Broga residents are demanding an explanation from the government over claims of possible breach of contract by the Japanese contractor hired to design, build and commission the 1,500-tonne incinerator plant.

Yesterday, malaysiakini , quoting sources close to the deal, reported that the government-appointed contractor, Tokyo-based Ebara Corporation, may have failed to fulfill the obligations of the contract in relation to transfer of technology.

However, this could not be independently verified as all the parties involved have either refused to respond to repeated queries or could not be reached for clarification and comment over the past week up to today.

They include the Housing and Local Government Ministry, Ebara Corporation and the local consortium comprising Ebara Environmental Engineering (M) Sdn Bhd and Hartasuma Sdn Bhd.

"From the start, the project has been shrouded in secrecy. Nothing has been revealed about the tender process although it involves billions of ringgit. What does the government have to say now?" asked Prof P Ramasamy, chairperson of the Semenyih/Broga No Incinerator pro-tem action committee.

Ramasamy said residents of Broga and Semenyih, in particular, deserve to know the details of the contract, even at this late stage, as the environmental impact assessment (EIA) report has received conditional approval from the Department of Environment (DOE).

He questioned the government's capability in selecting contractors for major projects that have a direct impact on the lives of people and the public interest.

"If they (the contractor) can do this (allegedly breach the contract), the question is whether they can fulfill the safety requirements and all other stipulated standards and conditions?"

The pro-tem committee will meet lawyers later this week to finalise their challenge of the EIA report.

Probe into Ebara

Last year, when residents, opposition politicians and lobbyists raised doubts as to the choice of contractor, Housing and Local Government Minister Ong Ka Ting promptly promised to probe the allegations linked to Ebara's operations in Japan. However, nothing has been said since.

"Is he still probing...because we have not heard anything so far," remarked committee member N Segeran.

He said the government should have conducted a thorough background check on any company being considered for a project of such magnitude.

"We've been telling everyone in authority - the ministry, Selangor government, elected representatives and the prime minister and his deputy - about Japanese media reports on Ebara, as well as about our research findings on the implications of incinerator operations. But no one has listened to us at all."

Japan has more than 4,000 municipal solid waste and industrial waste incinerator plants, and has been found to have recorded the highest dioxin levels worldwide. (Dioxin is a toxic pollutant released during burning, and has been linked to the incidence of cancer.)

No transparency

Contacted today, Consumers Association of Penang (CAP) legal advisor Meena Raman said the government's lack of transparency has been the main source of problems involving huge projects.

"Right from the word go, the government has not been transparent. It has revealed nothing about the terms or the tender process," said Meena, who is on Broga legal panel.

"Since the new government (of premier Abdullah Ahmad Badawi) has promised transparency, can it now explain how on earth this company was selected and based on what criteria?

"The government must explain how this is possible. It must explain the contractor's track record and if it has complied with Japanese environmental standards."

Reiterating support for the residents' demand that the project be scrapped, she said CAP is also unhappy with the DOE because "many flaws in the EIA have not been addressed".

"Firstly, the EIA has no basis for approval. Secondly, a question of integrity hangs over the contractor's track record. We're unconvinced with the safety assurances given, both in the EIA report and to residents."

Meena also questioned the government's continued silence on the source of funding for the incinerator project.

The Japanese government has already denied any provision of a soft loan, contradicting the ministry's claim that it had made such an arrangement. Last October, the Malaysian government had revealed in the budget speech that it had allocated the full sum for spending this year.

"We are completely shocked that our government has decided to remain mum over this. It has to answer now, especially since the EIA report itself has acknowledged the project as being very costly."

She added that the cost of operations, estimated to be RM200 million a year, will have to be borne by ratepayers who would find it a heavy financial burden.

The project has caused much controversy and has come under fire from various groups, who want the government to consider alternative waste management methods which have proven a success in other countries.