MAHB Imposes RM9.1 Mln Penalty on IJMC-Pestech JV Over KLIA Aerotrain – MOT

KUALA LUMPUR, Feb 27 — Malaysia Airports Holdings Bhd (MAHB) has imposed a ‘Liquidated and Ascertained Damages’ (LAD) penalty of RM9.1 million on the contractors, ALSTOM IJM Construction Sdn Bhd and Pestech Technology Sdn Bhd (IJMC-Pestech Joint Venture).

The Ministry of Transport (MOT) said the action was following their failure to complete the new aerotrain project at KL International Airport (KLIA).

It said the penalty was imposed for 91 days, starting from April 1, 2025 until June 30, 2025.

“As stated in the contract, the amount of LAD imposed is RM100,000 per day or a total amount of RM9.1 million,” it said in a reply posted on the parliament website to a question from Khoo Poay Tiong (PH-Kota Melaka) on the amount of LAD or penalty imposed by MAHB on contractor Alstom IJM-Pestech Joint Venture for failing to satisfactorily deliver the new aerotrain project.

Earlier, MAHB said an independent rail assessor confirmed that the KLIA Aerotrain system was operating as planned, with service disruptions observed since it became operational being normal in the early operational phase of a complex rail system.

It said the assessor found that the disruptions did not pose a safety risk as structured engineering controls and ongoing monitoring were in place to effectively manage the issues.