RM9bn for six navy vessels (corrected)

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The country is paying billions of ringgit for offshore patrol vessels – and more sophisticated versions of these ships.

Here is some info from The Edge weekly, 9 April 2012, and Edge Financial Daily (6 April):

In 1999, the government awarded PSC Industries Bhd a contract to build 27 offshore patrol vessels at RM900m each.

The first batch of six vessels was awarded for RM5.4bn.

Saddled by heavy debt, PSCI, then controlled by Amin Shah, delivered only two vessels. Boustead Group then took over PSCI and completed the first batch.

The next batch of six vessels, to be delivered from 2017 onwards, is now priced at RM1.5bn each. Boustead claims that unlike the first batch, the new vessels have more sophisticated combat and armament capabilities. The contract was awarded to Boustead Naval Shipyard Sdn Bhd, an associated company of Boustead Heavy Industries Corp Bhd. (The rest of BNS is now owned by Boustead Holdings Bhd.)

Who is actually building the ships?

The amount of spending on such defence contracts is worrying. There is little accountability and transparency to justify the huge amounts spent on such contracts at a time when Malaysians are struggling with higher health care, education, food and housing prices.

Note: The RM31.5bn figure for 21 navy vessels was mentioned in an Edge weekly report dated 9 April. 2012).

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Hamish

Another excuse to cilok our money!

moo_t

1 Billions ? ROFL. I wonder the percentages of “outsource” import material is used on these “boat” or I should call them “boot”. And don’t bet on those “rebates”.

The so call “simple ship hull” , will crack when smash by the wave. Those metallurgy secret is all guard heavily by all ship builder.

semuanya OK kot

RM 1 billion per glorified patrol boat – for 6 boats to be built by the guy now supposedly unreachable in a certain Emirate – was a world record. Now, we beat our own record. As in the case of PKFZ, honest civil servants – Navy brass – who recommended the witholding of payment were overruled.

It would probably be cheaper to use amphibious planes. Not that any of this “patrolling” has stopped MILLIONs of illegals from flooding the country and undermining national security, jobs of Malaysians, law and order, and even democracy.

kingkong

Who ask Boustead to change the Specification in the Contract. Did Boustead add in GOLDEN bullets and Toilets to the ship? Ha2 Gerakan and UMNO must be in win-win situation. Who are the suckers?

tunglang

More sophisticated vessels to catch what?
Pirates, illegal immigrants or imagined invaders?
The next 20 years we can safely assume that these super-expensive toys will be used for catching salt fish or jelly fish (soft targets)!!!
What useless, splurging-prone minds we have in Mindef!
Which brings to my mind how simplicity-in-combat & bare-handed Bruce Lee could tackle well armed to the teeth gangsters in matters of seconds! Nothing ‘changih’ to show off.

Jeremy

Maybe TLDM is going to Somalia to fight the pirates?

Hamish

China and Russia launched their first joint naval exercises amid tensions between China and its Asian neighbours over regional territorial claims. The six days of drills are talking place in the Yellow Sea off China’s east coast.

TLDM should send its vessels there to tell the Chinese and Russians to back off from Malaysian waters.

Inspector Lim

Anil
it’s called bailing out to sustain the buisness……

Just like MAS. A good read (case study for those business graduates doing thesis on Malaysian Businesses) from this letter by Armajit Singh to The Sun recently this link below

http://www.thesundaily.my/news/345744

Sze Tho

Don’t put too much faith in that letter . The writer, Amarjit has no understanding of the CCF between MAS and Air Asia. He made flawed assumptions without the full set of facts. Tony bought into MAS at rock bottom price whilst assuming full management control, enabling him to leverage one-sided agreements for Air Asia. Eg: when AAX cancelled flights to London, Paris, etc…..passengers were transfered to MAS. But MAS was only paid well below the costs! In the end we have MAS losing out t bail out AAX.

So let’s not make comparisons here.

moo_t

Sze Tho, you must have been day dream under afternoon hot sun.

In no circumstances AA is gaining so call “full control” over Mas. The so call “purchase” is no other than hat-tricks.

It is exact the same situation like of Proton and various … up GLC that other attempt to join venture and consolidate, but all talk has retract because one simple reason : you cannot fire those dead(wood) umno politickus and cronies inside those “Glc”.
Proof of nothing change? MAS is over-staffed, but there is no sign of VSS etc to cut down the dead(wood).