Bullet Train

Malaysian tycoon Francis Yeoh (wikipedia pix) is still the midst of submitting his proposal for a bullet train service from Kuala Lumpur to Singapore.

Although details are still sketchy, earlier reports have said that the service could help cut rail travel time between the two capitals to just 90 minutes from the current 6-8 hours.

It definitely sounds like a good project to help foster closer ties between the people in the two countries, which still have deep ties despite their separation in 1965.

But can the project really take off? There are many complications:

1. Such a service will need the approval and cooperation of Singapore. It's not known if Singapore will say yes or ask for a balance of benefits.

2. The call by some Malaysian politicians to stop the train service in the southern Malaysian city of Johor Baru may render the project not viable. Why? This is because such a project will need high volume of people from Singapore, which attracted more than 8 million visitors last year. Singaporeans can also pay mah! :-)

3. Such a super fast train service from KL to Singapore will definitely call for a new link between the two countries. The old causeway, which links JB and Woodlands in Singapore, definitely has no room for a double-tracking and fast railway track. There is only a single track currently on the over-utilised causeway.

4. It's also not foreseeable for a bullet train to run along the Second Link, which connects Tuas in Singapore and Gelang Patah on the western side of Johor, as the bridge was probably not designed to carry the weight of a bullet train.

A new bridge to replace the dilapidated causeway will help solve the issue and other problems plaguing JB, as planners can leave room for a super fast train service on the side of the bridge to connect the hearts of the two countries.

Alternatively, Francis can plan for a tunnel under the Straits of Johor for the proposed train service should Singapore insist on keeping the causeway. Or maybe half a tunnel!

Bullet Train, Part 2

Malaysia says it will soon talk to Singapore on a private sector plan to build a bullet train between Kuala Lumpur and Singapore on Wednesday, commissioning a study of the proposal, state news agency Bernama said on Wednesday.

According to reports, Malaysian property and utility firm YTL Corp Bhd has proposed to build and run an 8-billion-ringgit (US$2.2 billion) bullet train between KL and Singapore. No other details are available.

The YTL plan, which first surfaced last year, has generated the usual debate about the need for such a service, as evidenced by the responses to a news article posted on Malaysia Today.

There is definitely a need for a fast train service between the two capitals. Keretapi Tanah Melayu (KTM service as seen in this pix) can take more than eight hours to connect KL and Singapore. Driving takes half the time. Perhaps, the old KTM train service should be dedicated to ferrying non-perishable goods like fertiliser.

The two countries must see a faster train service -- that can cut travel time to between 90 minutes and 2 hours between the two capitals -- as beneficial to the PEOPLE of the two countries and not be sidetracked by smaller and technical issues or "balance of benefits".

Although a faster train project is necessary, there will be many complications as mentioned in an earlier posting.

Malaysian bullet train going to Singapore?

Malaysian tycoon Francis Yeoh has made it clear again that he plans to build a bullet train service all the way to Singapore from Kuala Lumpur, according to a report today.

Will he and his YTL Corporation succeed in linking the capitals of Malaysia and Singapore via a fast train that could cut down travel time to less than two hours for many long-suffering travelers between the two countries?

“I am confident (to secure the project) because everybody wants it. The Malaysian government is pragmatic and at the end of the day if the public wants it, why not?,” he reportedly said.

Sure, everybody wants it. But can the two governments agree to such a plan that will greatly benefit the people of the two countries? Can the two governments really cooperate for the benefit of the population of the two countries or will they be driven by their narrow self-interest?

Sophie's World is not sanguine. Apart from problems arising from Malaysia's haphazard railway blueprint, the two governments can't even agree on very basic and long outstanding matters such as the:

1. Renewal of the water agreements between Malaysia and Singapore;
2. Redevelopment of the Malaysian railway land in Singapore;
3. Exchange of land in Singapore for the joint redevelopment of the Malaysian railway land
4. Use of Malaysian airspace by Singapore;
5. Sale of Malaysian sand to Singapore for reclamation;
6. Release of CPF funds of West Malaysians who no longer work in Singapore;
7. Dispute over Pedra Branca/Pulau Batu Putih;
8. Diversion of heavy traffic to the Second Link from the causeway;
9. Plan to build an overhead bridge to replace the old causeway; and
10. Cleaning up the filthy Straits of Johor, which separates the two countries.

