GEORGE TOWN: The Penang government has called for feasibility studies to be conducted to assess the necessity behind the construction of the RM1.6 billion Kulim International Airport project.
Penang Chief Minister Chow Kon Yeow said the studies are also necessary to determine the long-term impact of the project to Penang, which also houses an international airport.
The Penang International Airport (PIA) is a mere 40 minutes away from the proposed Kulim airport.
“We received reactions and feedback from the business community in the state, questioning the justification for the proposed airport.
“Although it is understood that the project will be funded by the private sector, we maintain our stand that feasibility studies must be carried out on the whole impact as well as the long-term effect to Penang.
“However, we accept the announcement (of the proposed airport) as there was no follow-up announcement that the PIA will be shut down,” he told a press conference.
Economic Affairs Minister Datuk Seri Mohamed Azmin Ali had previously announced that the Federal government had approved a RM1.6 billion allocation to build the Kulim International Airport in Kedah.
Azmin said his ministry has approved RM1.132 billion in development expenditure for Kedah in 2019, comprising 201 ongoing projects (RM1.049 billion) and 51 new projects (RM82.5 million).
Finance Minister Lim Guan Eng had previously announced that an expansion project for PIA would be carried out via a private financing initiative by the end of this year. The project - expected to be completed in three years - will increase the airport’s capacity from the current 6.5 million to 12 million passengers anually.
PIA recorded 7.78 million passengers movement last year.
Chow said Penang is hoping that the planned expansion of PIA could be expedited.
“This issue has raised a lot of interest, to the extent that newspapers were filled with speculation and comparison on how Penang had to wait years for a RM1 billion loan while our neighbouring state got RM3 billion over development projects, making it seems as if Penang was overlooked like a stepchild.
“As a members of the Northern Corridor Implementation Authority (NCIA), I was there when the NCIA management submitted a report on the issues in the northern corridor from Perak, Kedah, Perlis and Penang.
“The management suggested a list of projects in Kedah, which are said to be high impact and the list also included the proposed airport project, which was a private initiative.
“Whether it goes ahead or not... hopefully it happens as Kedah has the right to a high impact amenity but whether it is feasible, sustainable and necessary will have to be studied,” he said, adding that many claimed that the proposed airport was unnecessary given PIA’s proximity.
Chow revealed that while the new airport building would be constructed via a private initiative, the external infrastructure such as the road leading to the airport would be paid for by the government.
“I don’t want to make it seem like Penang did not get anything, because there was no announcement but there are many ongoing projects in the state which will continue.
“Other projects include an interchange for Batu Kawan, Industry 4.0 project for small medium enterprises, an expansion project of the Penang Port a well as four extension of northern highway corridor to the Second Penang Bridge,” he said.