Kuala Lumpur: Stampin MP Chong Chieng Jen has urged the Ministry of Works (KKR) to allow price adjustments for government construction contracts following the Transport Ministry’s strict enforcement against overloaded commercial vehicles — a move contractors say has significantly increased transportation costs.
The call was made following his participation in the 2026 Budget Committee stage debate for the Ministry in Parliament yesterday.
Referencing KKR’s function under Bekalan 27, Butiran 010200 – Dasar dan Pengurusan Korporat, Chong highlighted the need to ensure that policies governing project implementation and infrastructure maintenance remain viable amid new cost pressures.
Chong, who is also DAP Sarawak Chairman and Padungan assemblyman, noted that contractors awarded fixed-price government contracts are now facing significant financial strain due to increased logistics costs.
“The surge in transportation expenses stems from the Ministry of Transport’s newly launched ‘Perang Lebih Muatan Kenderaan Perdagangan’ operation, which introduces strict enforcement against commercial vehicles, particularly lorries, carrying loads beyond permitted limits,” he said.
While acknowledging that the operation will benefit the transportation sector and road safety in the long term, Chong warned that its immediate impact is substantial.
“Many contractors had originally calculated tender prices based on existing industry practices, where overloaded trips – sometimes exceeding 50% of permitted load limits – were common in the transport of construction materials such as stone, sand, soil, steel and premix.
“With full compliance now required, industry estimates suggest that transportation costs could rise by at least 40%, as loads that previously required one trip may now take one-and-a-half to two trips,” he added.
Chong cautioned that without an adjustment to contract pricing for components affected by the increased logistics cost, many contractors risk incurring heavy losses.
This, he said, could lead to a spike in “projek sakit” (ailing projects), ultimately jeopardising government infrastructure delivery.
He urged KKR to implement a review mechanism to allow reasonable adjustments for affected contract items, emphasising that such a move is necessary “for the good of the construction industry” and to ensure ongoing projects can be completed sustainably.