Like the current talk (just talk) to build a monorail link between the southern Malaysian city of Johor Baru and Singapore, it will be more ideal to build a new bridge to replace the causeway to facilitate the bullet train project. Please read earlier posting.

Now, where is the new Asean Charter?

S'pore-KL budget flights take off but...

The long-protected Singapore-KL air route has finally been opened up, slightly.

Singapore and Malaysia newspapers highlighted the historic entry of budget airlines in the air sector between Singapore and Kuala Lumpur on Feb 1. Three new players -- Malaysia's AirAsia, and Tiger Airways and Jetstar Asia of Singapore -- will operate a total of four flights a day. Most of the flights will still be dominated by the expensive Singapore Airlines and Malaysia Airlines.

Sophie's World has long argued for the liberalisation of the route, which was dominated by the national carriers of Malaysia and Singapore for the past three decades. It just didn't make sense to shield the two national carriers from the new kids on the block since budget airlines came into play in 2003.

Passengers and commentators will continue to analyse the situation and applaud the move as another step towards open skies in Asean. Sophie's World fully endorses Asean's Open Sky pact by the end of this year to hasten economic and social integration of the region with over 500 million people -- more than one-third the population of China, which is the world's most populous country.

But an open sky pact alone will not nudge the region's disparate economies towards greater integration as long as many countries remain highly nationalistic.

In the case of closely-knit Malaysia and Singapore, the long-term solution is not more flights alone as many people still won't be able to travel freely. Why? This is because air travel is still relatively expensive due to the litany of taxes imposed, and the subsequent connection cost to the city.

For example, The Straits Times highlighted the family of 21 who collectively spent S$3,200 on the maiden budget flight from Singapore to KL. It's a lot cheaper than the S$8,800 they would have forked out on either Singapore Airlines or Malaysia Airlines for the same round-trip flight. At S$3,200, it works out to S$152 per person for a round-trip fare, including all the taxes.

The family could have chartered an entire van or bus for far less and used it to ferry them around in KL for one week. But bus was not an option for them as they said they had some toddlers who couldn't stomach the bus journey to KL. That's not the point here.

The point is at S$152 per person (some budget tickets were given away for free as part of the maiden flight promotions), it is still a high price to travel 320km from Singapore to KL. Budget airfare, inclusive of taxes and surcharges, is still at least 50 percent higher than what many luxury coaches charge between the two cities. In fact, ST said many people paid under S$200 each for a budget airline seat. This is more than double the return bus fare of S$92 charged by luxury coach Aeroline.

The long-term solution to facilitate the extremely high traffic volume between the two capitals is a high-speed bullet train service. It's an idea that was mooted by several Malaysian businessmen in the 1990s and revived recently by Francis Yeoh.

Even former Malaysian Prime Minister Dr Mahathir Mohamad had pushed for the idea as a way to further integrate the two countries. As part of the fast train service between KL and Singapore, Dr Mahathir had proposed a rail tunnel under the narrow Straits of Johor, which separates Malaysia and Singapore.

The rail tunnel project was part of the transportation blueprint in the southern Malaysian city of Johor Baru that involved building a new overhead bridge to replace the old causeway, which connects the two countries.

Although Singapore had officially welcomed the rail tunnel idea, negotiation to build a new overhead bridge was almost stillborn from the beginning. Malaysia finally called off the bridge project two years ago as Singapore had made certain demands -- the right to use Malaysia's airspace and buy sand for its land reclamation -- that Malaysia could not fulfill.

Francis Yeoh appears to be still keen to push ahead with the bullet train project although the rail tunnel and bridge components have been derailed. He could build a new fast rail link to Singapore should Malaysia secure Singapore's blessing, or end the rail track in the city of JB.

The answers are still hazy.

