How long must motorists using the Penang bridge pay toll to the concession company, which is allegedly siphoning the money for its own benefit?

For 20 years, the people of Penang have wondered about this and now with a toll hike appearing imminent, the question has once again become prominent.

Under the contract, the concessionaire Penang Bridge Sdn Bhd (PPSB), a wholly subsidiary of Intria Bhd, can increase toll rates by five percent every five years with the approval of the government.

However, under the lopsided agreement, the government will have to compensate the concessionaire if it disapproves the increase.

Since the government did not allow a toll increase in 1998 and then 2003, according to the annual auditor-general's report, it had compensated about RM41.72 million between October 1998 and September 2003 to PPSB.

The concessionaire company had collected more than RM8 billion over the past 20 years from motorists using the bridge, which has been operational since1985.

However, to recover the estimated RM402 million cost to expand the bridge from two-lanes to a three-lane dual carriageway and the construction of a motorcycle lane, the company plans to increase the toll rates soon.

Direct control

Save Ourselves (SOS) secretary Ong Boon Keong described this as 'unfair'.

He claimed that the concession company had been siphoning money from bridge users to invest and incur losses in wasteful ventures.

He suggested that the federal government scrap the concession contract and hand over the bridge to the Penang government and people.

"Penangites should have direct control over the bridge," he said.

The state government, through its investment arm - the Penang Development Corporation - once held a 15 percent stake in the concession.

However, due to pressure from the federal government, the state government relinquished its stake and willingly became a bystander in the administration and operations of the bridge.

Lawyer V Rajendran said the state should compel the federal government to place the bridge under the control of the people.

"The state government can use the toll collections for our benefits, unlike now," he added.

Public explanation

Penang DAP organising secretary Danny Law Heng Kiang said the Barisan Nasional government owed the public an explanation on the sudden escalated cost for the bridge expansion project from the original RM200 million three years ago to RM402 million.

The concessionaire would carry out the project with a RM340 million government loan.

Since the government has suspended the second link project, the expansion has become all the more important to cater to the ever-growing number of vehicles plying the bridge.

More than 100,000 vehicles use the bridge daily. Compared with the North-South Expressway (NSE), which charges motorists only 12 sen per km, motorists pay 52 sen per km to use the Penang bridge.

Moreover, motorcyclists pay RM1.40 for using the bridge while it is free on NSE.

Due to this, Penangites prefer the state government to take control of the bridge.

"By transferring the ownership, the state government and Penangites not only can gain financially but would have direct control on its toll rates, unlike now," said retired teacher Mark Ooi Saw Leong.

ATHI VEERANGGAN is malaysiakini 's Penang-based stringer.