Monday, May 26, 2014

My Reasons on why @MRTMalaysia Should Not Be A Rail Operator


MRT Corporation have made a major U-Turn last week where it has expressed its interest in being the operator of the multi-billion ringgit mass rapid transit system instead of national infrastructure and urban rail operator,Syarikat Prasarana Negara Bhd.



Personally as a person who is involved in managing and being part of various multi million dollar projects, the intention of MRT Corporation to be an operator of a new rail line will be  very costly. The reason why I say it will be costly because to be an operator you have to consider two (2) elements which are:

1. Capital Expenditure (CAPEX)
2. Operational Expenditure (OPEX)

Now, as for CAPEX, to be an operator MRT corp will have to start employing people with experience and for the rail industry in Malaysia the manpower is limited as it has been taken up by KTM, ERL & Prasarana. So, if MRT Corp want to employ this experienced professionals they would have to pay big money for them be it from competitors or expatriate. BIG money means higher CAPEX which will then translates to higher OPEX.

In addition, with the lack (or No) experience what so ever in operating a rail line, the safety of passengers will be at risk, as MRT Corp will be developing new standard operating procedures (SOP), Emergency Response Plan (ERP) and etc which will be maybe good in theory but not practical.

Now with the above reasons I.e. experience, cost and safety i think it is best to let PRASARANA be the sole operator of rail transport in the country as they have the experience,  capabilities and also an excellent safety record to show. However, the final decision will be by the Government and I hope they get it right. 

1 comment:

  1. That is your reason?
    So I am guessing that Prasarana was born with the expertise, if we can call it that?
    So I am guessing that Prasarana is world-class, despite their large issues with reliability (note: unlike global operators that have trains with service life of 20 to 25 years, Prasarana changed theirs at 13 years).
    So I am guessing you either work for Prasarana or is paid to write for Prasarana?
    MRT Corp may not have the experience, but to say public safety is at stake shows how shallow your thinking is. A good laugh though.

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