LETTER: A DECISION was taken to defer till the end of the year the high-speed rail (HSR) project linking Kuala Lumpur, Selangor, Negri Sembilan, Melaka and Johor with Singapore.
This will be the last extension for Malaysia and Singapore to finalise technicalities before the project's launch.
The HSR is not only a faster and more convenient mode of medium and long-distance travel, but it is also a catalyst for urban development and trade growth, as seen in several countries.
Take the construction of the South Europe Atlantic HSR that began in 2012 and was completed in 2017.
The project had created 14,000 jobs, generated €1.6 billion in production value, with added revenue of €755 million in three regions.
After the installation of the HSR line that connects Cologne and Frankfurt in Germany in 2001, the gross domestic product (GDP) of the region increased 8.5 per cent faster than if the infrastructure had not built.
Provinces in China with HSR had also observed 25 per cent more revenue than provinces without it.
Due to the immediate and long-term benefits, the United Kingdom has just launched its second HSR project, HS2, connecting London to the West Midlands, the largest infrastructure project in Europe.
In Southeast Asia, the two countries developing a HSR project are Thailand and Indonesia.
Thailand's HSR will link three of its airports, serving as the core infrastructure development for its Eastern Economic Corridor, to lift the country out of the middle-income trap.
Indonesia's HSR aims to connect Bandung and Jakarta. It is estimated to provide 40,000 jobs and anticipated to begin operations next year.
These two nations are constructing the most advanced rail system despite having lower GDP per capita.
Malaysia recorded a GDP per capita of US$10,254 in 2017, higher than Thailand (US$6,578) and Indonesia (US$3,893).
If this is so, we should not be surprised if Thailand and Indonesia overtake Malaysia in the next one or two decades.
Therefore, the HSR in Malaysia has a huge role to play in the country's progress.
Not only will it serve the southern states, but also be the first phase of a larger pan-Asian HSR network in the peninsula, as envisioned by the Kunming-Singapore rail line.
Seeing the HSR as a mere transport mode is underplaying its potential as a catalyst for the country's and region's growth.
JOSHUA WOO
KUALA LUMPUR
The views expressed in this article are the author's own and do not necessarily reflect those of the New Straits Times