Business

40% ECRL civil works worth RM10 bil to be awarded to local firms

Agreement reached between Malaysia Rail Link, China Communications Construction Company Ltd

Updated 5 years ago · Published on 06 Jan 2021 1:39PM

40% ECRL civil works worth RM10 bil to be awarded to local firms
ECRL’s overall completion rate is currently at 19.69%. – AFP pic, January 6, 2021

KUALA LUMPUR – Malaysia Rail Link Sdn Bhd (MRL) and China Communications Construction Company Ltd (CCCC) have agreed for the latter to appoint local subcontractors and suppliers for at least 40% of the civil works in the East Coast Rail Link (ECRL) worth nearly RM10 billion.

The works, which exclude tunnelling, are meant for the project’s implementation from 2017 to 2026.

MRL chairman Tan Sri Mohd Zuki Ali, in a statement, said CCCC also agreed to accord special attention to the appointment of small contractors from Grades G1 to G3 that will directly benefit them, as well as the country’s overall construction industry.

“To date, a total of 403 local contractors have passed the pre-qualification process, and are already registered in the online registration system. Of these, 212 companies are Bumiputera contractors, or 52% of the total pre-qualification.

“Since the implementation of the project from 2017 until November 30, 2020, ECRL work contracts (including permanent and temporary civil works) worth RM3.39 billion have been awarded to almost 2,000 local companies, comprising contractors, suppliers and consultants.”

Of the total, RM1.69 billion is for works in Pahang, followed by Terengganu (RM1.4 billion) and Kelantan (RM300 million).

Progress-wise, the ECRL project is proceeding slightly ahead of schedule, driven mainly by construction works in Sections A (Kota Baru-Dungun) and B (Dungun-Mentakab).

Its overall completion rate is currently at 19.69%.

MRL is targeting an overall completion rate of 30% by year-end. – Bernama, January 6, 2021

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