The project is expected to cost Ringgits 23bn ($US 7.08bn) and take five years to complete, inclusive of preparation work, land acquisition and moving utilities.

However, Razak's announcement that the line would run to Selayang rather than Sungai Buloh as initially thought has caused some to question whether an additional depot is required. A 65 hectare depot for Line 1 is currently under construction adjacent to Rubber Research Institute station which was expected to have sufficient capacity for Line 1's fleet of approximately 50 trains and the 50 required trains for Line 2.

The Land Public Transport Commission (Spad) was reported in July to have completed a pre-feasibility study for the Selayang to Putrajaya alignment which was said to be under review by the Ministry of Finance.

The first MRT line, a 51km line from Sungai Buloh to Kajang, construction of which got underway in 2011, is now 50% complete with most of the civil works on course to finish next year. The line is due to open in 2017.

The budget announcement also included a Ringgits 9bn allocation for light metro Line 3 (LRT 3), which will run from Bandar Utama to Shah Alam and Klang. Kuala Lumpur's public transport authority Prasarana says it has started preliminary planning on the project and is awaiting approval from Spad.

It adds that it expects to develop the scheme under a project delivery partner (PDP) concept as it did for MRT Line 1 and expects to call a tender for construction by the third quarter of next year, with the aim of breaking ground by the end of 2015.

MMC Gamuda won the Line 1 contract in February 2012 and under the agreement will receive 6% of the total aggregate work package contract value. Should the cost be less or equal to the target cost, it will receive the full fee. However, the fee would be reduced should the project cost overrun.