Penang to proceed with LRT project

GEORGE TOWN: Penang will proceed with its plan to build a light rail transit (LRT) system from Komtar to Bayan Lepas despite failing to obtain a loan and guarantee for RM2 billion from the Finance Ministry.

Chief Minister Chow Kon Yeow said the project is essential to the development of the state’s economy and the state government will not give up.

“We have several other financial options to fund projects under the Penang Transport Master Plan,” he said in a statement yesterday.

Chow said the state government will continue with efforts to convince the federal government to give priority to finance the project, given Penang’s central role in attracting foreign direct investment for the manufacturing sector.

“This has helped to create jobs for thousands, not only from Penang but for those living in other states in the northern part of the peninsula as well.”

Chow said he had spoken to Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed about the project when they had a discussion on allocations for the 12th Malaysia Plan for Penang last Thursday.

He also reminded the Finance Ministry and Perikatan Nasional government that former prime minister Tun Dr Mahathir Mohamad had stated in a letter to him on Oct 1, 2019 that the bonds of the state government on the project would be guaranteed by the federal government.

The LRT project covers a 29.9km rail route with 27 stations from Komtar to the Penang International Airport. – Bernama