Penang may ask Federal Govt for RM1 billion loan
GEORGE TOWN: The state government will consider requesting a RM1 billion soft loan from the Federal Government to expedite the implementation of the multimillion ringgit Penang Transport Master Plan (PTMP).
Chief Minister Chow Kon Yeow said the loan would allow the PanIsland Link (PIL) and the light rail transit (LRT) projects to be implemented simultaneously, to ensure the people could start enjoying the new facilities within five to six years.
However, he said no decision were made on the matter as the state had yet to obtain approval for the projects from the related federal agencies.
“The PDP (project delivery partner) has proposed for us to get a bridging loan from the Federal Government so that both components can be implemented together.”
He said it would take 12 years to implement the projects if they were done separately.
“It will be premature to say anything as we must first get approval before talking about other matters,” he after a briefing with Penang members of parliament and assemblymen on PTMP.
The PTMP project, which was announced in 2015, would consist of the LRT system, undersea tunnel and three paired roads.
The project would be funded through the reclamation of three man-made islands, with sizes of 809ha, 526ha and 324ha respectively, for industrial, housing and commercial purposes.
He hoped the approval for all the components in PTMP could be obtained by year end.
During the briefing, Barisan Nasional Sungai Dua assemblyman Muhamad Yusoff Mohd Noor raised concerns about the project due to its expected impact on the environment and the local fishermen community.
Yusoff sought an assurance from the state government that once the project was implemented, the people would fully utilise the LRT instead of using the road.
He questioned the need to reclaim the southern part of the island for the sake of funding the project.
Yusoff said the state government should consider privatising the LRT project, and instead allow the developer to collect money from the people as per usage through concessions.
“Let the developer bear the cost and collect it from the people for specific years as we are doing with the toll collections from the highways,” he added.
Meanwhile, Chow said Penangites had rejected scrapping the PTMP by voting in favour of Pakatan Harapan in the 14th General Election.
Prior to it, he said the opposition parties had supported the move to call off the project during their election campaign.
“However, the people voted against it.
“The answer was clear then, but we are still open to feedback,” he said when asked to respond to an online petition started by nongovernmental organisations to cancel the PIL highway — a key component of PTMP.
It includes a 10km tunnel, which will connect Jalan Gottlieb, the Youth Park, Penang Hill, Paya Terubong and Sungai Ara.
On its effect on the Youth Park, Chow said the project’s contractors would minimise this by only building a cable bridge with two pylons near the area, a move which will reduce the visual impact on the recreational area.