Reclamation to finally take off
State govt to get more land than planned with Butterworth project
GEORGE TOWN: The long-delayed reclamation of 7km of the coastline in north Butterworth will finally take off with the state government getting even more land than originally planned.
In cold storage since 1999, the reclamation plan will see the state getting 35% of the net saleable area of the reclaimed land instead of the original 5%.
Rayston Consortium (Butterworth) Sdn Bhd (RCSB) will give 90.31ha to the state instead of only 12.9ha, said Chief Minister Chow Kon Yeow after signing a memorandum of agreement (MoA) with RCSB director Datuk Ronnie Lim yesterday.
Asked about the cost of the reclamation, Lim said it might reach RM2bil and the reclaimed land would be used for mixed development to spur the local economy.
The MoA amended several clauses of the Land Reclamation and Resettlement Agreement that was already signed between the state government and RCSB in June 1999.
The original agreement followed a concession agreement between the federal government and Lingkaran Luar Butterworth (Penang) Sdn Bhd to construct, operate, manage and maintain the Butterworth Outer Ring Road.
To allow for land reclamation and relocation of ground tenants, a
In less than 10 years, we will see a new waterfront in north Butterworth facing Penang island.
Datuk Seri Farizan Darus
separate agreement was signed between the state government and RCSB.
RCSB was given the right to reclaim 650ha, of which 243ha was reserved for Penang Port, 10ha for building low and low-medium cost housing for the resettlement of residents and 12.9ha for the state government.
Penang state secretary Datuk Seri Farizan Darus said RCSB would need to deliver the land to the state within six years from the date of commencement of work.
“RCSB will submit its master plan, planning permission application, environmental impact assessment and other documents within six months to enable reclamation work to start within the stipulated time period.
“In less than 10 years, we will see a new waterfront in north Butterworth facing Penang island,” he said.