The proposed East Coast Rail Line (ECRL) project announced by Prime Minister Najib Razak in Budget 2017 spells good news for residents in Terengganu.

The 600-kilometre project from Kuala Lumpur to Tumpat, Kelantan costing RM55 billion which would cut across Terengganu is expected to impact positively on the local economic and social sectors.

Dungun parliamentary development officer Din Adam told Bernama when contacted that the ECRL would serve as an alternative mode of transport for the people, whereby they could have the benefit of comfortable and shorter time travel compared to land transport.

He said the ECRL would boost Dungun's potential towards creating more growth centres for new towns in the district.

"Dungun, as Terengganu's learning and higher education hub will capitalise on this opportunity to further rejuvenate the economic and tourism sectors, which will indirectly create more employment opportunities.

"New growth centres will indirectly enhance property value and the socio-economy of the residents.

"On behalf of Dungun residents, I thank the federal government's commitment to this project for the well-being of the people in the long run," he said.

An offshore company, PFCE-CG supervisor based in Kertih, Amir Farid Ngah, said the train service would hopefully ease traffic congestion in the industrial areas at Paka and Kertih particularly in the morning and evening.

"We hope it will smoothen traffic flow here and also reduce the environmental pollution from vehicle emissions.

"Aside from that, we can save on transport costs if we take the train, compared to filling up RM10 worth of petrol daily to go from Dungun to Kertih," he said.

SME Corp Terengganu director Muhammad Ibrahim said the ECRL would spur economic growth for small and medium industries especially in Kemaman and Besut.

"This project will benefit more than 22,514 active SMIs in the state. The vast economic impact is expected to expand with a socio-economic plan that takes into account, ECRL stations to be constructed in the areas around.

"This project will provide major economic benefits such as employment and opportunities for growth in the tourism and construction industries, and food and retail sectors.

"It will also serve as a catalyst for rapid economic development in east coast states particularly Terengganu and the surrounding areas," he said.

Meanwhile, Malay Chamber of Commerce, Terengganu head Ir Azmi Ali said the East Coast Economic Region would potentially derive optimum returns particularly in physical development from the project.

He noted that transport communication logistics in Terengganu was trailing far behind other states in the west coast of the peninsula.

"The train project was seen as infeasible then - Terengganu has too many rivers. But now it has been found that it can be implemented.

"It will not only benefit the locals; all levels of society would be able to enjoy the spillover," he said.

- Bernama