What is clearer is that a fast train service could zip from Singapore to the heart of KL in just 90 minutes -- half the time needed to drive on Malaysia's North-South Expressway. The point-to-point travel will be even faster than air travel due to time needed for airport immigration clearance, baggage clearance and the 57-km road or rail connection between the Kuala Lumpur International Airport and the capital.

Of course, demand will hinge on the eventual price of a train ticket. Sophie's World is hopeful that the price ticket for a fast train service, should it materialise, will be competitive compared to full-fledged airlines or even budget airlines.

But planners in Singapore and Malaysia must not ignore the ultimate bottleneck for road and rail travelers between the two countries -- the jointly-owned causeway.

Updated: Malay Land Railway

The massive rains have caused havoc to southern and eastern Malaysia. The country is still cleaning up the mess.

As widely reported, the rail service from Singapore to certain parts of Malaysia has been disrupted due to the floods. The service disruption is aptly captured in this rather interesting picture in New Straits Times. Several observations can be made about the disruption of the train service in Malaysia:

1. First, the current single track system operated by the anachronistically named Keretapi Tanah Melayu (Malay Land Railway or Malayan Railway instead of Malaysian Railway) is obviously inadequate. Malaysia needs a double-tracking system to allow two-way traffic. The second line can still be used in the event of disruption to the first line. How can Malaysia move goods and people fast using a rail network that was built by the British in the late 19th century?

2. It's perhaps better to embark on a fast train service project in Malaysia that will require a stronger foundation for the tracks. Such tracks won't be as easily dislodged as the old gravel system to support the single track.

MMC and Gamuda had proposed a double-tracking railway system for a fast train service but the RM14.5-billion project was shelved by Prime Minister Abdullah Ahmad Badawi three years ago. Malaysian tycoon Francis Yeoh of YTL is now proposing a bullet train service between KL and Singapore but it's not known if the train service will materialise as well.

3. The disruption of the rail service has raised an interesting academic conundrum for bilateral ties between Malaysia and Singapore.

It is well known that Malaysia has legal title to the railway land in Singapore to operate a railway service through KTM. However, under the terms of the lease, should Malaysia stop operating its railway service to Singapore, the Malaysian railway land in Singapore reverts to Singapore (That is why KTM had been runing the shabby train service to Singapore although it was probably losing money from carrying so few passengers on each trip!)

The point is probably moot because Malaysia and Singapore had signed the so-called Points of Agreement to jointly re-develop the Malaysian railway land in Singapore in 1990. However, the two governments have not been able to come to terms on basic points in the POA in the past 16 years.

In fact, Malaysia's former PM Dr Mahathir Mohamad didn't quite recognise the POA, saying it was not ratified by the Malaysian Parliament -- eight years after it was signed by former Singapore PM Lee Kuan Yew and ex-Malaysian Finance Minister Daim Zainuddin.

So what will happen to the Malaysian railway land in Singapore if Malaysia uses the damage caused by the flood as an excuse to stop its unpopular* train service to Singapore indefinitely?

*The train service is not the most popular mode of transport between Singapore and KL as it takes more than seven hours on the current single track. Furthermore, it's faster to travel by highway (4 hours) and planes (45 minutes). The KTM service will become even more anachronistic once the Asean open-skies pact takes effect in 2008, a move that will allow budget airlines to fly more freely between KL and Singapore and other Asean cities.

Latest: KTM has resumed train service since Christmas Eve, according to Singapore TV channel Channel NewsAsia. But KTM is still a shabby service!

Of fast cars and slow trains

Pix source: Formula One at Sepang (top) courtesy of Malaysia's Shukor Janis of Shuk Photo, and KTM (bottom) from Wikipedia

The race is on for Singapore to narrow the gap with Malaysia in the Formula One arena. Singapore is set to sign a deal to host F1 in a couple of weeks -- some eight years after Malaysia joined the F1 circuit.

Many people, including some commentators in Singapore, had criticised former Malaysian Prime Minister Dr Mahathir Mohamad's decision to build a first-class track in the middle of the jungle. The Sepang track was conveniently billed as one of his wasteful mega projects.

