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KLIA2 - New Mega Low Cost Carriers Terminal

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The airport looks too fancy one for LCC. It can put many airports to shame.

That was what TF said a long time ago. He said that the airport should be functional and facilitate swift turnaround times. He was afraid that, with all the fancy features, airport charges may be higher than necessary. That will harm the competitiveness of LCCs like Airasia.

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That was what TF said a long time ago. He said that the airport should be functional and facilitate swift turnaround times. He was afraid that, with all the fancy features, airport charges may be higher than necessary. That will harm the competitiveness of LCCs like Airasia.

 

My concern is actually the other way round.

 

My personal preference is to fly MH. So naturally I like them to do better. With a fancy KLIA2 and if they don't adjust the airport charges accordingly (which they said already), it will be unfair advantage over MH.

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Hahas!! Told you so...some of MWings members should shallow their words now for berating other members when we spoke of the imminent delay. We know the facts and details much better than you do!?!

Edited by JuliusWong

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Pakatan reps demand answers for latest ‘indefinite’ deadline of KLIA2

 

PETALING JAYA, May 27 — Pakatan Rakyat (PR) lawmakers cast another spotlight today on the host of uncertainties surrounding the final cost and completion date of KLIA2, which has been delayed “indefinitely” this time, after being postponed at least eight times since 2009.

DAP’s Petaling Jaya Utara MP Tony Pua and PKR’s Lembah Pantai MP Nurul Izzah Anwar said the entire project was being run by an “incompetent team of liars” whom they accused of conveniently changing their tune before and after the May 5 polls to “save Najib’s face”.

The duo listed four demands on Prime Minister Datuk Seri Najib Razak and his new government, including the final bill from Malaysia Airports Holdings Bhd (MAHB) for the cost of KLIA2, the true deadline for the project, a meeting with the new acting Transport Minister Datuk Seri Hishammuddin Hussein and an independent audit on the entire project.

“We have our doubts whether the airport can even be completed by the end of this year. We wouldn’t be surprised if it only gets launched on June 28, 2014 ― the 16th anniversary of KLIA ― instead of the missed deadline on June 28 this year, the 15th anniversary,” Pua said.

 

At the press conference, the lawmakers showed photographs of the airport site in Sepang taken in the first week of May this year, a little under a week before polls were held, which appeared to show that the project was still far from completion.

 

Najib had announced in January this year that the KLIA2 terminal would be completed by May but this was subsequently delayed to June 28.

Pua and Nurul Izzah had railed against the delay during a March 11 press conference before the polls and, like today, had also provided photographs showing that the new low-cost carrier terminal was unlikely to meet even the June 28 deadline.

In a filing to Bursa Malaysia two days after the May 5 election, MAHB admitted that contractors were unlikely to make the June 28 deadline. On May 9, MAHB chief financial officer Faizal Mansor told national news agency Bernama that the deadline would be pushed back indefinitely.

Pua and Nurul Izzah flayed MAHB today for the perpetual delays to the date of the airport’s completion, noting that as a company listed on the stock exchange, it should provide accurate information to the investing public.

“They can be sued for misleading the public, who are trading on the shares of MAHB,” Pua pointed out.

Adding to the uncertainties surrounding the project, the lawmaker pointed to the perpetual increase in estimated cost as announced over the years by MAHB and the ministry.

He noted that from the first estimate of RM1.7 billion as announced by former transport minister Datuk Seri Ong Tee Keat on July 22, 2007, the cost has since ballooned to a staggering RM4 billion, according to former deputy transport minister Datuk Abd Rahim Bakri last October.

The latest estimate, Pua said, came from AirAsia CEO Tan Sri Tony Fernandes, whom he said had speculated that the cost for KLIA2 would eventually inflate to a staggering RM5 billion.

“We believe he won’t be too far off the mark, given that the deadline now is indefinite and the delay will be for at least an additional six months,” Pua said.

In a Bernama report on May 9, RHB Research analyst Ahmad Maghfur Usman said that the delay to the airport’s completion date would likely go on for as long as six months.

