09-07-2025
New parking concessionaire for Selangor from Aug 1
Ng (left) says only 30% of motorists pay for parking in Selangor. Next to him is MBI Selangor general manager Mohd Ramali Abu Bakar. — KK SHAM/The Star
Company to collect from four local councils, taking 50% of revenue
THE company that will take over parking fee collection from four local councils in Selangor from Aug 1 was shortlisted through the Request for Proposal (RFP) process in January this year.
Selangor local government and tourism committee chairman Datuk Ng Suee Lim rubbished media reports that the appointment of the concessionaire was through direct tender.
'The state government, through Menteri Besar Incorporated's (MBI) subsidiary Rantaian Mesra Sdn Bhd, issued a RFP at the beginning of this year where 26 companies had applied.
'Three companies were then shortlisted before a decision on the awardee was made.
'So, claims that it was done through direct tender are baseless,' he said, during a press conference on the sidelines of the Selangor State Assembly sitting at Bangunan Dewan Negeri Selangor, Shah Alam.
Ng said the state government was moving towards the Selangor Intelligent Parking (SIP) initiative to ensure that the management and maintenance of on-street parking in Selangor was modernised and equipped with Internet of Things (IoT) technology.
'By having a company solely focused on on-street parking collection and enforcement, councils will be relieved of those duties and can focus on other responsibilities,' he said.
StarMetro learnt that the company signed the agreement with MBI in March after the RFP period.
Ng said the on-street parking fee collection by the company would affect Petaling Jaya City Council (MBPJ), Subang Jaya City Council (MBSJ), Selayang Municipal Council (MPS) and Shah Alam City Council (MBSA).
'Currently, only 30% of motorists pay their parking fees statewide.
'For MBPJ, that amounts to RM13mil in annual revenue after deducting RM5mil in operating expenses.
'The low compliance is mainly due to the lack of manpower for enforcement.
'With the company dedicated to managing on-street parking, fee collection is projected to reach more than 60%.
'Based on the agreement, a total of 40% of the parking fee collection will go back to the council, 10% to MBI while 50% will go to the company,' he added.
Ng said the concessionaire would also absorb a few enforcement officers by training them and placing them under its payroll.
'The agreement is for 10 years, plus an additional five years if the company meets the target for SIP, including installing closed circuit television (CCTV) cameras and a command centre in the long run.
'There will also be no changes to the parking rate, which ranges between 40sen and 60sen per hour depending on the council.'
