Parliamentary committee unhappy with delay in LCS construction

Duration of delay was not revealed, but Defense Ministry urged to carefully monitor progress

4:19 PM MYT

 

KUALA LUMPUR – Construction of the Malaysian navy’s littoral combat ships (LCS) is facing a delay, which Parliament’s Public Accounts Committee (PAC) views seriously, its chairman Datuk Mas Ermieyati Samsudin said today.

PAC cannot reveal the duration of the delay in accordance with rules governing its hearings, but the Defence Ministry has given its commitment to overcome the delay, she said in a statement.

“PAC takes reports of the delay seriously and calls for careful and regular monitoring of (the project’s) progress.

“PAC was told of progress on the LCS project’s construction at its meeting today. The revelation about the construction delay is a matter of surprise and worry to the PAC which wants the shipbuilder as well as the LCS project team to take proactive steps to overcome the problem.

“The duration of the delay cannot be revealed at this time, in compliance with PAC meeting regulations,” Mas Ermieyati said.

PAC’s meeting earlier today heard reports from the Defence Ministry on the progress of the LCS project for the period October 2022 to May 2023, and June to September 2023.

Those whom PAC questioned this morning were Defence Ministry secretary-general Datuk Seri Isham bin Ishak, LCS project team leader Admiral Ir. Ts. Franklin Jeyasekhar Joseph, and Boustead Naval Shipyard chief executive officer Captain Ir (Retired) Azhar Jumaat.

Mas Ermieyati added that PAC will present a report on today’s proceedings on the LCS to the Dewan Rakyat when it convenes on February 26.

In October last year, Deputy Defence Minister Adly Zahari said the first of the five LCS vessels is to be completed by August this year before undergoing tests for harbor acceptance and sea acceptance.

Mas Ermieyati in her statement today said the first of the LCS vessels, the KD Maharajalela, will only be handed over to the Royal Malaysian Navy in October 2026.

The last vessel is estimated to be completed by 2029, which would mean that the navy only takes full delivery of all five ships then, an extended timeline from the previously agreed completion date of 2022.

Under the original timeline, the first vessel was to have been delivered in 2019.

The LCS project, which is expected to cost RM11 billion compared to the original budget of RM9.4 billion, was mired in controversy in the last few years due to irregulatrities involving main contractor Boustead Naval Shipyard and other companies. – January 24, 2024

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