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KTM beefs up freight rolling stock capacity   

KTM Bhd received its last shipment of high-powered locomotives manufactured by Dalian Locomotives and Rolling Stock Co. Ltd on 21 January 2006 (Saturday).

The consignment of eight locomotives from China was taken delivery by KTM Berhad at Northport in Port Klang.

"The delivery of the RM88 million worth of eight locomotives also marked the final delivery of the 20 unit of electronic controlled locomotives deal ordered by the Malaysian government,” said the Deputy Secretary General, Ministry of Transport, Haji Zakaria Haji Bahari.

The event was witnessed by the Commercial Counsellar of Embassy of China Economic in Malaysia, Mr Gao Wen Kuan, the Chairman of NCB Holdings, Tan Sri Datuk Seri Dr Ahmad Sarji Abdul Hamid, managing director of KTM Bhd, Datuk Mohd Salleh Abdullah and the managing director of NCB Holdings, Datuk Dr Abdul Samad Mohamed.

Haji Zakaria who read the speech for Minister of Transport, Datuk Sri Chan Kong Choy’s speech said the government would continue to support and develop the rail industry as a vital part of the overall transportation infrastructure strategy to serve the nation's economic demands.

KTM Berhad’s move to acquire 20 High-Power locomotives worth US$58 million (via counter trade of palm oil) from Dalian, China is aimed at upgrading its freight services, which is the main revenue earner of the company.

In 2005 KTM Bhd freight Services achieved RM107.4 million.

It was a commendable revenue achievement bearing in mind the operational constraints faced by Freight Services.

With the acquisition of the new rolling stocks, existing customers can expect better services from KTM Berhad in term of volume capacity per trip.

The increased volume capacity per trip will be a major factor to attract new customers. Currently, KTMB runs 38 Freight Services daily. Among the main commodities transported are maritime containers, land bridge and cement.
The new 3,300hp locomotive is capable of operating 30-40 wagons as compared to the current 20 wagons per run.

These locomotives also come with a modern propulsion technology with Toshiba Motor.

Each locomotive is equipped with a computer system to continuously monitor the condition and status of the locomotive as well as identify any failures that might occur.

These locomotives will be used more frequently after the completion of the Double - Tracking Project between Rawang - Ipoh (which is expected to starts commercial run in 2008) in tandem with the increase of KTMB's capacity upon completion of this project.

They would be able to serve the busy freight sector between Ipoh and Port Klang. We anticipate the capacity increase to be five-fold said Haji Zakaria.
Contract for procurement of the high-powered locomotives was awarded to China Tietong Telecommunication Corporation in December 2003 at a total sum of RM220 million including capital spares via counter trade agreement of palm oil between the Ministry of Primary Industries and the Sugar and Oil Division Cereal, Oil and Foodstuff Import and export Corporation.

To date Malaysia supplied 70 per cent of the deal or 170,000 tonnes of palm oil to China under this arrangement.

               

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