“Even if the new terminal can be completed by September after a two-month delay, MAHB would still need to carry out operational trial runs, that may require at least four months,” he was quoted saying.

“Our reputation is at stake here,” Nurul Izzah said. “It is important that the MAHB and the ministry, and also the PM responds... because he gave us the assurance (on the completion date) and we are not satisfied with this continuing culture of political dishonesty.”

The PR lawmakers also demanded answers to questions they have been posing to the ministry since 2011 regarding the sudden decision to switch the site of KLIA2.

Pua repeated that the shift had been identified as one of the reasons behind the delayed construction and the bloated cost as the new area, KLIA West, had been identified as unsuitable for the project due to it being a peat swamp.

“They have ignored our request for answers, sidestepped it, just saying that now, we have a new masterplan,” he said.

Some 10 airlines have committed to operate from the new KLIA2, which was mooted to cater to the growth in demands for low-cost travel.

KLIA2, which is expected to cater to 45 million passengers per annum, will have a new 60 gates, eight remote stands and 80 aerobridges, and a 32,000 square metre retail space with 225 outlets.

http://www.themalaysianinsider.com/malaysia/article/pakatan-reps-demand-answers-for-latest-indefinite-deadline-of-klia2/

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Pakatan reps demand answers for latest ‘indefinite’ deadline of KLIA2

 

PETALING JAYA, May 27 — Pakatan Rakyat (PR) lawmakers cast another spotlight today on the host of uncertainties surrounding the final cost and completion date of KLIA2, which has been delayed “indefinitely” this time, after being postponed at least eight times since 2009.

DAP’s Petaling Jaya Utara MP Tony Pua and PKR’s Lembah Pantai MP Nurul Izzah Anwar said the entire project was being run by an “incompetent team of liars” whom they accused of conveniently changing their tune before and after the May 5 polls to “save Najib’s face”.

The duo listed four demands on Prime Minister Datuk Seri Najib Razak and his new government, including the final bill from Malaysia Airports Holdings Bhd (MAHB) for the cost of KLIA2, the true deadline for the project, a meeting with the new acting Transport Minister Datuk Seri Hishammuddin Hussein and an independent audit on the entire project.

“We have our doubts whether the airport can even be completed by the end of this year. We wouldn’t be surprised if it only gets launched on June 28, 2014 ― the 16th anniversary of KLIA ― instead of the missed deadline on June 28 this year, the 15th anniversary,” Pua said.

 

At the press conference, the lawmakers showed photographs of the airport site in Sepang taken in the first week of May this year, a little under a week before polls were held, which appeared to show that the project was still far from completion.

 

Najib had announced in January this year that the KLIA2 terminal would be completed by May but this was subsequently delayed to June 28.

Pua and Nurul Izzah had railed against the delay during a March 11 press conference before the polls and, like today, had also provided photographs showing that the new low-cost carrier terminal was unlikely to meet even the June 28 deadline.

In a filing to Bursa Malaysia two days after the May 5 election, MAHB admitted that contractors were unlikely to make the June 28 deadline. On May 9, MAHB chief financial officer Faizal Mansor told national news agency Bernama that the deadline would be pushed back indefinitely.

Pua and Nurul Izzah flayed MAHB today for the perpetual delays to the date of the airport’s completion, noting that as a company listed on the stock exchange, it should provide accurate information to the investing public.

“They can be sued for misleading the public, who are trading on the shares of MAHB,” Pua pointed out.

Adding to the uncertainties surrounding the project, the lawmaker pointed to the perpetual increase in estimated cost as announced over the years by MAHB and the ministry.

He noted that from the first estimate of RM1.7 billion as announced by former transport minister Datuk Seri Ong Tee Keat on July 22, 2007, the cost has since ballooned to a staggering RM4 billion, according to former deputy transport minister Datuk Abd Rahim Bakri last October.

The latest estimate, Pua said, came from AirAsia CEO Tan Sri Tony Fernandes, whom he said had speculated that the cost for KLIA2 would eventually inflate to a staggering RM5 billion.

