PUTRAJAYA - Train services and railway coverage in Malaysia are set for a facelift with the leasing of 62 new passenger train sets from China by 2027, said Transport Minister Anthony Loke.

He said that the leasing is part of the first phase of a government-to-government (G2G) initiative and added that the estimated RM10.7bil ($2.42 billion) cost will be covered in installments over a 30-year lease period.

Loke added that the initiative is aimed at addressing the current challenges of train availability and reliability, especially for the ETS and KTM Commuter services as only 68 reliable train sets are currently in operation.

The new leasing arrangement with China's CRRC - a leading railway manufacturer with presence in Malaysia - will help upgrade the KTMB rail network and prevent further deterioration of service quality, he added.

ALSO READ: China, Malaysia eye closer relations

“The 62 new passenger train sets in Phase One will consist of 36 three-car set (3CS) electric multiple unit (EMU) sets, 12 six-car set (6CS) EMU sets and 14 6CS diesel multiple unit (DMU) sets,” said Loke.

He said this during a joint press conference with Economy Minister Rafizi Ramli at the Transport Ministry here on Wednesday and added that the lease would all maintenance, repair and overhaul (MRO) by the train supplier.

 “Scheduled maintenance performed by the original equipment manufacturers (OEM) will ensure high availability and reliability of the train sets, leading to more efficient and safe train operations for the public," said Loke.

He added that the leasing method also allows for faster procurement compared to regular train purchases.

ALSO READ: PM: Malaysia-China relationship strong and fruitful

“This is expected to increase track utilization from the current 30 percent to 45 percent by 2027,” he said.

Meanwhile Rafizi said that currently, 70 percent of the total passenger rail capacity in peninsular Malaysia is underutilized with only 68 passenger trains operating nationwide.

 “To achieve 80 percent railway track utilization in Peninsular Malaysia by 2030, the government has developed a phased plan to increase passenger train services across Malaysia from 2024 to 2030, targeting the operation of 299 passenger trains nationwide,” he said.

Rafizi added that the initiatives identified in this plan will be implemented in phases, ensuring an orderly approach aligned with the country’s economic and development goals.

“This effort will be a key focus of the 13th Malaysia Plan, which will be introduced next year,” he said.