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NHS to ensure a centralised public and affordable housing industry

October 17, 2021 By Keith Leave a Comment

A really good post on Malaysia.

The Local Government and Housing Ministry is currently conducting an extensive research on the proposed National Housing Corporation (NHC).

Its minister Datuk Seri Reezal Merican Naina Merican said the objective to have the NHC was to ensure a centralised and standardise public and affordable housing industry for easier monitoring.

“Currently, we have 15 different agencies handling public and affordable home matters.

“We want to consolidate all the 15 agencies under NHC to secure more targeted strategies,” he told a press conference after presenting the Ideal Residency affordable housing offer letters to the eligible applicants today.

Reezal Merican said RM3 million has been allocated for the extensive research of NHC.

“The period for the research is two years,” he said.

Separately, he said that he planned to proposed to the Federal Government to consider a MyHome 2.0 scheme.

“We need the Federal Government’s intervention or a facilitation fund to encourage developers to build more affordable homes,” he said.

Chief Minister Chow Kon Yeow welcomed the minister’s effort to consolidate the various Federal Government agencies that were handling public and affordable home matters.

“We hope that the ministry will also engage the stakeholders and consider their views. The Penang government is willing to cooperate and provide its input,” he said.

In his speech, Chow said the percentage of bank loan approvals for the year 2020 has reduced as compared to 2019.

“According to the HousingWatch.my portal, the percentage of bank loan approvals has decreased by 1.1% last year. It was 72% as at December 2020 as compared to 73.1% in 2019. This is the nationwide phenomenon.

“As for Penang, the percentage of bank loan approvals for the year 2020 has reduced by 1.2% last year. It was 73.1% as at December 2020 as compared to 74.3% in 2019,” Chow said.

Chow hoped that the Federal Government and the bank institutions could jointly address the matter.

State Local Government, Housing, Town and Country Planning Committee chairman Jagdeep Singh Deo renewed the state’s commitment not to increase the price for low-cost (LC) and low medium-cost (LMC) homes.

“We want the Local Government and Housing Ministry to look into the matter.

“This is because there are states that have increase the price of their LC and LMC homes.

“We have to protect the people. That is our job,” he said.

Jagdeep thanked ministry for planning to build two People’s Housing Projects (PPRs) in Penang.

“I hope that the ministry can reconsider building five PPRs in Penang. Penang does not only consist of the island and the mainland, it consists of five districts,” he said.

Also present were Bukit Gelugor MP Ramkarpal Singh, Deputy State Secretary (Development) Datuk Azhar Arshad, PR1MA Malaysia chief executive officer Datuk Mohd Nazri Shariff and Ideal Property Group chief operating officer Datuk Goh Teng Whoo.

Source: Buletin Mutiara

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Penang to seek RM100m allocation from Fed Govt for housing needs

August 28, 2021 By Keith Leave a Comment

A really good post on Penang Malaysia.

Construction of The Zen affordable housing project in progress.

Penang will seek the help of new Housing and Local Government Minister Datuk Seri Reezal Merican Naina Merican to provide affordable housing for its people and also an allocation of RM100 million for its maintenance programme for 2022.

State Local Government, Housing, Town and Country Committee chairman Jagdeep Singh Deo said he would be sending a letter to Reezal Merican today, explaining the state’s priority for affordable housing and the need for the Federal Government to play its part.

Jagdeep Singh showing the letter he would be sending to Reezal Merican requesting for Federal housing aid. Also present are Ainul (right) and Tan (second from left).

“Although we are a small state, we pay the most tax. So, we deserve to be given affordable housing.

“We’ve done a lot (for housing). But where are the units from the Federal Government?” Jagdeep said after making a spot check at the ‘The Zen’ affordable housing project in Bayan Mutiara today.

Jagdeep speaking to some of the construction workers and officers when conducting a spot check at The Zen affordable housing project.

Among those present were Penang Housing Board general manager Ainul Fadhilah Samsudi and Asia Green Group director Tan Li Mei.