“We believe he won’t be too far off the mark, given that the deadline now is indefinite and the delay will be for at least an additional six months,” Pua said.

In a Bernama report on May 9, RHB Research analyst Ahmad Maghfur Usman said that the delay to the airport’s completion date would likely go on for as long as six months.

“Even if the new terminal can be completed by September after a two-month delay, MAHB would still need to carry out operational trial runs, that may require at least four months,” he was quoted saying.

“Our reputation is at stake here,” Nurul Izzah said. “It is important that the MAHB and the ministry, and also the PM responds... because he gave us the assurance (on the completion date) and we are not satisfied with this continuing culture of political dishonesty.”

The PR lawmakers also demanded answers to questions they have been posing to the ministry since 2011 regarding the sudden decision to switch the site of KLIA2.

Pua repeated that the shift had been identified as one of the reasons behind the delayed construction and the bloated cost as the new area, KLIA West, had been identified as unsuitable for the project due to it being a peat swamp.

“They have ignored our request for answers, sidestepped it, just saying that now, we have a new masterplan,” he said.

Some 10 airlines have committed to operate from the new KLIA2, which was mooted to cater to the growth in demands for low-cost travel.

KLIA2, which is expected to cater to 45 million passengers per annum, will have a new 60 gates, eight remote stands and 80 aerobridges, and a 32,000 square metre retail space with 225 outlets.

http://www.themalaysianinsider.com/malaysia/article/pakatan-reps-demand-answers-for-latest-indefinite-deadline-of-klia2/

 

Can't understand why this became an issue for these folks.

 

Also, liar is quite a strong word.

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It is indeed a big issue because the delay was imminent yet it was assured with the false opening many times. Cost increases and quality might be jeopardized. It is important for them to own up to their decisions and explain the delay to the people, after all, it is our tax payers money that is being used to build this terminal. Just my two cents ::80::

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"The duo listed four demands on Prime Minister Datuk Seri Najib Razak and his new government, including the final bill from Malaysia Airports Holdings Bhd (MAHB) for the cost of KLIA2, the true deadline for the project, a meeting with the new acting Transport Minister Datuk Seri Hishammuddin Hussein and an independent audit on the entire project."

 

Fair demand by oppo. I want to know also.

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Yes, MAHB got a lot of explaining to do... Its not good that a project that is already more than two years late slips further. Not good at all.

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Can't understand why this became an issue for these folks.

 

Also, liar is quite a strong word.

 

It's ok because they just don't get it.

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Yes, MAHB got a lot of explaining to do... Its not good that a project that is already more than two years late slips further. Not good at all.

 

If follow the klia2 project, final revised design only fix on 4th quarter 2010 after add new requirement from Airasia... 1st design is in 2009.

construction just 2 year++ from 2011 to now reach 90% progress is quite good for an airport project, just MAHB over optimist on opening date.

Edited by Wi Ching

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This is not the 1st airport project for MAHB. They should have enough experience to tell if the opening date(s) they have committed is (are) realistic. I guess those dates they have promised somewhat are to 'please' the politicians.

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Understand some of the contractors at KLIA2 will be incurring LAD at RM40k per day.

 

its always stated in the contract...but in reality..never impose..

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its always stated in the contract...but in reality..never impose..

 

Provided the contractor have a strong cable to the top or can blame the delay on someone else.

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MAHB To Impose Liquidated Ascertained Damages On Klia2 Contractors


KUALA LUMPUR, May 29 (Bernama) -- Malaysia Airports Holdings Bhd (MAHB) today announced that the company has decided to impose liquidated ascertained damages (LAD) on klia2 contractors and any other recourse available to the company under the contract.


In its filing to Bursa Malaysia, MAHB said the company took note of the contractors' notification that they are unable to meet their contractual obligations for the opening date of June 28, 2013 for klia2.


The contractors had requested time to revert with a revised date, MAHB said.


Under a construction contract, a contractor is obliged to complete the works on time and if he fails to do so is liable to the employer for damages for breach of contract.


Many building contracts provide for payment of a specified amount for such a breach and these payments are called LAD.


