Singapore High Speed Rail (‘KL-SG HSR’) is expected to generate more than 70,000 jobs to deliver the civil works packages, thus creating opportunities for professionals, skilled workers, and students from all over the country to work along the corridor of the 335KM alignment within Malaysia.
In addition, more than 60 civil work packages will result in over 5,000 sub-contract packages opened to local firms which will stimulate the growth of local industries. More than 40% in values of the civil work packages will be allocated to Bumiputera companies.
MyHSR Corporation Sdn Bhd appointed Malaysian Resources Corporation Berhad - Gamuda Berhad consortium (‘MRCB Gamuda Consortium’) and Syarikat Pembenaan Yeoh Tiong Lay Sdn Bhd - TH Properties Sdn Bhd consortium (‘YTL-THP’) as the Project Delivery Partners (‘PDPs’) for the northern and southern sections of the alignment respectively. MRCB Gamuda Consortium’s HSR expert consultant is CH2M Services Sdn Bhd while YTL-THP’s HSR expert consultants are Systra S.A. and AECOM Perunding Sdn Bhd.
The PDPs will not only ensure successful delivery of the KL-SG HSR project civil works on time and budget but at the same, build the local supply chain and human capital for the HSR industry.
“MyHSR Corp supports the push for localisation and has at the start of this procurement process emphasised the importance of local players in the project. However, given that HSR is new in Malaysia, we have also asked our local players to partner with HSR expertise globally to ensure that we build a safe and efficient HSR,” said Dato’ Mohd Nur Ismal bin Mohamed Kamal, CEO of MyHSR Corp.
“Opportunities for Malaysian contractors are plenty in these civil work packages ranging from advisory, engineering and design, certification, testing and commissioning. Keeping the job pipeline local will in turn contribute directly to the Malaysian economy,” he added.
The PDPs will be responsible for designing and delivering the civil works for the KL-SG HSR project involving approximately 335 KM, which spans across two Federal Territories and four states.
MRCB Gamuda Consortium will be responsible for the northern portion of the alignment from Kuala Lumpur to the south side of Melaka Station while YTL-THP has been designated with the southern portion from the south side of Melaka Station up to the international boundary.
“The KL-SG HSR project will be transformative for businesses, including those outside the customary rail supply chain. We are committed to delivering the project with a focus on sustainability, and creating new education, training, and R&D opportunities. We expect the southern alignment contracts to be awarded mainly to local companies, impacting SMEs in sectors as diverse as construction and manufacturing to communications and digital technologies,” said Datuk Seri Azmi Abdul Aziz, Chief Executive Officer of YTL-THP.
“The new rail connection will create socio-economic benefits in terms of enhanced competitiveness, productivity and skill sets for our country. The services industry, namely finance, education, tourism, and health are among the sectors that will experience greater demand. In addition, constructing the civil works for HSR will require a workforce equipped with knowledge relevant to Industry 4.0 and in this regard, our people will be upskilled on the use of technological tools to ensure the efficient delivery of this project. Digital upskilling will in turn increase their marketability and employability which will position them on the path to higher income for better quality of life. Local contractors will also build on their expertise as they work on this monumental rail link that is set to strengthen Malaysia’s position as a leading economic powerhouse,” said Datuk Azmi bin Mat Nor, Director of MRCB Gamuda Consortium.
Both PDPs are committed to ensure local skilled workers and engineers are developed and employed throughout the respective states along the HSR corridor during the construction phase.
Correspondingly, the project will enable local engineers and graduates the opportunity to upskill and gain experience in the HSR industry as plans are in progress to source engineers from various local universities throughout the country, with special focus on the seven cities.
Dividing the scope of works according to northern and southern packages will ensure that civil works are completed on time and within budget. In addition, the two consortia will provide a wider pool of resources and expertise necessary to deliver the massive project.
About RM209 billion is estimated in Gross National Income (‘GNI’) contribution based on spill over effects in the rail and supporting industries as a result of developing HSR capabilities in 2035. Based on existing strength of local rail companies, there would be opportunities in: infrastructure planning, project management and civil works (end-to-end activities); installation, testing and commissioning.
