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Protests at highway toll end political honeymoon

Several thousand people across the country yesterday demonstrated against the government of Prime Minister Abdullah Badawi, the first public expression of discontent since he took over 13 months ago.

The protests called on the prime minister to cancel a planned 10 per cent increase in toll rates on the 860km North-South Expressway, the country's main road network which is used by 1.2 million motorists a day.

But they also reflected deeper undercurrents of dissent over rising prices and the exploitation of consumers at the hands of well-connected business tycoons.

The demonstrations were organised by a coalition of four opposition political parties, trade unions and consumer associations and took place near major toll plazas in five states.

'Previously, toll rates were raised by about 3 per cent and there was debate in parliament and discussions in the media,' said one of the protest co-ordinators, Badrulhisham Shaharin.

'This time, they [decided to] raise them by 10 per cent, and without any warning. The hike will line the pockets of the crony businessmen connected with ruling National Front politicians.'

The toll-road operator, Plus, is projected to earn M$760 million ($1.56 billion) this year and M$1.95 billion next year when the increase is implemented. The government has exempted Plus from paying profits tax until 2006.

The increase takes effect from January 1.

Opposition leaders will meet Mr Abdullah today to hand over a protest memorandum. Political analysts say public protests are signals that the euphoria surrounding Mr Abdullah and his promises to reform society is evaporating. Mr Abdullah is burdened by an inherited M$40 billion budget deficit that he has sought to cut by raising prices and removing subsidies.

'People in the street can hardly smile when faced with a wave of price hikes,' said an editorial in the influential Chinese daily Sin Chew Jit Poh. The daily said taxis, school buses, land offices, highway operators and housing developers were all raising prices.

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