With response to an article that appears in Business Times today, the YTL Corp Boss sharing his passion over and over for the bullet train to be build connecting KL and Singapore within 90 minutes. Anyhow before high-impact project to be spin-off there are major factors that are certainly needed to be considers by this businessman of whom now controls Power Seraya after RM9bil deal successfully closed (Singapore-based energy Company) along with MP Reit (investment portfolio comprising two major properties on Singapore's Orchard Road—Wisma Atria & Ngee Ann City) for $189 million all under the flagship of YTL Corporation.Anyhow congratulations for the success.
1.As a rule of thumb,financially and economically we are not yet ready to implement single infrastructure project at this point of time considering out per-capita income stands at US$ 8141 meanwhile Singaporean stands at US$38,972 as of 2008 data compiled by IMF. So we must put the very first priority to achieve higher per-capita before indulging ourselves with bullet train.
2.We have to be vigilant that KLIA, ERL will definitely turn-out to be white-elephant airport & facilities as most airline passenger will be indirectly shifted to Changi Airport or wherever possible ever-since advertising space on the bullet-train will be filled with our neighboring country advertisement and heavy promotion activities as a by way to indirectly competing in our local market as compared to local companies that are budget-conscious as far as ad costs is concern; of course YTL will pick the highest bidders for ad rights which entirely confirm will not be a local company.
In the meantime KLIA long-term debt service will experience difficulty as the contribution from the potential passengers traffic in KLIA will record significant drops.Tax-payers money is at risk to serve the debt.
3. PLUS highway will be put out of business because as only commercial and heavy vehicles would be utilizing the highway along KL and Singapore stretch and that the company may encounter problem to serve its debt over the long run due to significantly lower contribution by the Class 1 vehicle (car) ;thereafter the government must use tax-payers money as a last resort to overcome the situation.
4. AirAsia and MAS will be in trouble to retain their thinly profitable earnings between KL-Singapore segment routes.
5. Man power elimination and reduction translates into unemployment. For instance, SME’s along the PLUS R&R will be badly affected with the project as well as express bus companies. The express bus would end up as a junk box. Potential tax revenue derivation from logistics and services is going to deplete.
6. Probably when the above-mentioned company gone down due to construction of bullet train there will probably be acquisition trail by the proposed party to take-over the loss-making company in the name to turn-around.who knows?anything could happen in the name of business game.
7. So forth we must not zipped, dismantle and seize the rice-bowl of lower-income group away of their mouth since those group along the stretch(kl-jb) applying their energy and rank to survive based on day-to-day income to feed many mouth at home; unless the proposed party are willing to compensate potential income-loss by this category group of people.
8. In conclusion the passion and dream to built bullet-train seems to be economically harmful and non-viable considering our limited capacity and resources at this juncture of time putting mounting and immense pressure on tax-payers hard-earned money to be sacrificed towards interested parties whereby there are more urgent agenda and greater affairs that we must first solved and restored before striking and embarking over onto expensive project at forefront to feed the mouth, lusts and pocket of the certain rich people. The destiny of people and nation will be at risk if we thought too much on mega-projects especially during hard-times. Think again.
Thanks..
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