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KUALA LUMPUR (Feb 9): Putrajaya Corporation (PPj) has decided not to proceed with the proposed Automated Rapid Transit (ART) system in Putrajaya after an initial market study found the project to be financially unviable.
Preliminary findings estimated the total cost of implementing the ART system—including infrastructure development, system installation, operations and maintenance—at RM211.95 million over a 10-year period, Deputy Minister in the Prime Minister’s Department (Federal Territories) Datuk Seri Dr Lo Su Fui said.
The cost was deemed beyond PPj’s financial capacity as a local authority and, as such, the corporation decided not to proceed with the ART implementation in Putrajaya or any future route expansion, Lo told the Dewan Rakyat during question and answer time on Monday.
ART is a trackless tram—a driverless, rubber-tyred public transport system that operates on dedicated lanes.
A pilot project was conducted by the Transport Ministry in collaboration with PPj from May 1, 2024 to Aug 31, 2024, Lo noted, after which the project proponent submitted an implementation proposal to PPj for consideration.
However, PPj was not bound by any contractual obligation, as the proposal was submitted solely for market study purposes.
While Lo did not name the company that conducted the pilot project, it was previously reported that the project was undertaken by Mobilus Sdn Bhd, a joint venture between Ireka Corporation Bhd (KL:IREKA) and CRRC Urban Traffic Co Ltd, a unit of China’s state-owned CRRC Group.
Lo said PPj remains open to exploring alternative financing models, including public-private partnerships (PPP) with federal government approval, but stressed that any consideration of the ART project would be approached cautiously.
He said decisions would be based on a comprehensive assessment of costs, benefits, risks and current fiscal capacity, adding that no financial commitment has been made at this stage.
To address traffic congestion, PPj has implemented several improvement measures, including operating seven Nadi Putra bus routes daily connecting residential areas, schools, commercial centres, Putrajaya Sentral and government offices.
Newer public transport solutions, such as the Demand Responsive Transit (DRT), are also being introduced in phases, Lo added.
“PPj is also undertaking a transport master plan study and an action plan targeting 2050 to further ease congestion in the administrative capital,” he said.
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