Prime Minister Datuk Seri Najib Tun Razak today witnessed the signing ceremony of a memorandum of understanding (MoU) for construction of the 1,090-kilometre Pan Borneo Sarawak Highway involving the Federal government, Sarawak state government and Lebuhraya Borneo Utara Sdn Bhd (LBU).

LBU was appointed the Project Delivery Partner (PDP) to manage and supervise the implementation of the highway.

According to Road Works Minster, Datuk Seri Fadillah Yusof, with the inking of the MoU, the construction of phase one of the highway will begin in early September.

“The construction of the highway will be finalised after the completion of the final research and comprehensive design,” said Najib, adding that the choice of contractor will be done through tender process.

“This highway will not be charged any toll as it functions as the main route which connects the whole of Sarawak. Toll will be charged only if there is an alternative route,” said Fadillah, when met during the MoU signing held in Putrajaya, today.

The MoU was signed by the Secretary-General of the Ministry of Works, Datuk Seri Zohari Akob; Sarawak State Secretary Tan Sri Mohamad Morshidi Abdul Ghani and LBU chairman Tan Sri Abang Ahmad Urai Hakim Abang Mohideen.

Also witnessing the signing were Sarawak Chief Minister Tan Sri Adenan Satem, Chief Secretary to the Government Tan Sri Dr Ali Hamsa and Works Minister, Datuk Fadillah Yusof.

Adenan lauded the construction and viewed it as a strategic move for the people in Sarawak.

“This would increase economy activities and construction projects in Sarawak. What North-South Highway in Semenanjung was capable to do is similar on what this highway would do to the folks in Sarawak and Sabah,” he added.

The highway will cover 33-kilometre from Telok Melano to Sematan and connects the main cities around Sabah and Sarawak.