Private sector to play bigger role in airport development

KULAI: The Transport Ministry hopes that its new operating agreement (OA) with Malaysia Airports Holdings Bhd (MAHB) will reduce the country’s financial burden as it will allow the company to engage with other investors directly in developing airport infrastructure.

Its minister Anthony Loke said that under the previous model, all development allocation for airports was borne by the government. “The government had to use a lot of funds for the capital expenditure of airports and we could not afford it as all airports need expansion.

“The extension of the OA will allow private companies to play a bigger role in investing in the country’s infrastructure,” he said, adding that the OA would be finalised by June.

He said this in a press conference after attending the launch of Johor FedEx Express Station opening here in Senai yesterday.

“This will allow investors to choose where they want to invest in,” he said.

On another matter, Loke said details of the plan to build the world’s largest ship-to-ship transfer hub off Johor Baru port would only be known after the feasibility study is completed.

“The project developer, KA Petra Sdn Bhd, has been given permission in principle to carry out the study.”

Source : TheStar