LABUAN, Feb 4 — The Federal Government is urged to review yet another multi-million ringgit project planned for this Federal Territory island on grounds that the money could be used on a more needed priority. 

Member of Parliament Datuk Suhaili Abdul Rahman said the RM38 million Waterfront project should be scrapped in favour of a modern international convention centre.

“I am not opposed to development and support progressive developments. But a convention centre will be more meaningful as such a facility could trigger a multiplier effect on many sectors of the local economy. Unlike the waterfront project which can be attractive on paper but of low economic impact to Labuan,” he said.

It is the second time in a week that there has been a plea to review projects planned for the island.

Earlier, Labuan Chinese Chamber of Commerce Chairman Datuk Wong Kii Yii questioned the rationale for the proposed RM22m roll-on roll-off ferry terminal upgrade when what is needed is a new one specially for commercial vehicles away from the present site which worsened traffic congestion in town on a daily basis.

He said the present terminal should be maintained only for passenger vehicles.

The waterfront project was approved under Budget 2026 and included in the 13th Malaysia Plan. According to Suhaili, the total cost of the waterfront project, including its phase two, could top even RM100,000 million.

He said a convention centre is what Labuan needs to boost MICE (Meetings, Incentives, Conferences, Exhibitions) tourism and pointed to the success the Sabah International Convention Centre in Kota Kinabalu.

He also said the waterfront project in may attract wrong crowds of immigrants to hang out and would be a waste of funds.

On the proposed Labuan-Menumbok bridge Suhaili hoped the government would make a clear commitment for the project and set a timeline. 

He said the physical link would not only be a infrastructure project but a “game-changer” in opening new economic opportunities and boosting tourism.  

He said current dependence on the limited services of ferries and boats for goods was subject to risks and a bridge would ensure  quick and efficient transport of goods of goods at cheaper cost.

Over the years there had been various feasibility and other studies costing millions of ringgit on the mega project estimated to cost RM6 billion without a conclusion. 

The last study was about a year ago at cost of RM500,000. There are mixed views on the bridge project and the Prime Minister himself had said that the huge cost was a factor.

People on the island also feared traffic congestion if more vehicles pour into the island with bridge access and said what was needed was for either the Labuan Authority or the Sabah Government to reintroduce a consistent and proper ferry link which was abolished when the PBS State Government took over from Berjaya. — Daily Express