Categories
Society

[2824] The good, the bad and the ugly of the LRT extension line

Kuala Lumpur opened the extension to its light rail transit lines late last month and I was pretty excited about it. After years of delay, the system is finally here.

I am excited because I can now hop on a train to Subang with ease. Previously, I would either have to drive, get on a cab or take the KTM Commuter trains. The Commuters are not as convenient as the LRT. Frequency is low and it connects places which I have little reasons to go to. In contrast, the LRT extension also means I now have easy access to the Subang airport too.

Another reason for my excitement is that I really love trains. I try to ride on the train everywhere I go to observe the city and the people. Even in Jakarta when the city rail system is not as mature as those in Singapore, Kuala Lumpur or Bangkok. I also regularly read on the read, that is to say I have time for myself in contrast to, for instance, driving.

I rode on the train yesterday and made a loop from the Masjid Jamek Station to the new Putra Heights Station via Kelana Jaya, and back through the Sri Petaling Line. That took me close to 5 hours and I started at about 5PM, running for 40km-50km. The total extension length itself is about 35km.[1][2]

I could not see the outside half of the ride as it was getting dark by the time I reached Putra Heights. I think I will have to make another loop and this time, probably earlier in the day during the weekends to fully appreciate the view.

So, this is a review by a regular LRT user (yes, I am a libertarian who loves public transport. Sue me).

Bad finishing

While the trains themselves are great, so far, I feel the construction of the stations has not been done properly. I got off at several stations and I noticed mediocre finishing. There is a feeling the stations were completed in haste despite long construction delays.

I remember two particular stations with noticeable defects. The escalator at the Lembah Subang Station was creaking, making a loud noise of grinding metals. Mind you, this is a new system and it is already showing sign of stress. With all the escalator incidents elsewhere — some of it deadly — I was not fully sure it was entirely safe.

The escalator at SS15 station was also creaking albeit less loudly. I could feel it straining as I rode down. The descent speed was less than optimum and uneven at times, which possibly has something to do with the straining.

More disappointingly are the washrooms and I am writing specifically about the SS15 station. The faucets open too close to the wall of the basin, making it awkward for me and for anybody with non-midget sized hands to wash up. My fingers would hit the wall easily. I feel the pipes should have extended farther to the center of the sink instead of stopping at the edge, barely.

Several faucets were leaking too, leaving a pool of water on the floor, which turned the whole place disgusting. The dryer also did not work. This might be just a teething problem, but the history of KLIA2 (and the East Coast Highway too?) for instance, it does not inspire confidence. The extension just opened for heaven’s sake. These problems should not exist.

I did not get out of the stations because I did not want to spend too much money. It cost me less than three ringgit to make the ride, because the stations I entered and exited were close by. Neither did I get off at every station. That would the time consuming for a layperson. If I had, I am sure I could find more defects. After all, I randomly got off two stations and the hit rate of finding noticeable defects is 100%. There is a prima facie case to suspect there is a systemic problem with the line.

Who were the contractors of these stations? Given the previous controversies involving contract awards, that question will be important in running a post-mortem on the project. An audit should be carried out and its findings be made public. These contractors should be forced and fined to remedy those defects.

Interchange done right, and wrong

But there is nice stuff to say about the overall system.

The interchange at Putra Heights is done marvelously. If there is an ideal interchange in the whole wide world, this is it. It reminds me of the MRT interchange to Changi Airport in Singapore. You would just have to get out of the train, stay on the same island platform and wait from the next train to arrive on the other side, possibly 10 meters away only. No unnecessary 5 minutes walking is through a mall like in KL Sentral is required.

But I also have to comment about the interchange at Sri Petaling. I do not like it. I had to switch trains and platforms. Sri Petaling has side platforms, which means I had to get on a crossing to get to the other side. More annoyingly, the Putra Heights-Sri Petaling segment is not integrated seamlessly with the Sri Petaling Line, unlike the whole Gombak-Kelana Jaya-Putra Heights segment. I understand why I need to switch trains Putra Heights (Mahathir’s legacy), but less so at Sri Petaling.

Refreshing station designs

I short, I like the design. It feels sleek just like the Kelana Jaya trains.

More importantly, the platforms are huge compared to the old ones. It is just less claustrophobic during rush hour. The situation at stations like KLCC and Masjid Jamek can be extremely unpleasantly and packed with people. Worse, they are underground although air-conditioned stations. But things are not that much better at above ground stations like Setiawangsa, Jelatek, Pasar Seni and even KL Sentral. There just is not much platform space to accommodate massive crowd.