But many people have come around to accept the wisdom of hosting the F1 event as a necessary tourist magnet.

Unlike many competitive areas between the two countries due to their proximity, there is room to host the big event in the two nearby capitals. As pointed out by Dr Mahathir's second son Mokhzani Mahathir in The Straits Times today, the races in Malaysia must not be held back to back. Mokhzani, who was instrumental in bringing F1 to Malaysia together with his father, said the races in Singapore and Malaysia must be held at different ends of the eight-month racing calendar. Malaysia at the start and Singapore at the end, he said.

Sounds reasonable to make it more appealing to fans who won't want to be under the equatorial sun for two straight races. And there two other key aspects to differentiate the two racing venues -- Singapore is likely to have street racing versus a closed circuit in Malaysia; and night racing in Singapore versus day racing in Sepang.

While the two countries are likely to see cars going at more than 300 km an hour outside Kuala Lumpur and in Singapore, we will have to wait for some time before we can see a fast train zipping from Singapore to KL at over 300 km. The two governments are still studying the proposal by YTL to build a bullet train from KL to Singapore, cutting travel time to just 90 minutes from the current 8-hour snail ride provided by Keretapi Tanah Melayu (KTM).

According to Malaysia's The Business Times today, German engineering expert Siemens is keen to be the technology provider for the proposed high-speed train project linking the capitals of Malaysia and Singapore.

Tim Hunter, Siemens' new head of rail for Malaysia, painted an interesting route the proposed train service could take.

"Ideally, it would begin from KL Sentral, linking the airport and Johor Baru and Changi Airport - that would make sense to me because inter-modal exchanges are most important."

What a great route! One can hop from one airport to another in 90 minutes or so.

But he also noted a complication. He said the existing KTM routes would have to be upgraded significantly, as would the causeway crossing. The existing causeway linking JB and Singapore could well be the deciding factor for the entire project. There are many complications in the cross-border fast train link.

While we continue to wait for a faster train service linking KL and Singapore, we can get a taste of speed at 300 km from watching Formula One cars on Singapore's streets one day.

PS: Interesting trivia in the ST report today: When Dr Mahathir and Mokhzani met F1 supremo Bernie Ecclestone in 1995, Mokhzani said his father offered to build a circuit to host the Malaysian leg. Mr Ecclestone stood up and offered his hand.

Malay Land Railways

Ready for the same old story?

According to a report, Malaysia's national railway company Keretapi Tanah Melayu (or loosely translated as Malay Land Railways or Malayan Railways in English) has been steadily making improvements that are starting to show up on its bottomline despite the tough operating environment.

The report said the rail operator managed to narrow its unavoidable losses by close to 21% last year from RM131 million in 2005 on account of efforts to increase revenue, reduce expenditure and improve efficiency.

That's definitely not my impression. I have not noticed any marked improvement in its efficiency. See earlier postings.

Train services in Malaysia continue to be behind time and the service below par. Grandma uses the train quite often for her travel from KL to see me in Singapore. She takes the train because she's not familiar with the bus service, which is also more expensive for senior citizens.

Mom and dad will always discount the train arrival time by about one hour. They will still be in time to pick grandma up after the 7-8 hour journey. Cars and buses take only 4 hours to cover the 320-km distance between Singapore and KL. A bullet train service will cut down travel time to just 90 minutes between the capitals of the two countries but the plan remains a piped dream.

Planes take less than one hour but Malaysia and Singapore still won't open up the route to budget airlines. The sector continues to be dominated by the national carriers of the two countries. And the two governments recently signed a pact to exclude the sector from the Competition Act despite the obvious anti-competitive nature of the move.

This is despite the fact that the Asean Free Skies pact is set to kick in by next year. Nevertheless, Singapore will continue to push for complete open skies with Malaysia and within Asean.

In the meantime, grandma will have to put up with the slow Malaysian train service, which was first introduced by the British more than 100 years ago.

JB-Singapore MRT?

A new Malaysian company is toying with the idea of building a monorail network in Johor Baru and linking it to Singapore. According to Malaysia's BT today, little-known Jalur Mudra is having talks with Singapore's SMRT Corporation, which operates the Mass Rapid Transit network in Singapore, for a joint venture.