Jagdeep said he hoped to have a meeting with Reezal Merican to continue a strong relationship as he has had with Reezal’s predecessor Datuk Zuraida Kamaruddin. Reezal Merican held the Youth and Sports Minister’s post previously while Zuraida is now the Plantation, Industries and Commodities Minister.

“Penang has spent nearly RM300 million for the maintenance of public and private (low-cost and low medium-cost) housing schemes. The money is spent on upgrading lifts, changing leaking roofs and water tanks.

“We thank the Federal Government for allocating nearly RM30 million previously and for next year, we have requested for RM100 million allocation. And we would like to know how much will be allocated to Penang.

“Our letter will include several other housing issues, including the urban regeneration programme,” Jagdeep said.

He said the state government aims to build 220,000 low-cost, low medium-cost and affordable units for the people of Penang by 2030 in line with the Penang2030 vision for a ‘Family-Focused, Green and Smart City that Inspires the Nation’.

To date, he revealed that 120,000 such units have been built in the state.

Construction of The Zen affordable housing project in progress.

The Zen housing project, which is being developed by Asia Green Properties Sdn Bhd, will have a total of 1,200 affordable units. Each unit is 850sq ft, costing RM300,000 and above.

Tan said the ongoing Covid-19 pandemic has disrupted construction works for The Zen project.

“We had earlier planned to complete the project by the end of 2022 but with the unpredictability of the Covid-19 situation, the construction may be completed by the beginning of 2023.

“The construction is not just hampered by the lockdowns but even when we are able to operate, we have difficulties in getting the supply of materials because some industries were still not functioning.

“The Zen is now approximately 40% complete. It’s not that we want to delay it and we hope the buyers will understand the challenges we are facing too,” Tan said.

Source: Buletin Mutiara

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Desa Bayan apartment to receive RM123,000 for repair works under TPM80PP

August 10, 2021 By Keith Leave a Comment

An interesting post about Penang.

The Penang government has spent a total of RM281.7 million for the maintenance works in public and private housing schemes in the state since 2008.

State Local Government, Housing, Town and Country Planning Committee chairman Jagdeep Singh Deo said the amount spent was up to July 31 this year.

He said the total spending included maintenance works under public housing scheme; maintenance works under Penang Island City Council (MBPP) housing scheme, maintenance works under Seberang Perai City Council (MBSP) housing scheme and Penang Maximum 80% Maintenance Fund (TPM80PP).

“Generally under TPM80PP, a total of RM45.24 million has been spent.

“This involved various works that have been carried out for 479 projects, like upgrading of flats’ lifts, replacement of water tanks, replacement of roofs, painting, road paving and others.

“The state also hopes that the Federal Government can assist the state in this maintenance works’ projects.

“We appeal for their kind consideration in order to assist the needy staying in the flats,” he told reporters after visiting Desa Bayan apartment in Bayan Lepas yesterday.

During the visit, Jagdeep announced that the state has approved the repair works for five lifts in Desa Bayan apartment.

“This 21-year-old apartment has five blocks with a total of 720 units.

“The residents here have been facing this long-standing problem. Hence, I am happy to announce that the state will bear 80% of the RM123,000 repair cost.

“The remaining 20% will be borne by state Entrepreneurial Development, Trade and Industry Committee chairman Datuk Abdul Halim Hussain, who is also the Batu Maung assemblyman,” he said, adding the repair works, which are scheduled to start this month, would take about 16 weeks.

Abdul Halim, who was present, noted the plight of the residents staying in the apartment, especially with the ongoing Covid-19 pandemic.

Source: Buletin Mutiara

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Support Local Eateries & Give Back To The Community With Chiak-Rity Campaign

July 19, 2021 By Keith Leave a Comment

An informative article on Malaysia.

Although eateries are allowed to operate during lockdowns, it hasn’t been easy. With no dine-in allowed for the past couple of months, many eateries in Penang (and generally, Malaysia) have been suffering from low sales figures. As an owner of an eatery, one must not only ponder the ways of sustaining a business but he/she must also ensure the livelihood of the team.

