Road construction, maintenance projects expected to be further delayed due to rising costs – Ahmad Maslan

The rising costs of construction materials and operational expenses, especially diesel, is expected to cause further delays in road construction and maintenance projects nationwide, said deputy works minister Ahmad Maslan, reported Bernama.

The works ministry anticipates an increase in the number of delayed projects, and the delays are largely due to cost pressures associated with the ongoing conflicts in the Middle East, he said.

Of the 855 ongoing projects under the public works department (JKR) involving 28 ministries, the previous distribution saw one-third of projects ahead of schedule, one-third of projects on track, and one-third behind schedule, the deputy works minister said.

Road construction and maintenance projects are among the hardest-hit due to their heavy reliance on diesel-powered machinery, such as lorries and road rollers, he said.

“Virtually all vehicles used in road construction run on diesel, which is priced at market rates. This remains a major concern for contractors,” the deputy works minister said.

Both road maintenance and new construction projects are directly affected, while building construction projects are somewhat cushioned by existing material stockpiles, Despite these concerns however, contractors are not permitted to halt work, Ahmad Maslan has said.

The effects of the energy crisis are far-reaching, as Malaysian hauliers are exhausting their credit limits with oil companies sooner, and bus operators face delays due to diesel purchase limits.

Looking to sell your car? Sell it with Carro.