KUALA LUMPUR – Selangor has handed over parking fee collection and enforcement to a private concessionaire in a move aimed at addressing poor revenue performance across several local councils.
State Local Government and Tourism Committee chairman Datuk Ng Suee Lim said the company was appointed by Menteri Besar Selangor (Incorporated) (MBI Selangor) for the first phase involving Petaling Jaya City Council (MBPJ), Subang Jaya City Council (MBSJ), Shah Alam City Council (MBSA), and Selayang Municipal Council (MPS), Bernama reported.
He said this move is part of the state government’s efforts to boost parking revenue, which currently amounts to only about 30% collection from 1,000 designated bays.
“The concessionaire will handle both fee collection and enforcement, under close supervision from the councils and state government.
“We target a collection rate of over 60% and hope to reduce double parking in busy areas,” he said during a press conference on the sidelines of the Selangor state assembly sitting here today.
Ng said the revenue will be split equally, with the concessionaire receiving 50%, while the remaining 50 per cent will go to the state – 40 per cent to the councils and 10% to MBI Selangor.
He also denied claims of a closed tender process, stressing that 26 companies responded to a Request for Proposal (RFP) before three were shortlisted.
“The final company was selected based on strict performance conditions. If targets are not met, the 10-year contract can be terminated at any time,” he said.
Ng assured that the new system will not lead to higher parking rates, which will remain between 40 and 60 sen per hour. – July 9, 2025