Barley Beancurd — Photo: Bricklin Cafe & Bar (Instagram)

There are many reasons why it may be very difficult for eateries to operate during lockdowns. Some of the reasons may include

Most of us are eating at home to save money for rainy days,
Costs required to participate on food delivery platforms,
Costs of reaching out to customers on social media platforms and
Operational costs such as rental and electricity bills.

Operating a business in a midst of an economic downturn and pandemic is not easy. That’s why working together is so important. Eateries are coming together in order to put the community first with Chiak-Rity Campaign. Not only this heartwarming charity campaign will be helping the community, but you will be able to ensure that your favourite hawker, cafe, bakery, and restaurant will be around for years to come.

Eateries In Penang Are Coming Together For Chiak-Rity

federal government — Photo: Penang F&B Group

Initiated by the owner of Bricklin Cafe Bar, Rizal, Chiak-Rity campaign has the objective of providing hundreds of essential packs to the community. Some of the participating eateries include Macallum Connoisseurs, 無辣不歡 Mala Xiang Guo, Soul Cafe, Yin’s Sourdough Bakery, James Foo Western Food, among 40 more eateries in Penang. These eateries will be contributing an amount to gather these essential packs.

International Association of Lions Clubs — Photo: Lions Club of Georgetown Central (Facebook)

According to the association, there will be two dates for the distribution of essential packs, 15th August 2021, and 16th September 2021. It has the aim of giving back a minimum of 300 essential packs during the first round. Each essential pack is worth RM50 each. To ensure the charity campaign is completely transparent, the association will be working with Lions Club Association for distribution.

How Can We Help Chiak-Rity?

Not only we will be helping the community, we will be helping the eatery to sustain, and also enjoy some delicious food along the way. To support these eateries and their heartwarming initiative, simply head down to the participating outlets to purchase something off their menu. While you’re at it, make sure that the item is non-discounted. Keep your eyes peeled, as some of these eateries may even have a special menu for this campaign.

Here is a full list of participating eateries for Chiak-Rity (in alphabetical order):

The list includes their Halal status, and bestselling items on the menu of respective eateries.

Local / Fusion Food

3 Leg Cat Cafe – Non-Halal – Grill Fish Fried Rice, Nasi Lemak, Salmon Treasure Bowl.
Golden Bowl – Pork Free – Milky Cheese Noodle, Milanese Chicken Chop, Nasi Lemak Rempah Kao Kao.
Homecafe 家Penang – Non-Halal – Nasi Lemak, Salted Egg Chicken Chop , Laksa.
Little Oasis Cafe – Non-Halal – Bento Meals, Oasis Chicken, Almond Fish.
Penang Road Famous Laksa – Non-Halal – Penang Laksa.
Shallots – Non-Halal – Shallots Fried Chicken, Volcano Pork Steak , Gulai Tumis Fish.
The Shark Food Court – Non-Halal – Hokkien Mee, Wantan Mee, Curry Mee.

Little Oasis Cafe — Photo: Canning Dim Sum Express (Facebook)

Chinese Food

龍鬚麵 Dragon Noodle – Non-Halal – Collagen Wine Soup Dragon Beard Noodles, Mala Xiang Guo.
無辣不歡 Mala Xiang Guo – Non-Halal – Mala Hot Pot, Mala Soup, Mala Dumpling.
肥仔煲 Quay Pot – Non-Halal – Fish Head Bee Hoon, Seafood Porridge.
Ah Ma Pan Mee 阿嫲刀麻切 – Non-Halal – Dry Panmee, Original Panmee (Soup), Fried Pork Belly Rice.
Ah Soon Ma Cafe – Non-Halal – Slow Braised Vinegar Pork Trotter, Nyonya Curry Chicken , Assam Curry Fish.
Aunty Q – Non-Halal – Signature Siuyuk Lard Rice, Pork Lard Rice with Luncheon Meat, Mama Sesame Oil Chicken Rice.
Bite Me Dessert – Pork Free – Bubur Cha Cha, Barley Beancurd, Bi Koh Moi, Beauty Crystal Ice Jelly.
Canning Dim Sum Express – Halal – Dimsum, Char Hor Fun, 2C+ Ipoh White Coffee.
Holy Crab – Pork Free – Bake Crab, Chili Crab, Big Fresh Oyster, Platter Combo.
Ipoh Oon Kee Tauge Ayam – Pork Free – Ipoh Famous Steamed Chicken
Jiashi Restaurant & Cafe – Non-Halal – Egg with Bittergourd, Mango Pomelo.
Journey2Life Vegetarian Restaurant – Non-Halal – Signature Hor Fun, Curry Hedgehog Mushroom.
Tong Seng Roasted House – Non-Halal – Roasted Set, Set Rice, Noodle, Porridge.
Xiao Long Kan – Non-Halal – Single Hotpot.

