Sabah’s Pan Borneo Highway Phase 1 has recorded RM11.792 billion in expenditure, with four of 35 work packages completed and Phase 1A physical progress at 89.54 per cent.
KOTA KINABALU: Sabah’s Pan Borneo Highway Phase 1 has incurred RM11.792 billion in expenditure, or 47.37 per cent of its RM24.859 billion total cost, as at Sept 30, 2026, the state government said.
Deputy Chief Minister I Datuk Seri Dr Joachim Gunsalam said the project involved 35 work packages (WPs) spanning 706km, with implementation progress varying across the packages.
He said four of the 15 packages under Phase 1A had been fully completed, while the remaining 11 were still being implemented.
The completed packages were WP27, Kampung Lot M–Sandakan Mile 32, in 2023; WP05, Papar–Donggongon, and WP21, Lahad Datu Bypass, in 2024; and WP15, Tawau–Semporna, in 2025.
Joachim, who is also state Works and Utilities Minister, said Phase 1A’s actual physical progress stood at 89.54 per cent, against a scheduled 96.23 per cent, as at Sept 25.
In a statement yesterday, he said the government acknowledged the delays and was focusing on resolving site issues and improving project management.
He also clarified that an audit report’s 11.4 per cent completion figure referred to the four fully completed packages out of the 35 packages under Phase 1, rather than the overall physical progress of construction.
“The two percentages use different measurement methods. The 11.4 per cent refers to the completion rate based on the number of work packages completed under the entire Phase 1, while 89.54 per cent reflects actual physical progress under Phase 1A,” he said.
Joachim said WP09 had recorded actual physical progress of 40.83 per cent, ahead of its scheduled 38.87 per cent, while Phase 1B had achieved 25.55 per cent, compared with its scheduled progress of 24.77 per cent.
He said the remaining packages were being monitored closely, with recovery plans being implemented to accelerate construction.
The project began under the Project Delivery Partner (PDP) model, with three packages launched in 2016, four in 2017 and five in 2018.
After the PDP model was terminated in September 2019, the project shifted to the conventional implementation method, with the Public Works Department (JKR) Sabah appointed as Superintending Officer.
Of the original 12 packages, 11 were re-awarded to their existing contractors in 2019. One package, which had been terminated during the PDP period, was retendered, with its letter of acceptance issued in 2021 alongside three new packages. These 15 packages formed Phase 1A.
Phase 1B comprises 19 packages approved under the third rolling plan of the 12th Malaysia Plan. Seventeen began physical works in 2024, while WP09 and one Phase 1B package started in 2025. The remaining package, WP35, began work in January 2026.
Joachim said the project had faced challenges including the transition between management models, disruptions to the workforce and construction material supply chains during the Covid-19 pandemic, land acquisition, utility relocation and road-widening works that had to be carried out without disrupting traffic.
Despite these challenges, site clearance for Phase 1A had reached 99.85 per cent as at Sept 25, he said.
He added that the state Works and Utilities Ministry and JKR Sabah accepted the audit findings as a basis for strengthening governance, contract management and project monitoring.
The ministry and JKR Sabah also took note of the Public Accounts Committee’s (PAC) intention to investigate the project and were prepared to extend full cooperation, he said.
Comments
Post a Comment