Kuala lumpur: The Public Accounts Committee (PAC) will summon the Ministry of Defence (MINDEF) to provide clarification and an update on Norway's decision to revoke an export licence for Naval Strike Missiles (NSM) intended for Malaysia. PAC chairman Datuk Mas Ermieyati Samsudin stated that the issue will be addressed during a briefing on June 23, which will also involve the Parliamentary Special Select Committee on Security.
According to BERNAMA News Agency, Mas Ermieyati mentioned that they had previously communicated with MINDEF and received a letter from the ministry's secretary-general, Datuk Lokman Hakim Ali, detailing the status following the Norwegian government's decision. She noted that since there have been new developments, MINDEF will be called to the PAC for further clarification and a briefing. This was conveyed to reporters after a PAC working visit to Kuala Lumpur International Airport (KLIA).
The Royal Malaysian Navy's six Littoral Combat Ships (LCS) were initially set to be outfitted with anti-ship missile systems manufactured by Norway's Kongsberg Defence and Aerospace. This was under a £124 million (RM571.9 million) contract signed in April 2018. However, the Norwegian government reportedly revoked the export licence for the NSM system last March, just days before the planned delivery, due to stricter export controls on sensitive military technologies.
Defence Minister Datuk Seri Mohamed Khaled Nordin disclosed on June 2 that the unilateral decision resulted in direct losses for Malaysia exceeding RM600 million for the missile procurement, with indirect costs potentially surpassing RM1 billion.
Regarding the PAC's visit to KLIA, Mas Ermieyati explained that it was part of the committee's endeavors to complete its report on the management of public airports. The PAC is in the final stages of finalizing the draft report, which is expected to be tabled during the next Dewan Rakyat sitting, beginning on June 22. The visit offered the committee a clearer understanding of the progress of several high-impact projects, such as the aerotrain and baggage handling system (BHS).
She emphasized that by conducting site visits and observing project progress and operations firsthand, they can further verify the information presented during proceedings. Mas Ermieyati added that the committee had the opportunity to closely observe BHS operations and comprehend the challenges and risks involved in upgrading the ageing system. The PAC will continue to monitor project implementation to ensure timely completion while preventing waste, leakages, and misconduct in public fund management.