To prevent future toll increases, the government is considering extending highway operators’ concession periods up to 30 years, according to the report. Malay Mail introduced a report of The ledge.
Unnamed sources told the publication that such a move has not yet been green-lit by the Cabinet, but if it does, an announcement could be made around the second half of the year. “I am told the government is looking to increase the term up to 30 years for all franchisees,” a source said.
“It is likely to be announced in the second half of the year,” continued the same source, adding that highway operators have been informed by the government of the possibility of extending the concession period. their.
Meanwhile, a second source believed to be close to a franchisee said the extension could be in the government’s interest to prevent toll hikes as well as avoid paying compensation. for highway operators.
The third source added that a longer concession period could lead to a reduction in fees. “It is likely that highway owners will need to reduce toll rates in exchange for a longer concession period,” the source was quoted as saying. This has happened in the past, since January 2020, PLUS Malaysia 18% reduction in toll rates on highways after it concessions have been extended for another 20 years to 2058.