Mala Xiang Guo — Photo: Navy Specialty Coffee (Facebook)

Western Food

Bricklin Cafe Bar – Halal – Aroy Mak Thai, MR Chicken Burger, Shashouka, Pilaf Rice Poke Bowl.
Burger Society – Halal – Gourmet Burger.
Crepe Cottage – Halal – Flamed Citrus Grilled Chicken, Crepe Cottage Grilled Lamb, Pan-seared Seabass.
Heap Seng at 29 – Non-Halal – Fresh Live Oysters, Tacos, Grilled Prawns Arabiatta, Hot Wings.
James Foo Western Food – Non-Halal – Chicken Chop, Chicken Gordon Bleu, Stuffed Fish.
Macallum Connoisseurs Coffee – Non-Halal – Signature Aglio Olio, Pork Burgers, Coffee.
Navy Specialty Coffee – Non-Halal – King Prawn Aglio E Olio, Curry Roast Pork Pasta.
Olivia’s Restaurant – Pork Free – Peri-Peri Chicken, Hickory Lamb Shoulders, Honey Glaze Roasted Chicken.
Pit Stop No. 12 Cafe – Non-Halal – All Day Breakfast , Curry Capitan Chicken , Spicy Olio Pasta.
Soul Cafe – Non-Halal – Linguine al Carbonara, Spaghetti Al Pencetta, Chicken Parmigiana.
The Pharm Hut – Vegetarian – Probiotic Kefir Sodas, Kefir Yogurt, Healthy Vegetarian Food.
Viking Steakhouse – Non-Halal – Australian Chilled Grain Fed Ribeye, Braised Lamb Shank, Chicken Schnitzel.

Nasi Lemak — Photo: Blue Chang Modern Thai Cuisine (Facebook)

Thai Food

Japanese Food

Sugar Tang – Pork Free – Japanese Curry Rice, Omurice, Salmon Mentaiko Don, Fried Chicken.

Soul Cafe — Photo: Hanjan Soju Eatery Bar (Facebook)

Korean Food

Daseo – Pork Free – Cheese Chicken Cube, Korean Fried Chicken, Rampokki.
Hanjan Eatery Soju Bar – Non-Halal – Meat Platter, Buldak, Clams.

Spaghetti — Photo: Yin’s Sourdough Bakeryv (Facebook)

Bakery

Beverages

Pacific Coffee – Non-Halal – Coffee, Cakes, Pastries.
Soyatec – Halal – Japanese Soymilk, Nigari Tofu, Cold Pudding, Taufa, Okara.
U-Soya – Halal – Soya, Hot Tau Fu Fah, Cold Tau Fu Fah.

Should there be any new participating eateries, this list will expand!

Chiak-Rity Begins From 16th July 2021 Onwards

This wonderful campaign starts from 16th July onwards, and it lasts until the second distribution on 16th September 2021. To simply help out, get yourself involved by simply supporting these eateries directly. Who knows? Perhaps while doing some ‘chiak-rity’ work, you will find a new favourite eatery. What do you think about this initiative? Let us know in the comment!

