Kuala Lumpur, 2 August: Calls for Tenders to the local contractors for the Civil Works packages of the East Coast Rail Link (ECRL) will commence in the fourth quarter of 2019, as a total of 331 Malaysian construction companies have been shortlisted as potential tenderers following the recent Pre-Qualification (Pre-Q) exercise.
CCCC had earlier called for submission of Pre-Q documents on 29 & 30 May 2019 in an effort to identify potential local subcontractors for the 40 percent civil works (excluding tunnel works) portion of the project. All CIDB registered companies from grades G3 to G7 that possess a minimum 2-Star SCORE rating were encouraged to participate in the Pre-Q exercise.
A Pre-Q Evaluation Committee consisting of representatives from Malaysia Rail Link Sdn Bhd (MRL) and China Communications Construction Company Ltd (CCCC), had shortlisted 331 or 25.1 percent of 1,321 Malaysian construction companies following detailed evaluation of each entity’s track record, financial capabilities, technical personnel and plant & equipment.
From the 331 construction companies that qualified as potential tenderers, the CIDB G7 category made up the largest number with 164 entities followed by CIDB G4 with 69 entities. The remaining came from CIDB G3 with 45 entities while G5 and G6 categories made up 33 entities and 20 entities respectively.
The Pre-Q Evaluation Committee has also identified 234 or 70.7 percent of the 331 construction companies that were shortlisted to be Bumiputera companies.
All shortlisted companies are expected to be notified in writing before end-August 2019 by CCCC who is the engineering, procurement, construction, and commissioning (EPCC) contractor for the 640-km ECRL project.
The signing of a supplementary agreement between MRL and CCCC on 12 April 2019 had paved the way for the resumption of the ECRL project. The improved deal, amongst others, saw the construction cost of the ECRL reduced to RM44 billion from RM65.5 billion, while the portion for local participation of the ECRL civil works rose to 40 percent from 30 percent previously.
Prior to the suspension of the ECRL project, there have been local companies consisting of suppliers, contractors, and consultants that were appointed by CCCC for preliminary works on the ECRL. These contracts were suspended following the suspension of the ECRL project on 3 July 2018.
Nevertheless, with the resumption of the ECRL project, CCCC will honour the respective contracts and enable the local companies concerned to resume work.
According to MRL Chief Executive Officer Dato’ Sri Darwis Abdul Razak, tender packages to be issued for the 40 percent civil works (excluding tunnel works) would first involve the 223-km stretch from Dungun to Mentakab where the rail alignment had been finalized, adding that tenders for local contractors would continuously be called throughout the construction period of the ECRL.
He said further tenders will be called once both the re-alignment from Kota Bharu to Dungun as well as new Southern alignment between Mentakab and Port Klang have been firmed up, noting that completion of the ECRL by end of 2026 also hinges on the effective participation of local contractors in ECRL’s civil works which includes earthworks, foundation works, structural works, soil improvement works and road works.
MRL, a wholly-owned subsidiary of the Minister of Finance Incorporated, is the project and asset owner of the ECRL. The 640-km rail network is scheduled for completion by December 2026 and expected to link Kota Bharu to Putrajaya in approximately 4 hours.
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