Kuala lumpur: The Federal Government is set to provide financial support for the Elevated Autonomous Rapid Transit (E-ART) project in Johor, Transport Minister Anthony Loke announced. Currently, the specifics of the funding method, the exact financial commitment, and the repayment mechanism over the concession period remain under negotiation.
According to BERNAMA News Agency, the initial financing of the project will be undertaken by the appointed consortium. However, recent assessments indicate that relying solely on private sector funding would render the mega infrastructure project unfeasible. Consequently, the Federal Government will step in to finance the project's costs. This announcement was made during the oral question-and-answer session in the Dewan Rakyat, in response to a query from Datuk Seri Dr Wee Ka Siong (BN-Ayer Hitam) regarding the Federal Government's commitment to the Johor E-ART project.
Dr Wee inquired whether the government's commitment would involve direct funding or a concession model with the private sector, and how the project aligns with traffic congestion forecasts once the Johor Bahru-Singapore Rapid Transit System (RTS) Link becomes operational in January 2027, ahead of the E-ART project's completion. Minister Loke noted that the terms of the agreement will be presented to the Cabinet for approval before the Concession Agreement is finalized. The E-ART project is slated for completion within four years from the issuance of the Letter of Acceptance.
The announcement also highlighted collaborative efforts between the Transport Ministry and the Johor government to enhance the existing public transport infrastructure. Plans include expanding the BAS.MY service network to 28 routes with 254 buses, including electric buses, and introducing 157 buses dedicated to the Johor Bahru (JB) Sentral and Bukit Chagar routes under the Stage Bus Service Transformation (SBST) 2.0 program by early 2027.
Additionally, the ministry is in the process of acquiring 12 KTM Komuter Southern train sets. While awaiting approval, the new Shuttle Selatan service commenced operations on June 16, connecting Kulai-Kempas-Johor Bahru and Kempas-Pasir Gudang with 14 daily trips. In response to a question from Rusdan Rusmi (BN-Padang Besar) about the possibility of setting a fare ceiling for public transport projects, Loke reassured that fare regulation remains under government control. He emphasized that keeping fares low requires government subsidies, ensuring public transport remains affordable.