Slice of traffic summons payments will go to 2 firms

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When you pay your traffic summons in future, two companies will eventually get a slice of the money under the impending privatisation of traffic cameras and surveillance.

Under the ‘automated traffic enforcement system’, the two companies are Beta Tegap Sdn Bhd (for the central and southern regions of the peninula) and ATES Sdn Bhd (for the northern region, Sabah, Sarawak and Labuan).

The financial model is reportedly as follows:

Tier 1: For the first five million summons collected, RM16 per summons will go to the company. (Thus, company stands to make RM80m under this tier).

Tier 2: If more than 5 million summonses are issued, the company will receive 50 per cent of the balance of the summons collected (after deducting what is due to the company under Tier 1). The government gets the other 50 per cent. The maximum allowed for the company under this tier is RM270m.

Tier 3: After deducting what is due in Tiers 1 and 2 from the summons collected, the company will get 7.5 per cent of the balance and the government keeps the rest.

Assuming there are are 10 million summons issued and collected per year each with a RM300 penalty, the total summons collected would be RM15bn. Of this, the company would get RM80m under Tier 1, RM270m under Tier 2 and RM66m under Tier 3 = RM416m or 28 per cent of the summons collected.

The above example was provided in The Edge, 16 April 2012.

Beta Tegap and ATES reportedly have to spend RM300m and RM400m respectively to get the automated traffic enforcement system running. The cameras and automated systems are to be imported from Australian (A$50m) and German (40m euros) suppliers. The concession period is five years.

How fast these two obscure concessionaires recover their investment cost and make a profit will depend on how many summons are issued – and paid up. Sweetheart deal or not? What do you think?

Will the automated transport enforcement system work under this financial arrangement? Will the public ‘buy into’ this system?

Is this privatisation of cameras and monitoring systems justified in the first place?

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WAW

Next: Collection company for LHDN, Immigration, Customs, Local governments, Post Office and so on.

bigjoe

This is Najib’s idea of transformation – transform two cronies to riches beyond their dream and the rest of us pay for it or get scraps..

Ray

He need to create a new Bok-kha-ri!

mauriyaII

Another crony privatization scheme (to milk) the already burdened Malaysian road users. The UMNO goons must have set up a think-tank under the guidance of the M… to come up with out of the box ideas to (squeeze) the taxpayers! There is no end to the surprises sprung by our government.

Gerakan K

Jumlah kompaun saman tidak berubah. Mengapa beban rakyat boleh bertambah ??? Jika nak ringankan beban, jangan kena saman lah !!!

tunglang

You are so sure you cannot make mistakes, you cannot fall into a manhole one fine Gelakan day?

kingkong

How come no comments from our Ah Soon Khor?

UMNo Government take the easy way out trying to solve the accident prone areas by using cameras. UMNo Government should save lives by Re-engineer the unsafe zone. Instead they want to make money out of rakyat’s miseries. Actually did UMNo identify Black spots and spend money to make them safe?

tunglang

Black spots (unsafe zones) are to them Barang Naiki minions a chance to create more kang tau to profit from the Rakyat. What a way to punish under the 1Malaysia slogan!

Gerakan K

Hmm, I think that initiative will reduce traffic related corruption. Do you agree ??? Now we have video proof of traffic related offenses, how do you offer ‘coffee money’ to settle it ???

Wow, another GREAT idea from 1Malaysia BN government. Tahniah !!!

Yang

If the initiative reduce traffic congestion to zero Bravo 1 Malaysia and Ammo … cronies will starve to death. But will that happen, Keep clicking to fatten the account of AMMO … cronies just like N… (alleged) request to bank in 1 billion for the Scorpene deal.

tunglang

Video proofs of its own polis brutality already cannot ‘settle’ what talk… about video traffic offenses?
Who would buy that?

Gerakan K

Er, the government need to pay anything first before the camera surveillance system up and running ??? Never mind the revenue sharing if the government pay nothing first. That is a win win initiative what ???

Yang

A win win situation for their cronies to suck the … people.

JSTOM

This has already been tried in Johor Bahru. Just look at the ‘abandoned’ camera stands at the traffic lights! I doubt any expensive cameras inside! After paying tons of money to set it up, the Polis complained, not enuf film-lah, too many photos to go thru-lah and what not! Now its a white elephant.

tunglang

The polis-men want easy job sitting under huge umbrellas at roadsides to lepak away the wonderful time of makan gaji kerajaan(?)
When time to let go steam, Bersih rendezvous is good venue … after so long under umbrella job of boring meaningless existence.
I can still remember the honorable days of our polis in the 70’s who worked like Baretta cop of NYPD. And most feared when walking tall in the Street of Petaling or Jalan Alor!

CPL

If the police really strictly enforce, it think the numbers may go as high as 10 times more. Queensbay Mall in Penang is a good example of non enforcement. Only the pondok to pay summon.

ramizan

ISA, UUCA, PPPA, EC, NFC, IPCMC, MACC, SJKC, PKFZee and now saman saman. I can’t take it anymore…

rilakkuma

Saman Traffic is a lucrative business on par with franchise business. If you do not believe, come to Queensbay Mall Penang and there is a special building outside the entrance set up exclusively to collect the summons.

after paying the $aman, can we still rejoice with kopi-o kau kau ???

Richie Hee

Hello Anil and all Penang food lovers Another accolates for Penang food, this time on the new Astro TLC program ‘Food Surprise!’ hosted by KF Seetoh of MakanSutra fame. Among Penang food featured in the first episode: 1) Nasi Kandar at Toon Leong Restaurant (84, Jln Transfer, Georgetown) – Rating 3 Stars i.e. Die Die Also Must try. 2) Hainanese cuisine at Shing Kheang Aun Restaurant (2 Chulia Lane) – Rating 2 stars i.e. Excellent. – Prawn kerabu, Assam pomfret, salted mustarde leaf & duck soup. chicken chop. 3) Tan Jetty Thai Food – cat fish (pad char), tomyam fried… Read more »

Greg

I saw the show.
The Penang food expert CK Lam was the guest to KF Seetoh. The show would have been more interesting if KF Seetoh could engage tunglang instead as tunglang is more colorful and elonquent in his description of Penang food.

Ray

I think tunglang will do it for free if food is provided. Too bad KFC Seetoh failed to recognize this unknown talent.

Derick

You must get KF See Toh to read this blog first to appreciate tunglang’s ability. Or maybe See Toh do not wish to be outshone by tunglang irrelevant brand of ‘Good Morning towel’ & ‘kopi kaw kaw’ Penang humour?

Gerakan K

Haha, you have to ask yourself why you got the saman first ??? Why ??? Kopi-O license holders tend to have these problems.

Yang

GK, why keep posting moronic question. Yes we are prepared to pay for your mistakes (offence) but the question is not to enrich 2 cronies company of AMMO & N… by getting a slice of our money which should instead go to the coffer of the govt to use and help improve the quality of road, transportation and enforcement to prevent accidents and educate drivers.

You, Barang Naik, Ammo & N… are … looking for opportunities to nimble the poor people money.