Malaysia is reportedly going it alone with regards to the Kuala Lumpur-Singapore High Speed Rail (HSR) project, leaving Singapore without a rail link to the peninsula.

Malaysian news outlet Free Malaysia Today (FMT), citing unnamed sources, claimed on Wednesday, Nov. 25, that the new Perikatan Nasional government of Prime Minister Muhyiddin Yassin has decided to resume the HSR project, but having it end in Johor Bahru instead of Singapore.

The report claimed that the Malaysian government has informed their Singaporean counterparts of the decision.

HSR without the Singapore link is redundant

FMT also said that their sources were critical of the decision.

"The HSR was touted as a game changer as it would ensure seamless travel between KL and Singapore in just 90 minutes. This is one of the busiest air routes in the world. So there is demand for the rail link. KL and Johor Bahru are already served by domestic flights and the North-South Expressway."

Malaysia is also planning an electric rail development that would link KL Sentral to JB Sentral by 2022.

"Once both projects are complete, you will have two rail lines connecting KL to JB. This is a redundancy," said their source.

Twice delayed

The HSR project has been deferred twice so far, after being signed in 2016 while a Barisan Nasional government was in power.

The first was back in September 2018, which was a few months after the Pakatan Harapan government took power.

Malaysia agreed to compensate Singapore S$15 million in abortive costs.

It was delayed until May 2020.

But in May 2020, the project was once again delayed to the end of 2020 at Malaysia's request.

Then-Transport Minister Khaw Boon Wan said:

"In the spirit of bilateral cooperation, we have agreed to a final extension of the suspension period to 31 December 2020.

This should provide sufficient time for Malaysia to clarify its proposal and for both sides to assess the implications of the proposed changes."

It should be noted that this took place a few months after the Perikatan Nasional government replaced the Pakatan Harapan government in power in Putrajaya.

Full compensation will be sought

FMT, citing their source, said that Singapore would seek compensation if the project is resumed without our involvement, to the tune of S$250 million.

"Singapore made its stand on this very clear when the Pakatan Harapan administration mulled its cancellation. It will exercise its right to compensation. This could end up being very costly for taxpayers."

FMT also contacted the Singapore High Commission in Malaysia for comment, and they had this to say:

"Singapore and Malaysia signed the Kuala Lumpur–Singapore HSR bilateral agreement in December 2016. This is a legally binding international agreement which remains in force today.

During the suspension period, Malaysia proposed some changes to the HSR project and we have been discussing them in good faith with Malaysia.

We will make our best efforts to conclude discussions with Malaysia by Dec 31. However, if by Dec 31 Malaysia does not proceed with the HSR Project, under our agreement with Malaysia, Malaysia will bear the agreed costs incurred by Singapore in fulfilling the HSR bilateral agreement."

In response to a query from Mothership, the Singapore Ministry of Transport gave a reply that was almost exactly the same:

"Singapore and Malaysia signed the Kuala Lumpur – Singapore High Speed Rail (HSR) Bilateral Agreement in December 2016. This is a legally binding international agreement which remains in force today.

The construction of the HSR Project has been suspended twice at Malaysia’s request with the second and final extension ending on Dec. 31, 2020. During the suspension period, Malaysia has proposed some changes to the HSR Project, and we have been discussing them in good faith with Malaysia.

Singapore continues to believe that the HSR Project is beneficial for both countries, and remains fully committed to fulfilling our obligations under the HSR Bilateral Agreement. We will make our best efforts to conclude discussions with Malaysia by Dec. 31, 2020.

However, if by Dec. 31, 2020, Malaysia does not proceed with the HSR Project, under our agreements with Malaysia, Malaysia will bear the agreed costs incurred by Singapore in fulfilling the HSR Bilateral Agreement."

Mothership has contacted Malaysia's Ministry of Transport for comment.

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