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Sunny Ville Condo will be allocated RM376,200 for maintenance work under TPM80PP

July 18, 2021 By Keith Leave a Comment

An interesting article on Penang.

Sunny Ville Condo will be allocated RM376,200 for maintenance work under TPM80PP

sunny-ville-maintenance-approval

The state government, through its Penang Maximum 80% Maintenance Fund (TPM80PP), has approved the application for lift replacement work at the Sunny Ville condominium in Batu Uban.

According to Jagdeep, the TPM80PP fund also caters to the eligible private housing schemes.

“Since the condominium does not fall under the low-cost or low medium-cost category, it is only entitled for a 60% of assistance from the state government.

“Out of the total cost of RM627,000, the state government will be allocating RM376,200 for the project and the balance will be borne by the residents.

“Our main objective of helping various housing schemes in the state with their maintenance work is to help ease their burden, especially during this challenging time.

“Till date, the state government has approved a total of 283 applications from various housing schemes involving 479 projects of various maintenance works costing RM276.4 million,” Jagdeep said during his visit to the Sunny Ville condominium today.

Jagdeep added that the state government has also received RM32 million (as of January) from the Federal Government for the maintenance work at various housing schemes.

“We hope that the Federal Government will keep assisting the housing schemes in Penang with the maintenance work. And we also look forward for their continuous cooperation on this matter,” he added.

Meanwhile, Batu Uban assemblyman A. Kumaresan expressed his gratitude to Jagdeep for attending to needs of the residents in his constituency.

“We have around 130 stratified homes in the neighbourhood of Batu Uban, whereby a total of 20 maintenance projects costing RM2.4 million were approved in this constituency.

“I hope that the state government will continue carrying out the good work so that more Penangites at various housing schemes will benefit from it,’’ said Kumaresan

Source: Buletin Mutiara

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Old Penang ferries will be back for pleasure cruises soon

June 23, 2021 By Keith Leave a Comment

An informative article about Penang Malaysia.

Old Penang ferries will be back for pleasure cruises soon

penang-ferry

Those who miss the old Penang ferries that were retired earlier this year will get a chance to ride on them again this year – on pleasure cruises.

The Penang Port Commission, the federal government body that owns the ferries, said today several companies have been given a 10-year lease contract to manage the five vessels.

Of the five vessels, one will be a floating museum, two will be restaurants and the other two will be used for pleasure cruises.

PPC chairman Tan Teik Cheng said the companies were selected as part of a request for proposal exercise which began on Jan 29.

The companies were also given an option to extend their lease for another five years on top of their 10-year lease.

The ferries will be handed over to them from July 1.

“We would like to ensure that these five iconic Penang ferries continue to be seen in our waters and continue to be a tourism pull for Penang and stimulate the state’s economy,” he said when contacted.

Tan said there were originally six old ferries in the fleet, with one of them given up to the state government.

The old ferries were retired before the vehicular-cum-passenger ferry service was ended earlier this year to make way for fast boats.

Source: FreeMalaysiaToday.com

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Unused commercial buildings away from housing schemes may be converted into worker dorms

June 7, 2021 By Keith Leave a Comment

A great article on Penang.

Aerial view of Bayan Lepas FIZ

Looking at the grave Covid-19 situation, the Penang government is ready to help expedite applications to turn vacant commercial buildings (away from housing schemes) into worker dormitories and also help expedite the application process to set up temporary worker dormitories at factory grounds.

State Local Government, Housing, Town and Country and Planning Committee chairman Jagdeep Singh Deo said there were presently 15 applications – two from the island and 13 from the mainland – for the establishment of worker dormitories.

He said three quarters of the new clusters in Bayan Lepas came from the industrial areas.

“We need to up the ante to ensure that the foreign worker dormitories are sited in proper liveable conditions that are contained and controlled,” Jagdeep told a press conference after conducting a standard operating procedure (SOP) compliance check on the Church of the Immaculate Conception in Pulau Tikus today.

“Otherwise this Covid-19 pandemic will continue.

