MoE accused of non payment for diesel provision for 369 rural schools in S’wak

Documents stated that MoE has not paid a single sen to Jepak Holdings for the latter's service in diesel provision and generator set maintenance since January 2018.

By Adrian Lim

KUCHING, Feb 27: Jepak Holdings Sdn Bhd (Jepak) is calling on the Ministry of Education (MoE) to expedite the payment to the company for the subcontract works of supplying  diesel and generator maintenance for 369 schools in the rural areas.

In a document sighted by Dayak Daily dated February 27, Jepak’s project director Abdul Basit Prachia said the MoE has not paid a single sen to the company for work done under the proposed implementation of hybrid photovoltaic solar system integrated project and maintenance as well as the operation of generators and provision of diesel for 369 schools worth an estimated amount of RM1.25 billion through direct negotiations with the Ministry of Education earlier.

He pointed out that the non payment has affected the livelihood of hundreds of staff and families who are working for the company while many subcontractors, who are rural businessmen are on the verge of bankruptcy.

“It cannot be denied that tens of millions of litres of diesel was delivered to the rural schools as certified by the school headmasters and district education officers.


“Teams of mechanics, as certified by the school headmasters and district education officers have maintained more than 700 gensets to their best abilities and more than 350 operators have faithfully, served and operated the gensets in more than 350 rural schools.

“However, the Ministry of Education have since January 2018 make excuses after excuses which are unfounded and groundless to not make a single payment without regard to the hundreds of businesses, workers and families affected by this action.

“We have on February 10, 2019 served the Government of Malaysia, a sealed copy of our application for summary judgement together with exhibits and evidence of unpaid works and services relating to the contract for the total amount of RM667.12 million.

“For the works of diesel supply and genset maintenance, we are claiming an unpaid amount of RM319.30 million,” he said.

He pointed out that based on the contract agreed with the MoE, the diesel generator sets and diesel fuel remains the property of Jepak until the payment is made. As a result, all the diesel generator sets in schools will not be able to be utilised by the schools.

Abdul Basit noted that more than 30,000 rural students and 4,000 teachers will be affected by the order.

Nonetheless, he asserted that the company is willing to accept reasonable payment from the MoE to ensure that the rural students in Sarawak and their teachers can continue to have access to electricity if the federal government is not able to provide the claim amount in full. — DayakDaily