The large platform space at the new stations comes with large envelope cover, which is essential to a rail system in a tropical country like Malaysia. At the old above ground stations, rainstorm would make everything wet and since the flooring are marble-like, dangerously slippery too. The new stations, with the way the platforms are designed and covered, are unlikely to have the same problem, although I would think it would get hot and humid quick. I do not remember whether there was an air-conditioning system moderating the temperature but for the old above ground platforms, a simple cheap fan would work.

But the cover also means the glorious view of KL as seen from Wangsa Maju, Setiawangsa, Jelatek, Keramat, Damai, Pasar Seni, Asia Jaya and Universiti among others is not available at the new stations. That is a downer for me.

But I suppose the envelope cover is a blessing for Puchong stations, which are surrounded with ugly landscape.

Perhaps, if the LRT lines are to be improved further in the future, it should involve the expansion of platform space at popular stations.

Politics of credit and blame

With respect to the old station design, I do not blame the old architects and engineers. The earlier LRT system was put in place at a time when KL population was smaller. Najib Razak when launching the LRT extension line blamed Mahathir Mohamad for not investing more in public transport.[3]

This is off the mark by a mile because Najib ignored the reality of the 1990s when Subang was just expanding and Puchong was a wilderness instead of the industrial town it is now. The Klang Valley population size just did not warrant a further train investment then.

It is arguably only now that we have such population to justify further investment into the city rail system, with suburbs sprawling to the west and the south.

Najib happily takes the credits for the completion of the LRT extension project and further expansion of the KL rail network. But of course, what he did not mention is the fact that the project was supposed to be completed in 2014. Furthermore, Najib takes credits more than the completion of the project. He bashed Mahathir for not providing a comprehensive public transport system but the closer integration of the system really happened during Abdullah Badawi’s time. Indeed, the reorganization of the line management occurred post-1997 crisis under Mahathir. These integrations were the foundation Najib built on.

For a system that takes more than a generation to mature, it is hard to take credit and assign blame cleanly. Politicians should realize that.

Mohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reserved

[1] — The Kelana Jaya Line Extension will begin from Kelana Jaya station and pass through 13 new stations, including Ara Damansara, Subang Jaya and USJ before ending at Putra Heights Integrated Station, covering a distance of 17.4km. Total length of the Kelana Jaya Line upon completion of the LRT will be 46.4km. [MyRapid. Kelana Jaya Line. Accessed July 12 2016.

[2] — The Ampang Line Extension starts from Sri Petaling Station and passes through Kinrara, Puchong, and ends at Putra Heights. The extension is 17.4km long with 12 new stations. Combined with the existing line, the total length of Ampang Line after the completion of the LRT Line Extension Project will be 45.1km. [MyRapid. Ampang Line. Accessed July 12 2016.

[3] — Prime Minister Datuk Seri Najib Razak took a swipe at Tun Dr Mahathir Mohamad today, blaming him for the underdeveloped state of the country’s public transportation network. At the launch of the Kelana Jaya and Ampang LRT Line Extension today, Najib said he made improving public transportation a priority when he became prime minister as the issue had become “increasingly serious.”

“This is because my predecessor who ruled for 22 years did not pay much attention to public transportation,” he said at the launch ceremony here.

“Therefore it created a vacuum, it caused underinvestment, it created a poorly integrated system owned by multiple people that cannot accommodate the needs of a modern city, and the traffic congestion has gotten more serious.” [Aizyl Azlee. Malay Mail Online. Najib blames ”˜predecessor’ for current public transport woes. June 30 2016.

Mohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reserved

p/s — I have also read that there is a problem of access for all the new stations. Pedestrians face barriers to entry either in the form of fence, road or unrealistic walkway. One criticism I have frequently so far is that the stations are designed for cars to drop off passengers. Sigh…

The old stations do not suffer too much of this problem and I think they are quite pedestrian-friendly in terms of access, except, maybe the Abdullah Hukum station. For the longest time and still is, that particular station stops in the middle of nowhere. Hardly anybody uses it. One hopes that would change when the KL Eco City development is completed, linking the station to the Garden and Mid Valley.

Mohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reservedMohd Hafiz Noor Shams. Some rights reserved

p/s — MP Ong Kian Ming has a wider review of the train system in KL.

Categories
Economics Politics & government

[2751] When should we cut fuel subsidy?

Ten months into 2014, I have now resigned to the fact that my projection for the annual inflation rate in Malaysia is too high, with the actual rate being relatively benign. The reason I had put it so high — it was in the region of 3.5%-4.0% compared to what it would likely be, which is 3.0%-3.5% — was that I had expected a drastic subsidy cut early on. It did not happen until yesterday. Even yesterday’s cut is not enough to salvage my projection. I have of heard drastic, crazily complicated plans to revamp the subsidy system that would definitely help me be right, but that has either been postponed, or canceled. While I like to be right, I hope the convoluted system will be canceled. I hope the government would just stick with subsidy cut-cash transfer policy.

