Shah alam: Selangor Menteri Besar Datuk Seri Amirudin Shari has once again emphasised that the appointment of Rantaian Mesra Sdn Bhd as the operator to handle the implementation of the Smart Intelligent Parking System (SIP) was made through an open tender. He stated that the appointment by the Selangor Menteri Besar (Incorporated) or MBI was conducted after a Request for Proposal (RFP) was issued and a proper evaluation was carried out involving 26 interested companies.

According to BERNAMA News Agency, upon receiving the applications, the MBI undertook a proper verification or screening process and submitted the list of eligible candidates to the state government. MBI prioritises the state’s interests and does not hand over control entirely to any party, as Amirudin said after the 2025 Selangor Platform Strategic Partner Synergy and Appreciation Ceremony (PLATS).

The menteri besar addressed concerns regarding the legality of privatising public car parks and whether it is allowed under the Road Transport Act 1987. Public car parks fall under the jurisdiction of the Ministry of Transport, and local councils (PBT) are delegated to manage, enforce, and collect parking fees, under Section 72 of the Road Transport Act 1987.

Previously, the media reported that the SIP aims to streamline the parking fee collection system across all local authorities to be systematic and efficient in line with the Smart Selangor initiative. The first phase, which began on Aug 1, involves four local authorities: Petaling Jaya City Council (MBPJ), Subang Jaya City Council (MBSJ), Shah Alam City Council (MBSA), and Selayang Municipal Council (MPS).

Among the main objectives of implementing the system are to raise parking fee compliance, currently at around 30 per cent, and to reduce issues such as double parking and lack of enforcement. The collection proceeds will be divided with 40 per cent going to the PBT, 10 per cent to MBI, and 50 per cent to the concessionaire company, which handles parking fee collection and enforcement.

Regarding the percentage of collection, Amirudin mentioned that the matter could be discussed again with the concessionaire company and the PBT involved, considering the high costs incurred by the appointed company in providing facilities, including CCTV (closed-circuit television). The percentage of collection could be re-negotiated, but it is important to note that the tender process was not a direct negotiation as 26 other companies were also evaluated before the selection was made.