“To build a dormitory will take a normal process of three years or four years. Because of that, Penang has a new approach. We are looking at unoccupied commercial buildings which are far away from housing schemes.

“The whole idea is to get them (foreign workers) out of housing schemes so that they can be controlled in a certain area, but in very good living conditions.

“So, we have two ways. One is to find commercial buildings which are far away from housing schemes. There are now quite a number of unoccupied commercial buildings, especially during this Covid-19 period. And we assist by entertaining applications for conversion into commercial lots for dormitory purposes.

“The second way is that we are considering applications from those big factories which have available land at their plants to build temporary worker dormitories.”

Jagdeep said two worker dormitories had so far been built in Penang, one in Batu Maung and the other in Bukit Minyak, catering to 6,221 beds.

He added that seven other schemes were ongoing which would provide a total of 61,918 beds while two more applications to provide a total of 10,700 beds, were in the process of consideration.

“In all the 11 schemes, we would have a total of 78,839 beds. But this is not enough. In Penang, we have about 200,000 foreign workers and we have not even reached 50%. We still got a lot of work to do,” Jagdeep said.

On the SOPs at the church, Jagdeep said he was satisfied with the measures taken and their compliance rate.

“It’s very unfortunate that the church doors have to be closed, just like other religious bodies. Only 12 people are allowed to be at the places of worship during this MCO.

“We all need to pray together as a family to win this war over Covid-19. This virus does not care what your religion is. We need to pray hard and overcome it.”

Jagdeep also called upon Penangites who have not registered for vaccination to do so and also urged the Federal Government to expedite the supply of the vaccines to all states.

Later, Jagdeep presented some 100 packets of essential items to Penang Eurasian Association president Datuk Aloysius Gasper for them to be distributed to their members during this challenging time.

Also present at the press conference were Pulau Tikus assemblyman Chris Lee Chun Kit, and police representatives and Penang Island City Council (MBPP) enforcement officers.

Source: Buletin Mutiara

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SRS Consortium explains the funding of new island reclamation

May 26, 2021 By Keith Leave a Comment

A great article on Malaysia.

– A letter from SRS Consortium to FMT

First, we would like to reiterate that for both the Penang Transport Master Plan (PTMP) and the Penang South Islands (PSI) reclamation projects, it is the state that is the asset owner.

As the asset owner, the state has to “take into consideration the need to adequately fund the PTMP and reclamation costs” and “consider the matching of supply of these lands to balance with demand from the market”.

This statement clearly highlights that under the project delivery partner model of the RFP, the state is indeed the ultimate funder of both the PTMP and the PSI projects, and apart from assuming all the financing risks, it also has to contend with the full assumption of market risks in selling reclaimed land real estate.

Upon the formation of the Pakatan Harapan federal government in 2018, the state had a renewed belief that it would be able to obtain federal government allocations and/or loan guarantees to fund its PTMP components, just like how other states had similarly benefitted for their own transport infrastructure.

For example, the LRT systems within Selangor’s borders and the Pan-Borneo highways in Sabah and Sarawak.

Subsequently, in early March 2020, the RM10 billion loan guarantee that was promised for the state’s LRT was withdrawn.

Nonetheless, the state still took the view that:

It would pursue with the federal government for the LRT loan guarantee to be reinstated given that it is purely a development expenditure for social needs of its rakyat; AND
The reclamation of the first island of PSI (Island A) must proceed forthwith to provide a pivotal addition and extension to the state’s E&E hub in Bayan Lepas, and attract E&E foreign investors – in doing so, there would be an influx of foreign direct investments (FDI) and tremendous job creation for Penangites, especially among the highly skilled.

To achieve the second objective of kick-starting the PSI Island A reclamation as a major economic impetus for Penang state, especially as a post-pandemic economic stimulus, it was agreed that a joint venture be formed between SRS and Penang Infrastructure Corporation (wholly owned by the Penang state government) to enable SRS to fully fund the Island A development, while the state is absolved of all financing risks and costs of Island A’s development.

Even though the state has fully absolved itself of all risks, it still retains a substantial stake of 30% to reap in any rewards or profits from the Island A development.

