Parking in Selangor has been managed by private companies (concessionaires) since 1996. As of June this year, five local councils (PBTs) still use concessionaires for parking.
Selangor will officially roll out a new system on Aug 1, which aims to improve how parking is managed. The state is introducing a Smart Intelligent Parking (SIP) system that involves Selangor Menteri Besar Incorporated (MBI) in the process.
Datuk Ng Suee Lim, who chairs the State Local Government and Tourism Committee, said the new approach aims to strike a balance between the benefits and drawbacks of privatisation.
The plan was first discussed during the State Executive Council Meeting in November 2024 and confirmed in December. Later, in April 2025, it was decided that a company under MBI called Rantaian Mesra Sdn Bhd would lead the Smart Parking system in Selangor.
This new model involves a partnership between three parties, the local council, the concessionaire and Rantaian Mesra. The local councils will set the policies, parking zones, and rates. Rantaian Mesra will manage the technical side and reporting. The concessionaire will handle system upkeep and staff salaries.
A formal agreement will be signed between the local council, the concessionaire, and Rantaian Mesra to clearly define everyone's roles and responsibilities.
The concessionaire will invest RM200 million to develop the Smart Parking infrastructure. This includes installing 1,800 CCTV cameras across four councils in the first phase.
Despite the changes, enforcement will still be carried out by local council officers, as required by Malaysian law. The private companies will not be allowed to issue fines or enforce rules.
Local councils will not have to pay to run the system. Instead, they are expected to see better revenue from parking collections.
Source: MalayMail
