Auditor General Calls For Completion Of Delayed Pulau Mabul Base

---

 


The Forward Operation Base (FOB) at Pulau Mabul, Sabah, should be completed to strengthen security in the Eastern Sabah waters and surrounding areas, according to the Auditor-General’s Report 3/2025.
The report on the 2024 Federal Government Financial Statements tabled in the Dewan Rakyat today stated that the FOB has yet to be completed, despite almost 10 years since it was first planned.
The project, proposed by the Eastern Sabah Security Command (Esscom) since 2016, was approved under the Second Rolling Plan of the 11th Malaysia Plan (2016–2020) with an allocation ceiling of RM52.81 million. It was supposed to be completed by Nov 16, 2024.
The Pulau Mabul FOB aims to enhance security control effectiveness through surveillance, monitoring, policing, and enforcement approaches along 1,733.3km of coastline and waters in Eastern Sabah, covering an area of 134,761.54km.
The auditor-general said the project should be completed to ensure that high-tech infrastructure and security facilities can be provided, thereby strengthening the level of security control in the area.
“Among the main issues identified were incomplete buildings, jetty construction yet to commence, and the termination of the contract with Company 762935-D due to unsatisfactory performance.
“The Audit Department took note of the Notice of Change status approved on May 9,” the report stated.
Details in the report also revealed that the company awarded the tender in August 2020 had submitted a withdrawal letter on Aug 1, 2023.
Several reasons were given, including increased construction costs due to the pandemic, unsuitability of the original landing point location, delays in obtaining the temporary occupation license, and the late appointment of a nominated subcontractor for electrical and mechanical works.
The Public Works Department subsequently issued a Notice of Termination to the company on Sept 6, 2023, when the project’s progress stood at only 41 per cent compared to the scheduled 53 per cent.
However, the Auditor-General stated that the company had no solid grounds for withdrawing, and the reasons cited were inconsistent with the terms of the Public Works Department 203A Contract.
Cost increases, poor coordination
The company’s failure to complete the project within the stipulated period led to an increase in cost by RM28.70 million, bringing the total cost to RM81.51 million, as well as a delay to the Malaysian Sea Surveillance System Sabah Phase 2 project.
“Furthermore, the land measurement and gazettement process for sea land was found to have taken too long - seven years, five months, and 17 days (2,725 days) - from the date of the government land application under Section 12 of the Sabah Land Ordinance Cap 68 on Jan 5, 2016, to the completion of the gazettement on June 22, 2023.
“This was due to poor coordination between the Sabah Lands and Surveys Department (LSD) and Esscom, particularly when Sabah LSD was late in informing about the shortage of survey teams to carry out the measurement work,” the report stated.
Accordingly, the auditor-general recommended:
Appointing a completion contractor immediately to prevent further delays, structural damage risk, and cost escalation.
More frequent management and monitoring of contractors by the ministry and agencies involved.
Requiring the new contractor to prepare a recovery plan in case of delays.
The government was also told to claim compensation from the company according to existing contract clauses; ensure all approvals, such as land gazettment, are completed before commencing work; and strengthen coordination between the Home Ministry, Esscom, the Public Works Department, and Sabah LSD.
- Bernama

---