BOTH the Selangor state government and the Federal Land Transport Agency (APAD) under the Transport Ministry must disclose the full details of why only two companies – Asian Mobility Technologies Sdn Bhd and Badanbas Coach Sdn Bhd – were offered the award to manage the demand responsive transport system (DRT).
In my view, the Selangor government would not have awarded the pilot project to the above two companies without the green light from APAD,
Speculations are now rife that a third company operating in Melaka might be awarded the pilot DRT project in due course.
The DRT system is a public transport system that covers areas that are not serviced by buses or other public transport vehicles. It is not a private e-hailing system that involves cars or small vehicles.
Under the DRT system, passengers send their respective requests to be picked up at a particular location. I understand that the Selangor state government provides a subsidy to the companies involved.
The argument in the defence of the award through direct negotiations falls flat because the DRT system is not based on technological superiority.

Nothing beats open tender
In many ways, it is similar to the current e-hailing system meant for private vehicles. This private e-hailing systems does not operate on the basis of superior technology.
The other argument that DRT system would create a monopoly in the offering of transport services is not based on facts. It was The Transport Ministry that made the mistake in going for direct award negotiations.
I cannot fathom why the Transport Ministry under Anthony Loke Siew Fook would want to opt for this direct award without weighing the benefits of the open tender system.
It is well and good to engage theoretically about the soundness of the open tender system, however, when it comes to implementation of projects, the preference is for direct awards.
If there had been an open tender system, more companies would have come in to participate. In fact, more transit zones could have been created by having more companies, hence further reducing government subsidy.
Loke should explain why the federal agency or APAD opted for the direct award based on negotiated settlement. Isn’t he the prime guardian of the open tender system on behalf of DAP?
Or alternatively, has the DAP become the new “Direct Award Party”? Without APAD’s approval, the Selangor state government would not have approved the project. It would be unbecoming and irresponsible of APAD to shirk their responsibility on this matter.
In other words, multiple agencies – both federal and at state level – were involved in the granting of the DRT award.
Despite all the talk of the open tender system mantra, both the Transport Ministry and the Selangor state government undermined the need for an open tender system.
MACC’s justification too simplistic
Don’t tell me that Loke was not aware of that Ramachandran Muniandy is the husband of his party colleague and Youth and Sports Minister Hannah Yeoh.
If Badanbas Coach was given the award, was it to fulfill the Bumiputera quota? How come other Bumiputera companies were not invited to participate in the implementation of the transit pilot project?
Whatever the arguments in favour of awards on the basis of negotiations, they cannot be superior to awards granted on the basis of an open tender system.
Unless of course, the grant of awards could be justified that there are no other companies in the country technologically superior to Asian Mobility or Badanbas Coach. Or that we are putting the technological accomplishments of both companies at the level of rocket science!
Let us face is that firstly, there is no point of justifying the award of the DRT project to these compasses because the open tender system was not adhered to. There is no way direct awards are superior to those awarded on the basis of an open tender system.

Elements of cronyism, favouritism and nepotism could have been weeded out if both the federal and Selangor government had adhered to open tender system.
Secondly, how to justify that the principal officer of Asian Mobility is the husband of Yeoh who is a minister in the Madani government?
As the two companies have been given the project to ensure their proof of concept, cancelling the project awarded to them would be the best option. More problems are going to arise thr more the award is justified.
Let us not take comfort in the advice rendered by the Malaysian Anti-Corruption Commission (MACC) head honcho Tan Sri Azam Baki that there is nothing to investigate since there was no conflict of interest or abuse of power.
Surely the world is much complex for Azam to reach the simplistic and naive conclusion. Perhaps, the MACC is among the few unique anti-graft agencies in the world to report its findings even before an investigation could be undertaken.
The Madani government is all about talk and propaganda but nothing noble by way of actions. – May 31, 2024
Former DAP stalwart and Penang chief minister II Prof Ramasamy Palanisamy is chairman of the United Rights of Malaysian Party (Urimai) interim council.
The views expressed are solely of the author and do not necessarily reflect those of Focus Malaysia.
Main image credit: Selangor Mobility – Demand Responsive Transit DRT Facebook