to (replenish) about RM2 billion plus a year," said IJM Corp managing director and chief executive officer Datuk Krishnan Tan Boon Seng.He was speaking to reporters after the group's annual and extraordinary general meetings in Subang Jaya yesterday.
Some projects IJM Corp is eyeing include the new permanent low-cost carrier terminal in Sepang and the light rail transit (LRT) extension works in Kuala Lumpur."We do a broad range of work from civil engineering works to building. You will see us participating where there are sizeable jobs," said Tan, adding that the company was bidding for works here and abroad.Tan said tenders for both the LCCT and LRT projects have yet to be called."For the LCCT, the pre-qualification process has been called and we have also submitted. We will look to bid for the sizeable packages (once the tender is open)," he said. Tan also said that there will be other tenders from the Pahang-Selangor Water Transfer project, including the dams, intakes, ancillary infrastructure and the treatment plant.
On IJM Corp's property division, Tan said there are strong property sales yet to be billed and expects the division to perform decently given the wide range of products - retail, industrial, medium- and high-cost developments - in high density locations.Meanwhile, the group saw its first quarter net profit decline 22.5 per cent to RM70.8 million while revenue slipped 5 per cent to RM1.16 billion.In a Bursa Malaysia announcement, it said the lower earnings for the three-month period to June 30 2009 was due to lower contributions from its plantation division as crude palm oil prices fell.Also, the construction division suffered lower margins from old contracts affected by higher costs in the previous year and higher financing costs incurred in India.The plantation division earnings dipped as the group expedited its fertiliser application and repair cost for infrastructure due to heavy rainfall and floods."We don't think that the first quarter is reflective of the following quarters," said Tan. He added that the current fiscal year ending March 31 2010 would be similar to 2007, where the first quarter was lower but later quarters showed improvements.
Published: 2009/08/26
IJM Corp Bhd (3336), the country's second biggest construction company, expects to maintain an order book of more than RM4 billion as it bids for sizeable government contracts locally and abroad.It aims to bid for infrastructure projects that will be rolled out under government stimulus packages in Asia. Governments around the world are spending more money to pull their economies out of recession."We would replenish the order book so that we maintain about RM4 billion plus at any one time. Since our chewing rate is about RM200 million a month, we have to (replenish) about RM2 billion plus a year," said IJM Corp managing director and chief executive officer Datuk Krishnan Tan Boon Seng.He was speaking to reporters after the group's annual and extraordinary general meetings in Subang Jaya yesterday.
Some projects IJM Corp is eyeing include the new permanent low-cost carrier terminal in Sepang and the light rail transit (LRT) extension works in Kuala Lumpur."We do a broad range of work from civil engineering works to building. You will see us participating where there are sizeable jobs," said Tan, adding that the company was bidding for works here and abroad.Tan said tenders for both the LCCT and LRT projects have yet to be called."For the LCCT, the pre-qualification process has been called and we have also submitted. We will look to bid for the sizeable packages (once the tender is open)," he said. Tan also said that there will be other tenders from the Pahang-Selangor Water Transfer project, including the dams, intakes, ancillary infrastructure and the treatment plant.
On IJM Corp's property division, Tan said there are strong property sales yet to be billed and expects the division to perform decently given the wide range of products - retail, industrial, medium- and high-cost developments - in high density locations.Meanwhile, the group saw its first quarter net profit decline 22.5 per cent to RM70.8 million while revenue slipped 5 per cent to RM1.16 billion.In a Bursa Malaysia announcement, it said the lower earnings for the three-month period to June 30 2009 was due to lower contributions from its plantation division as crude palm oil prices fell.Also, the construction division suffered lower margins from old contracts affected by higher costs in the previous year and higher financing costs incurred in India.The plantation division earnings dipped as the group expedited its fertiliser application and repair cost for infrastructure due to heavy rainfall and floods."We don't think that the first quarter is reflective of the following quarters," said Tan. He added that the current fiscal year ending March 31 2010 would be similar to 2007, where the first quarter was lower but later quarters showed improvements.
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