00:00The ECRL project is scheduled for completion two years from now, hence I wish to take this
00:05opportunity to commend state-owned China Communications Construction Company for graciously agreeing
00:12to facilitate its subsidiary, CCCC-ECRL, to participate in the operations and maintenance
00:20of the ECRL rail network through a 50-50 joint venture with Malaysia Rail Link.
00:27The Ministry of Transport envisaged that the joint venture between MRL and CCCC-ECRL in
00:33ECRL's O&M phase will further drive cooperation between China and Malaysia, as well as deepen
00:40trade linkages and investment between our two countries.
00:46Today's signing ceremony between MRL and CCCC-ECRL also indicates the level of confidence China
00:53has in the viability of the ECRL, which is a national infrastructure that will catalyse
01:00economic growth, drive development and provide seamless transportation for passengers and
01:07freight between East Coast states and the Klang Valley.
01:10The ECRL alignment will also promote greener modes of transportation and complete the much-needed
01:16land bridge between Kuantan Port on the East Coast and Port Klang on the West Coast of
01:22Peninsular Malaysia.
01:24This land bridge will complement international trade, making it more attractive for businesses
01:29by boosting export-oriented industries.
01:32At its last mile connectivity linking Kuantan and Port Klang will bring both coasts closer
01:38together and easing the transfer of goods along the ECRL network.
01:43In short, the ECRL has vast potential via Kuantan Port to serve cargo from Sabah and
01:51Sarawak as well as the Eastern Regional Corridor with shipping routes to China and Japan, among others.
01:58In addition, the ECRL may potentially be part of the Pan-Asian Railway network should its
02:05alignment in the state of Kelantan be extended to the key connection point of Rantau Panjang,
02:11which borders with Thailand.
02:13If that were to be materialised, the ECRL would be able to tap into Thailand's entire
02:19railway network and link with Kunming in southwestern China via the Lao PDR railway network, achieving
02:27greater free flow of goods and passengers in the region.
02:41Is there a timeline for this agreement, the 50-50 or 80-20, let's say it makes losses
03:05sustained for decades and all that, will this agreement still be in force?
03:11It will be in force during the entire tenure of the loan repayment.
03:16So that is to ensure that the project has to strive to make it operational and sustainable.
03:27So I think that is one of the reasons also why during the renegotiation, the Malaysian
03:32side has been able to convince the Chinese government to ensure the success of this project.
03:37Because as I said, the first round of the model of this project is just purely construction.
03:43So when we renegotiated, the Chinese government also took part in the operations.
03:48Because we know that the challenge is in the operations.
03:51Upon completion of the construction, the most challenging part is to ensure that this will
03:56not turn into a white elephant.
03:58We want to ensure that this project is successful.
04:02Optimisation of the entire track, optimisation of the train is important.
04:06And that's why part of the planning of ECRL is not just in terms of the railway track.
04:12We are also looking at development of industrial zones along the corridor.
04:16Because the moment you have more industrial zones, then there will be more cargos to be
04:20transported through ECRL.
04:22And that is the entire reason why ECRL is built in the first place.
04:27Because we want to bring more development to the East Coast states.
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