Politically, subsidy cuts are always a hot potato. It attracts criticisms from a whole lot of people.

Me? While I have criticized certain cuts from time to time, I am generally supportive of it for various reasons. I have been a long-time supporter of transforming subsidies into cash transfer. This time around, I do not have much reason to oppose the cut. Government influence, at least from the GDP perspective, is coming down, suggesting less government spending with the wider economy in mind.

So, I think I would like to engage on two criticisms directed at the recent cut. One questions the cut on the basis that crude oil prices are coming down. Another goes, subsidy cannot be cut until there is a viable public transportation system in place first.

On oil falling prices, I have said it in the past and one person has brought it up on Twitter (where I spend most of my time these days neglecting this blog, my column, my book project … and work… maybe by just a bit), that the best time to eliminate fuel subsidies is when prices are low, like right now. Acting when prices are low is acting from a position of strength and not out of desperation. If the argument that says we should not cut subsidy when prices are falling down is a good one, then when exactly should we cut it?

Is it never?

If the answer is not never, consider the counterfactual. If prices are higher, would that be the best time to cut subsidy then? Under the scenario of the rising prices, the effect of subsidy cuts on consumers and the economy at large would likely be greater than when cutting it when prices are low, because at that time, the situation would have been more desperate and would probably demand steeper cuts. There would likely result more shocks to the consumers that make the pain of higher cost more acute than it should be. As I have written on Twitter in a snappier way, “[you] criticize the cuts because oil prices are coming down. If prices were going up, would you be happy with bigger, more desperate cuts?”

From government finance perspective, I think cutting it earlier makes more sense. It means more saving for the government to finance other stuff earlier. If we are to wait for the government to cut subsidy only when prices are rising some time in the future, then the saving would probably be lower. The saving can finance the cash transfer program, among others.

Besides, a responsible policymaker wants a countercyclical policy. You do stuff that are painful but necessary during the good times, not during when times are bad. Look at the effect of austerity. The criticism of European austerity is exactly because of the poor timing of its austerity program.

On the point that we should wait until the public transportation system is good, I think this is a costly wait-and-see game. It is also partly a chicken-and-egg issue.

I label it as a wait-and-see game because the last MRT line is scheduled to only be completed by 2020. Keep in mind that construction on the two other lines has not started yet. Even then, I am unsure the public transport system would be reliable with comprehensive coverage. Do we want to keep the subsidy regime running until we are completely sure the transportation system is completely up and running in donkey-years’ time? That is a lot of money, never mind who knows what will happen with crude oil prices until then.

I also box this particular criticism against the cut as a chicken-and-egg problem. I would even argue it is a case of Catch-22. We need the money to invest in public transportation, but we do not have the money to do so if we keep up with the subsidy regime. We need to break the loop and not engage in such mind-numbing logic. At the very least, the cut in the subsidy bill and in the deficit ratio could help bring yields on government debt down, allowing the government or the relevant government-linked bodies to borrow at a cheaper rate to fund infrastructure project.

“But,” you say, “we are going to have the GST!” Yes, but I think every saving helps. “But,” you go on, “what about corruption-wastage-leakage in government spending? Sure, I share your concerns there but I think that requires some political changes but that requires some effort. In the meantime, until that happens, it should not prevent us from doing other stuff. It is not a mutually exclusive problem and it is not a sequencing problem either.

Ultimately, I see the argument on public transportation as one that prefers to do nothing.

Categories
Economics

[2500] Will there be any saving in the MRT setup?

Here is a microeconomic contract theory puzzle with the incentives do not quite line up perfectly.

According to the Financial Daily today, the MRT project delivery partner (a joint venture between MMC Corp and Gamuda) will be punished by the project owner if the cost of the project exceeds 15% of some base. Any cost overruns beyond that limit will be borne by the PDP instead of being passed to the project owner, which really is the government.

In StarBiz today, it is reported that any cost saving will go directly to the government.

This makes me wonder, will there be any saving? What incentive is there to discourage the PDP from running 14.99% above the agreed base. Is it not rational for the PDP to eat up any saving that might exist, leaving nothing for the government?

But I guess we can take comfort that a cost overrun is a likelier outcome than any saving. After all, the last time a similar project was carried out in Kuala Lumpur more or less 10 years ago, the cost ran out of order so much that the developers had to be bailed out by the government.

Some comfort, eh?