The project definitely sounds useful to help cater to the massive human traffic flowing between Singapore and southern Malaysia. Nearly 10 million Singaporeans entered Malaysia, mainly through JB, last year. This is more than the 8-odd million tourists to Singapore last year.

But can such a project take off? Will it help resolve traffic and straits woes?

Don't bet on it. There are just too many complications surrounding such a project. And even if it does take off, it won't be the ideal solution.

1. The project will most likely need a new link across the Straits of Johor to Singapore as there is simply no room on the causeway for a monorail track, no matter how slim it is.

2. Will Singapore agree to a monorail track from JB to Singapore via the Straits of Johor when the two governments could not even agree on a new bridge to replace the causeway that links JB and Singapore?

3. Will there be complications for immigration clearance? Or will travellers from Singapore zip to JB without passports under the proposed immigration-free zone in JB?

A more ideal solution is for Malaysia and Singapore to jointly agree on a new and wider bridge to replace the causeway, which retards the flow of water in the filthy Straits of Johor.

1. Singapore and Malaysia planners can then allocate space for the monorail project from JB to Singapore on the new bridge.

2. Planners on both sides of the causeway can also discuss the possibility of setting aside space on the new bridge for the bullet train service -- proposed by Malaysian tycoon Francis Yeoh -- from Singapore to Kuala Lumpur.

3. Channelling the human traffic through the current custom and immigration facilities in JB and Singapore will be a neater solution, than possibly building new facilities just to cater to the monorail track.

Building a new bridge to replace the causeway will solve many problems in one fell swoop.

Malaysia and Singapore can make provision for wider roads and space for useful projects such as the monorail and bullet train service to cater to the massive cross-border flow of people. And an overhead bridge will also allow water to flow freely in the Straits of Johor after more than 80 years.

Haphazard Malaysian railway blueprint

Malaysia's railway blueprint is as haphazard as the country's current political climate.

The Straits Times today reported that the government is set to revive part of Malaysia's massive railway project with the award of a RM12.5 billion contract to a joint venture led by businessman Tan Sri Syed Mokhtar Al-Bhukary.

The report said MMC Corporation, the corporate flagship of Tan Sri Syed Mokhtar's vast business empire, will team up with Lin Yun Ling's construction house Gamuda to build an electrified, double-track rail system stretching from the central city of Ipoh in Perak to Padang Besar on the Malaysia-Thai border.

The news is not unexpected although the project to build the entire track was shelved by the current administration following the retirement of former PM Mahathir Mohamad in 2003. The lobbying to revive the project has been intense.

The cost also appears to have ballooned. The plan to build the entire track along the peninsular was estimated to be RM14.5 billion back in 2003. But the price tag is now reported to be RM12.5 billion for a segment of the Malaysian peninsular.

Another point that's not been made clear by the government is the other major leg of the Malaysian railway blueprint -- between the Malaysian capital of Kuala Lumpur and Johor Baru and/or Singapore.

A report this week by Singapore's The Business Times cited JP Morgan as saying that Francis Yeoh's YTL bullet train project between KL and JB is set to take off. The price tag also appears to have gone up -- RM11 billion from the reported figure of RM8 billion earlier.

Will the two railway projects be able to coordinate their operations and make fast train service seamless from southern Malaysia to the tip of the Thai border? Will travelers be able to hop on the train one day in Singapore and travel all the way via Malaysia and Thailand to reach Kunming in China as part of the Asean dream?

Sophie's World doesn't have high hopes, after so many false starts amidst all the problems within Asean.

Maybe, Malaysia must continue to rely on the good old, snail-pace Keretapi Tanah Melayu.

Causeway blues again, Part 3

Note: Image from Intelligent Transport Systems Center, LTA (28 Mar 2008, 9:50am)

Recent reports, including The Straits Times article below, about the massive traffic jam at the causeway tell only half the story. The gridlock at the causeway, as a result of the search for a missing terrorist in Singapore, has merely highlighted current problems faced at the bridge linking Singapore and Malaysia.

