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Chen Ket Chuin Says Phoong Jin Zhe Must Explain His Role in the Sapangar Port Crisis
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Chen Ket Chuin Says Phoong Jin Zhe Must Explain His Role in the Sapangar Port Crisis

Summary

Warisan Supreme Council Member Chen Ket Chuin questioned why Datuk Phoong Jin Zhe is now criticising congestion at Sapangar Bay Container Port despite having been the minister in charge when various assurances regarding port operational improvements were announced to the people of Sabah.

He said the current port congestion crisis is no longer merely an operational issue but a serious failure in governance, monitoring, and accountability that is now significantly affecting manufacturers, exporters, SMEs, and consumers in Sabah.

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KOTA KINABALU: Warisan Supreme Council Member Chen Ket Chuin questioned how Datuk Phoong Jin Zhe can now criticise the worsening congestion at Sapangar Bay Container Port as though he had no connection to the issue.

According to him, Phoong was the minister responsible when the previous government assured the people that measures to improve port operational efficiency were being implemented.

He said the current congestion crisis is no longer merely an operational issue but a serious failure involving governance, monitoring, and accountability.

Chen stated that while Phoong was still serving as minister, the people of Sabah were informed that DP World had introduced various improvement measures, including the addition of three new RTG cranes, the implementation of a Vehicle Booking System to reduce truck congestion, and a port expansion project said to be on track for completion by the third quarter of 2026.

However, he questioned that if all those assurances had truly been implemented, why manufacturers in Sabah are now claiming that port operations are effectively “paralysed”.

He added that if those assurances were inaccurate, then the government must explain why such confidence was given to Sabah’s business community and industrial players.

According to him, Federation of Malaysian Manufacturers Sabah has described the current port situation as paralysed, with serious disruptions involving container transportation, vessel omissions, container rollovers, delays in gate-in and gate-out processes, as well as increased detention and demurrage costs.

He added that Sabah industry players are now being forced to bear additional congestion-related charges, including RM500 for 20-foot containers and RM1,000 for 40-foot containers, in addition to possible extra charges imposed by transport companies.

In simple terms, he said the failure of port operations is now transferring the burden onto manufacturers, exporters, small and medium enterprises (SMEs), and ultimately the people of Sabah as consumers.

Chen said the collaboration with DP World had previously been promoted as a major transformation project supposedly capable of improving port efficiency, handling capacity, trade connectivity, reducing logistics costs, and positioning Sabah as a BIMP-EAGA trade hub.

He also referred to the official website of Sabah Ports, which described the DPW Sabah collaboration as a “transformative collaboration” and a “major leap forward” for Sabah’s maritime and logistics sector.

However, according to him, if the true objective of the collaboration was to improve port capacity and efficiency, then the state government, Sabah Ports Authority, Sabah Ports, and DP World must explain why Sabah industry players are now facing congestion, delays, and additional surcharges instead of the efficiency that had been promised.

He said DP World was brought in to solve Sabah’s logistics cost problems, not to cause local companies to bear even higher costs due to weaknesses in the port system.

He further stressed that Datuk Phoong cannot praise the improvements while in government and later act as though he bears no responsibility when those promises fail to benefit manufacturers, exporters, and consumers in Sabah.

According to Chen, the public has the right to know the actual amount of capital investment injected by DP World into Sapangar Bay Container Port and whether the promised improvements involving machinery, cranes, transport trucks, and operational systems have truly been fully implemented.

He also questioned whether the Vehicle Booking System has been implemented effectively and whether the performance KPIs imposed on DP World have genuinely been achieved.

At the same time, he questioned the actions of the state government, Sabah Ports Authority, and Sabah Ports in protecting industry players from being subjected to what he described as unreasonable congestion surcharges.

He said Sabah’s ports are the backbone of the state economy, and if the port system fails to function properly, Sabah’s industries will suffer, exporters will lose competitiveness, SMEs will face higher costs, and the people of Sabah will ultimately face rising prices of goods.

In this regard, Chen urged the state government to immediately review its collaboration with DP World, disclose the actual progress of the promised investments and improvements, suspend unreasonable congestion-related charges, and ensure Sabah industry players are no longer forced to bear the consequences of port management failures and weak government oversight.

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