RM30 million increasing to RM100 million is an increase of 3.33 times. Even if we look at increase of petrol, cement, steel bar, and construction materials, we don’t hear any housing project costs becoming even double. Even house renovation costs increase about 15-20% on average. But the cost to build 22 Tamil schools increased 333% (or 3 times more the original cost!).
Efforts to rebuild 22 Tamil schools cannot proceed because construction cost has gone up by over RM100mil, said MIC president Datuk Seri S. Samy Vellu.
He said this meant that contractors would be making between five and ten-fold profits.
“We just received a RM30mil allocation to rebuild the 22 Tamil schools but what happens after the tenders are called is that construction cost increases by over RM100mil,” he told reporters after the MIC Central Working Committee meeting here yesterday, adding that he would discuss the matter with Deputy Prime Minister Datuk Seri Najib Tun Razak later.
not sure if he was quoted correctly, but the papers does say RM100 million. Will these be labelled as luxury projects and postponed?