KUALA LUMPUR, April 6 – National broadcaster Radio Televisyen Malaysia (RTM) paid RM103.14 million to Telekom Malaysia Berhad (TM) for broadcast network and maintenance services even before the official signing of agreement. According to the 2014 Auditor-General’s Report, the overall management of the contract was good. However, the following were the weaknesses found:
– There was a delay in signing the contract by 21 months from the issuance of the Letter Of Offer
– There was no Technology and Training Programme implemented by TM to government technical representative in 2012 and 2013.
– TM had issued a bill for electricity charges in Station Bukit Lima, Sarawak, amounting to RM0.16 million (until July 2014), which was 20.2% higher than electricity charges imposed by the service provider
– For the second quarter of 2014, a total RM0.12 million, or 28.4%, was paid to TM which exceeded the actual amount for letting the floor and land
The report urged the Ministry of Communications and Multimedia and RTM to revise and update the terms of contracts to suit current circumstances and operations, to ensure provisions of the contract in the future is in compliance with the rules in force to safeguard government’s interests and ensure that work details are prepared for the best value for money.
RTM has been using the network and maintenance services of TM since 1964. The total agreement for the provision of the broadcast network and maintenance services, which amounted to RM220.15 million for the period of four years from 2012 to 2015, is a continuation from the previous contract. An amount of RM13.76 million will be paid quarterly for services of network system for new stations, FM radio, submarine cable system (SKDL), video news gatherings services (VNGS) and transmitter maintenance rendered.