KUALA LUMPUR - Malaysia has cancelled RM435 million (S$146 million) worth of unpaid traffic summonses issued under its controversial Automated Enforcement System (AES) introduced in 2012.
Transport Minister Anthony Loke said on Friday (Aug 17) that no new summonses will be issued until Sept 1, which is the date the Road Transport Department (RTD) takes over the traffic camera system.
"I was informed... that next week is Hari Raya Korban (the Muslim festival of sacrifice). So all summonses issued to date are cancelled in the spirit of sacrifice," he told reporters on Friday.
Mr Loke said the AES deal which was contracted out in 2012 to two private companies - Beta Tegap and ATES - was "lopsided" as the companies received RM16 for each summons issued as well as 50 per cent of the fines collected.
After the concession fuelled public backlash, the previous Barisan Nasional (BN) government took over the two firms in 2015, using RM555 million from the Armed Forces Fund Board (LTAT).
"They had no assets besides 40-odd cameras," Mr Loke said, referring to the companies.
A total of 3.1 million AES summonses have not been settled as of May, each compoundable with a fine of RM150. Mr Loke estimated that there could be as many as 3.3 million unsettled summonses currently.
"I want to take this opportunity to apologise to those who have paid. About 18 per cent of the 3.76 million summons have been settled since 2012. I ask that in the spirit of sacrifice, they also sacrifice as the government is unable to refund," he said.
But he warned that the cancellation was "one-off" and there will be no further "exclusions or discounts" in future, as traffic laws will be strictly enforced.
Mr Loke also announced that the Cabinet has agreed to refund LTAT - which manages pensions for servicemen - the sum paid to take over Beta Tegap and ATES.
"Taking into account the welfare and interest of members of the armed forces... the RM555 million will be returned in stages after negotiations with the Finance Ministry," he said.
The minister said the government will no longer be bound by a previous agreement to install 1,000 cameras. However, a study will be carried out to determine accident-prone areas, and open tenders called to supply traffic monitoring equipment in those areas.
Although no AES summonses will be issued in the next two weeks, the Seremban MP asked the public "not to speed and treat our highways like a Formula One racing track".
