Wednesday, January 07, 2009

More On Sime Darby's Labu LCT Project.

Blogged yesterday: So Many New LCT Terminals For Malaysia?

Fellow blogger Dali had written a piece also on Sime Darby,
I No Longer Friend Sime Darby



  • b) New Low Cost Terminal @ Labu - The new terminal, to be called "KLIA East @ Labu", will be built on a 2,800 hectare site (6,919 acres) in Negeri Sembilan under a private finance initiative, costing RM1.6 billion (US$461 million). Labu is between Nilai and Seremban. The project is to be undertaken jointly by Air Asia and Sime Darby.

    Firstly, simple planning will reveal that we need a phase 1, phase 2 and phase 3 for the current LCT to cope with organic growth and demand, not just by AA but other budget carriers... just zone off a piece of land 4-5x the current size and make sure expansion phases do not hinder current operations - why no planning, why the sudden need to have a new second LCT. If we had planned better in the first place, we would not have needed the second one so soon - I do not like to trash the authorities, but please la, this is planning and budgeting 101.

    Secondly, why suddenly Sime Darby is roped in? This is not Sime's expertise, especially when there is a more relevant body in Malaysia Airports Holding - what is the under-current, why do we pick and choose and allow ourselves to be lobbied into inefficiences.
    Apparently, Sime is involved because the new LCT will be an integral part of its proposed development plan for its Negeri Sembilan Vision City ("NSVC"). NSVC is part of the Company's Central Vision Valley ("CVV") property development project spanning Selangor and Negeri Sembilan.

    Now, lets hear what Malaysia Airports Holdings Bhd (MAHB) has just said " MAHB implied that it is more logical for the Low Cost Carrier Terminal (LCCT) to be at the Kuala Lumpur International Airport (KLIA)". In a statement today, the airport operator said it is now in a position to undertake the project with its own funds, thanks to the government’s approved restructuring plan. The National Airport Master Plan study, after considering several locations, has identified a site for the permanent LCCT at KLIA, MAHB said. The new LCCT location was selected as it would provide excellent connectivity for both landside and airside transfers for passengers as well as baggage. At least there is a National Airport Master Plan, why the need for so many LCTs, why can't MAHB be allowed to build a really big one next to KLIA, maybe the new LCT can have its own runway as we
    .
Well put!

I fully agree on this part.

  • just zone off a piece of land 4-5x the current size and make sure expansion phases do not hinder current operations - why no planning, why the sudden need to have a new second LCT. If we had planned better in the first place, we would not have needed the second one so soon - I do not like to trash the authorities, but please la, this is planning and budgeting 101.

That's my point.

Why can't they just make only one LCT?

To have two LCT makes no sense at all.

And to have one at Labu is even horrendous reasoning!

Doesn't it defeats all logical reasoning for air travellers who seek lower air fares?

How much would it take for these budget air travellers to travel to Labu to board their cheap flights? As it is, the airport at Sepang isn't too popular since it's already located so far from the city of KL. And now they want to make the LCT at even a further location at Labu?

Imagine if Labu is constructed... and nobody showed up? Not possible? Won't air travellers avoid Labu because of its location?

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