Even without the stepped-up security in the search for Mas Selamat Kastari, many people have had to suffer from the daily crawl at the causeway. Sophie's World has long highlighted the less-than-deal situation at the causeway. See early postings such as Missing MRT link, Causeway blues again, Part 2, and Malaysian bullet train going to Singapore?

Will Singapore and Malaysia work together to resolve the traffic woes at the causeway once they manage to nab the terrorist? Or will they think that things will go back to 'normal'?

March 22, 2008
Tighter immigration checks hit JB businesses
Takings dip by up to 75% as S'poreans avoid massive Causeway jams
By Arlina Arshad

ON A typical weekend, many Singapore cars can be seen at the Mobil petrol station close to the Johor Baru immigration checkpoint or heading for the town's malls.

Yesterday, the petrol station was serving more J-plate vehicles than S-plate ones. The town's restaurant owners, retailers and cabbies have also noticed slacker business over the past few weekends.

Three words explain this: Mas Selamat Kastari.

Petrol station cashier Rozana Mohd Din, 33, is certain that the heightened security following the escape of the 48-year-old Jemaah Islamiah terrorist is responsible for this.

The more thorough checks on travellers and vehicles passing through the Woodlands Checkpoint are keeping Singaporeans away.

Ms Rozana noted that the petrol station usually serves 100 Singapore cars on weekdays and 150 on weekends. She is seeing only half of that number now. 'It's so unfair that businesses here have to suffer because of one man,' she said.

Other JB businesses complained that takings had fallen by 20 to 75per cent. All expect this month to go down as one of the worst sales months in recent times.

When The Straits Times visited JB town centre yesterday, business at the food stalls appeared brisk. But stallholders said the customers were not quite as free spending as Singaporeans.

Hawker Ahmed Abdullah, 45, who sells Indian food, said: 'Singapore customers may come only once a week, but they spend a lot. They come with friends and order whatever they fancy on the menu.

'They can spend RM30 (S$13) in one sitting. Malaysian customers take a long time to decide - and when they do, they spend RM3.'

At City Square, cash registers were not ringing despite the ongoing sale. Boutique assistant Lim Kim Moi, 35, whose boss had chided her for the poor sales, said: 'Now, I am forced to be pushy and get the Malaysian customers to buy.'

Taxi drivers, too, were cooling their heels in a long line of cabs outside the JB checkpoint yesterday.

Cabby Masdan Rudin, 35, said: 'On weekends, I usually take 15 Singaporeans to Senai airport and bus terminals. Now, it's down to 10.'

The worst thing for these businesses is not knowing when the jams will ease and the crowds return.

DVD seller W.Y. Tan, who has suffered a 75 per cent drop in takings, said: 'If it's going to be like this for the next two months, I might have to start selling char kway teow.'

Cuti-Cuti Singapura*

(Pix: Singapore's main shopping thoroughfare Orchard Road during a Christmas light-up in 2005. Source: Wikipedia). *Cuti-Cuti means holiday in Malay. The title of this post is a little play on words on Malaysia's tourism drive called Cuti-Cuti Malaysia. Singapura is, of course, the Malay name of Singapore.

Will we ever see the reversal in the flow of tourists between Singapore and Malaysia?

Traditionally, more Singaporeans visit Malaysia than vice versa due to many reasons. One reason is the mighty Singapore dollar, which stretches the spending power of Singaporeans across the causeway at the current exchange rate of more than RM2.20 for each S$1. Apart from the strong Sing dollar, many Malaysians have been deterred from shopping in Singapore over the years due to the rapid development of its own shopping landscape.

But Singapore has come up with a creative way to target visitors from its closest neighbour, with a foreign exchange angle.

According to an advertisement and news reports, the Singapore Tourism Board (STB) said Malaysians could enjoy selected tourist destinations in Singapore at half price between May 25 and June 30.

The selected attractions include the Singapore Zoo, Sentosa island and even a ride on the big DHL balloon in the middle of the city, according to a full-page ad placed in Malaysian newspapers over the weekend.

