The federal government will compensate Plus Malaysia Bhd (Plus) for the abolishment of toll collection at Batu Tiga, Sungai Rasau along the Federal Highway and at the Bukit Kayu Hitam toll plaza in Kedah.
The other concessionaire, Malaysian Resources Corporation Bhd, which owns the Eastern Dispersal Link (EDL) in Johor, will also be paid by the government for the loss in revenue when the toll is scrapped on this highway on Jan 1, 2018.
"We are already in the final stage of the discussion and we have to pay (the compensation) because the government has taken over their assets and toll collection, and this is all for the people," said Second Finance Minister Johari Abdul Ghani over the “Soal-Jawab” recorded programme aired over TV3 on Wednesday.
He stressed that the government had to absorb the losses incurred by the companies involved.
Government compensation for the Batu Tiga and Sungai Rasau tolls in Selangor is estimated at RM102 million, annually, while for scrapping the toll at Bukit Kayu Hitam, the government would have to cough out an estimated RM8 million from its coffers.
Last Friday, Prime Minister Najib Razak, who is also the finance minister, announced the abolishment of four tolls, commencing Jan 1.
On affordable housing, Johari said that according to Bank Negara Malaysia, the average Malaysian was only able to borrow RM250,000 and below to purchase a house but there was an insufficient supply of houses priced below RM250,000.
He said the government would ensure a sufficient supply of affordable houses in new townships while continuing efforts to promote house ownership among the people.
This included the government’s move to allocate RM2.2 billion for the housing sector with 1Malaysia People's Housing Scheme receiving RM1.5 billion to construct 210,000 affordable houses priced RM250,000 and below.
Johari added that the government would also continue with programmes such as the People's Housing Project, 1Malaysia People Friendly Homes under Syarikat Perumahan Negara Bhd and the 1Malaysia Civil Servants Housing Programme.