Not to mention, the state can wield substantial influence of control via its 30% stake and its authority over all land matters, to ensure its socio-economic and land planning objectives are all met, for the people of Penang.

For federal projects, typically any privateer would reap 100% of the reward, given it would absorb 100% of the risks. For independent power producers, or highway concessions or developments, this is the underlying prevailing equitable rule.

Yet, the Penang state has clearly done one better here for itself.

Under this 70:30 joint venture arrangement, the state insisted on an enterprise, not only with a strong enough balance sheet to fully shoulder the funding liability of RM4 billion to deliver Island A, but also with the requisite track record of delivery of large infrastructure projects, on time and on budget, all the time.

Furthermore, the same enterprise is also responsible for delivering Phase 1 of the reclamation.

This will ensure that the project gets delivered and Penang benefits from the ensuing FDI, estimated at over RM70 billion and the ensuing GDP contribution and job creation is estimated to be RM100 billion and more than 300,000 jobs, respectively, where at least half are knowledge-based and highly-skilled jobs, over a 30-year development time frame for the three PSI islands.

And to ensure the delivery of the lands is done on the most cost-efficient basis, the state had also insisted on the appointment of an independent checking engineer, to oversee that cost estimates and work programmes are reasonable, fair and equitable.

Thus, there is clearly no double dipping or leveraging off the state in any way.

Source: FreeMalaysiaToday.com

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Gamuda to undertake development of Island A under PSR

March 25, 2021 By Keith Leave a Comment

An informative post about Penang.

The Penang government today said that one of the three islands it plans to reclaim under a giant project in the south of the main island will now be handled by the private sector.

Chief minister Chow Kon Yeow said the state government had now decided to let the private sector fund the RM3.8 billion needed to reclaim the biggest of the three islands.

Under the earlier project delivery partner (PDP) model, the state was supposed to fund the entire project through a RM1.3 billion bridging loan. However, changes became necessary as that loan failed to get a guarantee from the federal government.

Chow said given the current economic situation due to Covid-19, the state had decided to allow the partner, SRS Consortium, to pay for the reclamation of the first island, “Island A”, on its own.

Island A is to be created in the waters right next the Penang airport runway, near Permatang Damar Laut.

To facilitate the creation of Island A, a 30:70 share joint venture company would be created between state government-linked company Penang Infrastructure Corp and SRS.

This joint venture company would then create another firm to be the project developer and turnkey contractor.

Chow said the reclamation of Island A would be done in phases. Under the first phase, only 486ha of the total 930ha would be reclaimed, with an inverted E-shaped island created.

Gamuda Engineering would be appointed to reclaim Island A under the first phase. The company would “slow down” or “increase” reclamation as demand for land reduces or increases over time.

“This does not mean that the Penang South Reclamation (PSR) project is now private. The reclaimed land would remain the property of the state government,” he said at a press conference here today.

Chow said the joint venture model would only apply to Island A, while the PDP model would be used for the other two islands and projects under the Penang Transport Master Plan, such as the light rail transit and highways.

He said preliminary survey and soil investigation works would be carried out on March 29 in the area concerned.

SRS’ Szeto Wai Loong said Island A would be 70% public transport-based and built with environmental, social and corporate governance so as to attract investors.

He said the island would see a smart industrial park created, where high-end tech industries are expected to take foot. Denmark-based Bjarke Ingels Group will be the lead masterplan designer for the island.

Szeto said they had obtained all required approvals from the Department of Environment, barring an environmental management plan, which he said was only required to be submitted before the actual reclamation took place.

The PSR, or three-island project, seeks to reclaim 1,821ha of land. The state plans to sell the land to the highest bidder to finance infrastructure projects worth RM46 billion, such as highways and a 30-station LRT line.

The project will be spread over 17 sq km, with islands covering 9.3, 4.45 and 3.23 sq km, to be reclaimed off the coast of Permatang Damar Laut.

Source: FreeMalaysiaToday.com

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