AG's report: Khaled to address LCS project issues in Parliament today

HULU SELANGOR: Defence Minister Datuk Seri Mohamed Khaled Nordin will address issues concerning the navy's Littoral Combat Ship (LCS) project in Parliament today.

"If it is regarding the LCS issue, yes, I will be going to Parliament today to answer them this afternoon," he said when met after a working visit to local defence firm High Point Worldwide Sdn Bhd here today.

On Monday, the Auditor-General's Report 2/2026 found that the LCS project was 7.55 per cent behind schedule as of June 25, putting the physical handover of LCS 1 at risk.

This was due to the Naval Strike Missile Launcher System remaining outstanding following the permanent cancellation of its export permit by the Norwegian government.

The Defence Ministry, in response to the report, said LCS 1 would not be able to operate at full capability without the system installed, although it could consider a conditional handover while the contractor remained contractually obligated to install and integrate it.

Auditor-General Datuk Seri Wan Suraya Wan Mohd Radzi said the delay of between 30 and 108 days could affect the earliest scheduled handover on Aug 26, or the revised target of Dec 26.

She said LCS 1 would not achieve full capability if handed over before its training and weapons systems were completed, while delays to the first ship would also affect the handover schedules for LCS 2 to LCS 5.