Early this month MAHB had confirmed the delay in the opening of the new low-cost carrier terminal, klia2, scheduled for June 28, after taking into account several key quality and safety issues.


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MAHB To Impose Liquidated Ascertained Damages On Klia2 Contractors
KUALA LUMPUR, May 29 (Bernama) -- Malaysia Airports Holdings Bhd (MAHB) today announced that the company has decided to impose liquidated ascertained damages (LAD) on klia2 contractors and any other recourse available to the company under the contract.
In its filing to Bursa Malaysia, MAHB said the company took note of the contractors' notification that they are unable to meet their contractual obligations for the opening date of June 28, 2013 for klia2.
The contractors had requested time to revert with a revised date, MAHB said.
Under a construction contract, a contractor is obliged to complete the works on time and if he fails to do so is liable to the employer for damages for breach of contract.
Many building contracts provide for payment of a specified amount for such a breach and these payments are called LAD.
Early this month MAHB had confirmed the delay in the opening of the new low-cost carrier terminal, klia2, scheduled for June 28, after taking into account several key quality and safety issues.

 

 

As expected.. wonder how long do they have for LD's as it is chargeable on daily basis. The contractor may have their bond forfeited and they may eventually go belly up...

 

Wonder who/ which company the project manager was... he/ she/ they should have been fired...

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Wonder who/ which company the project manager was... he/ she/ they should have been fired...

Along with the head of whichever government agencies that approved the project for the ballooned costs.

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Along with the head of whichever government agencies that approved the project for the ballooned costs.

 

Politicians will blame the BOD, BOD will claim instruction from the top; at the end of the day, nothing will happen and business as usual.

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MAHB To Impose Liquidated Ascertained Damages On Klia2 Contractors

 

KUALA LUMPUR, May 29 (Bernama) -- Malaysia Airports Holdings Bhd (MAHB) today announced that the company has decided to impose liquidated ascertained damages (LAD) on klia2 contractors and any other recourse available to the company under the contract.

 

In its filing to Bursa Malaysia, MAHB said the company took note of the contractors' notification that they are unable to meet their contractual obligations for the opening date of June 28, 2013 for klia2.

 

The contractors had requested time to revert with a revised date, MAHB said.

 

Under a construction contract, a contractor is obliged to complete the works on time and if he fails to do so is liable to the employer for damages for breach of contract.

 

Many building contracts provide for payment of a specified amount for such a breach and these payments are called LAD.

 

Early this month MAHB had confirmed the delay in the opening of the new low-cost carrier terminal, klia2, scheduled for June 28, after taking into account several key quality and safety issues.

 

for sure wayang only....

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It is interesting to compare this fiasco with another fiasco at the other side of the world,

Germany, Berlin Willy Brandt International Airport.

 

Here are a few gems.

 

The new Berlin airport was supposed to have been up and running in late 2011, a sign of Berlin’s transformation from Cold War confrontation line to world class capital of Europe’s economic powerhouse. Instead it has become a symbol of how, even for this technological titan, things can go horribly wrong. After four publicly announced delays, officials acknowledged the airport will not be ready by the latest target: October this year. To spare themselves further embarrassment, officials have refused to set a new opening date.

 

The airport fiasco presents a staggering picture of incompetence. German media have tracked down a list of tens of thousands of technical problems.

After a series of disputes with private investors, the city, state and federal governments eventually took over the airport project. In2006, costs were estimated at 2 billion euros, but after four delays,the figure spiked to 4.4 billion euros. Read more here:

http://www.taipeitimes.com/News/editorials/print/2013/04/11/2003559321

 

However, they also figured out finally what to do next. Apparently they have fired the whole incompetent lot who made a mess out of it and appointed a hard hitter, take no prisoners, type of guy to get the job done, true German style.

Read here: http://www.eturbonews.com/print/34292

 

Lets see what wil happen with these two airports, KLIA2 and the new Berlin airport. It will be an interesting comparison.

 

Cheers

A.v.S.

Edited by Arthur Van Straten

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