Sabah MPs urge review of RM1.7 billion rural road tender cancellation

Sabah Members of Parliament are calling on the Federal Government to reconsider the cancellation of tenders for 13 Rural Road (JALB) projects in the state, which involve an allocation of RM1.716 billion. Penampang MP Datuk Ewon Benedick stated that the decision threatens rural infrastructure development and the interests of local residents.

According to Benedick, the cancellation is part of a broader nationwide issue where 112 JALB projects are facing interim payment arrears and land compensation delays totaling RM259.503 million. Sabah has been identified as having the most severe arrears, amounting to RM118.84 million across 35 projects.

Representatives also urged the government to utilize remaining allocations to restore the working capital of local contractors affected by these payment delays. The current situation has led to two major federal measures: the cancellation of 40 large-scale tenders nationwide worth RM5.144 billion, and the deferment of Letters of Acceptance (SST) for 87 projects worth RM8.096 billion. The latter measure specifically impacts seven JALB projects in Sabah valued at RM548.85 million.