High speed rail proposal by YTL unlikely to get rewarded

From the Edge:

SINGAPORE (May 5): Singapore and Malaysia are reassessing a 2020 target for the completion of a high-speed rail project linking the two countries because of the scale and complexity of the venture.

A new timeline will be available by the end of the year, Singapore Prime Minister Lee Hsien Loong said at a joint press conference with his Malaysian counterpart Najib Razak in the city state Tuesday. The initial target needs to be studied as it will take at least two years to design and put out tenders for the project and another five for construction, Najib said.

The proposed rail line linking Singapore and Kuala Lumpur will reduce the 300-kilometer (180-mile) journey over land to 90 minutes from about five hours. Leaders of the two countries announced in 2013 the rail link may be completed by the end of this decade, with Najib calling it a “huge game changer” that will transform the way the neighbors do business.

The HSR project is certainly ambitious by YTL.  But unfortunately too many people will try to bank on YTL getting the project as they proposed it.  It's poor judgement for two reasons:

1.  HSR is extremely complicated and takes two countries to collaborate.  It's doable, but its hard.  The timeline got pushed back as a result.

2.  YTL may not even get the project.  In Malaysia, its all about the best deal or best connections.  Here we are talking about Sunway, Gamuda, and IJM.  YTL has a high chance not to get anything.

The major benefactor of these projects are probably the cement companies.  I suppose YTL does benefit but not on the scale that construction companies will.