Still no official announcement from Malaysian government on cancellation of Broga incinerator

Malaysians once again have to rely on foreign news agencies to know the truth behind the cancellation of the world's largest incinerator in Broga.

Ebara has annouced that the project has been scrapped by the Malaysian government according to Reuters.

I was informed by a journalist from a Japanese TV station this morning that Ebara Corporation has received a letter from the Malaysian authority on September 1, 2006. But he cannot confirmed whether the letter was about the cancellation of the RM1.5 billion project.

I have earlier received information from an MP that the project has been cancelled by the Cabinet. He got the news from a Cabinet minister.

Both Business Timess and The Straits Times of Singapore have published reports on the cancellation of the incinerator recently. Business Times also reported that Ebara has put forward a claim of compensation to the tune of RM500 million.

We would not consider the project is off unless and until there is an official statement from the Housing and Local Government Minister Ong Ka Ting or any of the Cabinet minister. Ong's ministry is in-charged of the project.

On the other hand, the next hearing for the Broga incinerator case has been fixed on September 22, 2006 at the Shah Alam high court. The case was brought by the Broga No Incinerator Action Committee.

Malaysian government would be able to save a lot of money if the judicial review was in favour of the Broga residents; the Malaysian government would not be held as "breaching the contract" as the decision came from the courts and not from the government.

Such decision would also save the the present administration of the need to explain to the former Prime Minister. Dr Mahathir Mohamad was the one who have given the green light for the project. Ong Ka Ting has obviously lacked the courage to tell Mahathir the truth i.e. the incinerator is like a humongous cancer factory.

DAP has been fighting against the construction of the incinerator in the forefront ( from Kg Bohol to Broga) for two reasons-it's both bad for health(even life-threatening) and our pockets.

The site of the incinerator has been confirmed within the valuable Semenyih water catchment area.More than 2 million residents living in the Klang valley depend on the water supply from the water treatment plant here.

Besides, the cost of incineration was estimated at RM230 per metric tonne, which is 10 times higher than the conventional landfill method.

I have written open letters to Mahathir and Abdullah, urging them to drop the project in the interest of the Malaysian people.

Selangor DAP has submitted several memoranda to the DOE and Ong's ministry in the past. We even came up with alternatives for the management of solid wastes for their consideration.

Malaysiakini has a story today...

Ebara announces Broga incinerator scrapped

While the government continues keep mum on the status of the proposed mammoth incinerator in Broga, the Japanese firm contracted to build it announced today that the project has been torched.

According to a Reuters report, engineering firm Ebara Corp said it had lost the order worth more than 50 billion yen (RM1.57 billion) to build Malaysia's first mega-incinerator, touted as the biggest in the region.

The cancellation of the controversial project, which drove Ebara shares down by as much as 5.2%, could erupt into a diplomatic spat between Tokyo and Kuala Lumpur.

Residents near the proposed site just south of Kuala Lumpur had mounted a strong campaign against the incinerator, voicing concerns about emissions. Ebara spokesperson Toshiaki Suzuki said that he was aware of the protests but did not know if this had prompted the cancellation of the plant, which would have been able to process 1,500 tonnes of trash a day.

The termination of the contract, worth about 10 percent of Ebara's revenues in 2005, is unlikely to affect its earnings, said Suzuki.

This is because it happened at an early stage of a project that would have lasted more than four years, he said. Construction for the mega-project had not yet started.

Waiting for confirmation A senior official at Hartasuma Sdn Bhd, Ebara's Malaysian partner for the project, said he had no immediate comment. "We will wait for official government announcement on the project," Mazlan Mohamad told Reuters.

Singapore's Straits Times newspaper said this week that Japan had warned Malaysia of dire consequences if it terminated the project. Japanese diplomats were not immediately available for comment but the newspaper reported the Japanese embassy in Kuala Lumpur had questioned why Malaysia was reviewing the project after a contract had been awarded.

While government sources revealed that the incinerator project had been shelved, there had been no official confirmation.

Last Friday, Housing and Local Government Minister Ong Ka Ting maintained that there was no official announcement on the matter.

The government’s stand had irked the residents in Broga, who are demanding for an answer.