KUALA LUMPUR: The Cabinet is expected to decide on the direction of the Littoral Combat Ships (LCS) project and whether the number will be further reduced from the original six units soon, says Datuk Seri Mohamad Hasan.
The Defence Minister told Parliament that the ministry was in its final stages of finalising the continuation of the project through the preparation of a Cabinet memorandum.
“Regarding the reduction of procurement from six to five vessels, the fine details on the continuation of the project will be tabled to the Cabinet and it is up to them to decide whether it will remain at six or fewer,” he said while wrapping up his ministry’s motion of thanks on the Royal Address. A report tabled to Parliament on Aug 4 by the Public Accounts Committee highlighted the controversial procurement deal, where none of the six LCS ordered had been delivered although the RM9.13bil contract was signed a decade ago.
According to the PAC, the government has already paid RM6.08bil – or two-thirds of the total cost – to local contractor Boustead Naval Shipyard .Mohamad Hasan said the decision to reduce the numbers was actually made in a Cabinet meeting in April 2022 under the previous government. “Considering that this is a new government, the Defence Ministry feels that there is a need to bring it back to decide the continuation of the LCS project under the new government,” explained the minister.
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