STB Southern Malaysia area director Alfred Poon said Malaysians who wanted to take a ride on the Singapore River, for example, would pay RM12 (S$5.30) instead of S$12, according to The Star. To qualify for the offer, Malaysians will have to produce their passports with valid embarkation cards. Malaysians can either pay discounted fares in RM or the equivalent in S$.

The trick may just work in the short term. But in the longer term, Singapore and Malaysia must make it even easier for greater cross-border movement of people in order to generate more tourist activities on both sides of the causeway.

Will Singapore scrap the vehicle entry fee for Malaysian cars entering Singapore? Will Singapore eventually allow a less restrictive and direct bus service from Senai Airport in Johor to Singapore? Will Singapore and Malaysia scrap the toll rates at the causeway and the Second Link?

Will the proposed bullet train service between the Malaysian capital of Kuala Lumpur and Singapore take off? Will the proposed MRT network in the southern Malaysian city of Johor Baru be connected to Singapore?

Will budget airlines be allowed to compete freely with Singapore Airlines and Malaysia Airlines when the popular KL-Singapore route is liberalised next year?

Will yachts and ships be allowed to sail more freely between the two countries without being delayed by immigration checks in the middle of the seas by coast guards in patrol boats?

Apart from better infrastructure, both sides must improve immigration clearance at the causeway, the clogged artery linking Singapore and Malaysia.

And lastly, will Singapore and Malaysia jumpstart the bridge project to replace the ageing causeway?

Cheaper Flights?

Will Malaysia and Singapore strike a deal to liberalise the popular but expensive KL-Singapore air route? Talks are still going on following the well-publicised meeting of the transport ministers of the two countries earlier this week.

Whatever the outcome, it is blatantly clear that the move is long overdue as the route is effectively monopolised by Singapore Airlines (SIA) and Malaysia Airlines (MAS). They have both fixed high prices -- at more than S$300 for a confirmed round-trip ticket -- to the detriment of consumers.

The two airlines have managed to keep prices high despite the growing number of budget carriers -- Malaysia's AirAsia, Singapore's Tiger Airways and Australia's Jetstar -- in the region since 2003.


This is because MAS and SIA have a virtual monopoly on the KL-Sing route as a result of a 32-year air services agreement between the two countries. According to an earlier report in The Straits Times, this restricts competition on the route, leading to SIA and MAS operating eight out of 10 flights, or 154 out ofthe 184 flights a week.

Whatever the outcome of the current talk, the point will be moot come 2008. Why? This is because the KL-Singapore sector will have to open up anyway by then under the Asean open skies pact. Of course, Malaysia could still resist the Asean spirit, as it did in the automobile sector. Malaysia was tardy in opening up its car sector under the Asean Free Trade Agreement, or Afta, in the bid to protect national carmaker Proton.

But there is less need to be protective of MAS as its role is gradually taken over by Tony Fernandes' pace-setting AirAsia. Following yet another restructuring of MAS, AirAsia has taken over most of the domestic routes -- long deemed unprofitable by MAS despite heavy government subsidies.

Another ramification is the potential demise of many buses plying the 320-km Singapore-KL route, if Tony could deliver his promise to price the airline seats cheap. He can always price his seats cheaper than the national carriers but can he price them lower than buses? It's not so easy although there will be a limited number of headline-grabbing cheap air tickets for the 45-min flight. It's another story when you try to book them! Will dwell on AirAsia's plus and minus points on another day.

Another interesting scenario is the possibility of a bullet train service from KL to Singapore, which could cut travel time to just 90 minutes. This will be a lot faster than going by road (3 to 5 hours) or trains operated by Keretapi Tanah Melayu (6-8 hours). Again, it's not so clear if the two governments can strike a deal for the project by Malaysia's YTL Corporation.

Whatever the outcome of all the plans, the two governments must do more to make it easier for the citizens of the two countries to travel seamlessly between Malaysia and Singapore. The current situation is less than satisfactory to accommodate the high traffic volume.

The heavy traffic in the KL-Sing sector reflects the closeness of the people in the two countries despite differences between the two governments.