Non-Sabah companies likely to be roped in.

February 15, 2017

PAN BORNEO HIGHWAY

KOTA KINABALU: The Pan-Borneo Highway project in Sabah will likely involve companies from outside the state to ensure its 2021 deadline is met. 

The state government had earlier said the mega project would prioritise local contractors. 

However, Works Minister Datuk Seri Fadillah Yusof said based on the criteria set by project delivery partner Syarikat Borneo Highway PDP Sdn Bhd (PDP), there were less than 10 locals who fulfilled the requirements in terms of financial status, technical expertise and experience. 

"There are many contractors in Sabah, but they lack experience in constructing roads or highways. If they team up with companies, they will not only get financial and technical support, but also experience," he said after a briefing on opportunities for packages under the project at the federal administration building here yesterday. 

He said the project, which was supposed to be divided into 35 packages, might have to be merged. 

Fadillah said Bumiputeras would have opportunities in terms of supplying construction materials, logistics and food services. 

"The project is one (example) of the devolution power to the state, with the state secretary (Tan Sri Sukarti Wakiman) overseeing the tender and awards while the ministry monitors its progress. We hope for a close collaboration among government agencies to ensure that the project is implemented smoothly this year," he said, adding that three packages had begun. 

PDP managing director Shahelmy Yahya said the ministry's proposal was aimed at enhancing the capability of local companies without affecting the project. 

"We will propose to the state government a joint venture between Sabah and companies from other states. The shares, or equity, will be 70 local and 30 non-Sabah companies," he said when contacted.