Sarawak's ART project on track with no cost overruns despite minor delays
KUALA LUMPUR: Sarawak's Autonomous Rapid Transit (ART) hydrogen tram project remains financially on course with no cost overruns reported, despite experiencing a slight delay of about 3.97 per cent, according to State Transport Minister Datuk Sri Lee Kim Shin.
Responding to a query from Chong Chieng Jen (DAP–Padungan) during the Sarawak State Legislative Assembly, Lee clarified that while there had been minor setbacks in the project timeline, these delays have not led to additional expenses for the state government.
"The minor delay has not caused any cost overrun up to this stage," he said.
Minister Lee addressed concerns in the Sarawak Legislative Assembly, stating that any delays caused by contractors are subject to standard contract management practices, including the submission and execution of mitigation plans.
Lee added that contractors are liable for Liquidated Ascertained Damages (LAD) in cases of delay and that they are required to submit and implement mitigation plans if delays arise to ensure project continuity and minimise disruption.
The ART project, part of Sarawak's initiative to modernise its public transportation network, spans a 52-kilometre route through Kuching and is powered by hydrogen fuel cell technology.
The project spanning Kuching, Samarahan, and Serian is reportedly expected to cost RM6 billion and may take approximately six to seven years to complete.
The state government chose the ART system as a sustainable and innovative solution to its urban transit challenges.
The first phase includes the Red Line, while the Green Line package has yet to be awarded, and the Yellow Line is planned for a subsequent phase.
The ART system will feature driverless tram-like vehicles powered by hydrogen fuel cells, operating on dedicated trackless lanes. Each vehicle is designed to carry up to 300 passengers at speeds of up to 70 km/h.
The first phase is expected to be completed by the end of 2025, with operations commencing in 2026.
As for the cost details of awarded packages, Lee said this information would be furnished in writing to Chong, who had submitted a formal request for a written reply.
Lee reaffirmed the government's commitment to delivering the project efficiently and transparently, positioning Sarawak as a regional leader in green, future-forward public transport.
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