GEORGE TOWN: The Federal government has been urged to engage the state government and local councils more on federal projects in the state.
Chief Minister Chow Kon Yeow said it was common for discussions and plannings to take place at the federal level, without the state government, as it was their jurisdiction.
He, however, said, it would be good if the Federal government could engage with the state government more.
"We, at the local councils, can expedite (the projects) and all that," he told newsmen, here, today.
Chow was asked to comment on Malaysian Airport Holdings Berhad's (MAHB) statement yesterday that it would be undertaking the Penang International Airport (PIA) expansion project in phases.
MAHB had said that it would be submitting planning approval for the project in July.
Chow said he was sure that MAHB had been engaging the state government, and that they had presented to the state executive council.
When asked when did he last speak to MAHB representatives, he said "months ago".
Chow said the announcement was welcomed as the state government had been concerned about the delay in the commencement of the expansion project.
"For Penang, we are concerned about early commencement and completion of the airport expansion project.
"(This is) because now it (the PIA) is operating beyond its capacity and each year the situation will worsen.
"Other issues (such as financing), I think is best left to the relevant agencies to resolve," he said.
Chow said he believed the federal ministries had been looking into restructuring the airport concession regulation, which resulted in the delay of the expansion project kicking off.
"It is for the federal ministry and MAHB to resolve whatever funding and concession regulation.
"I think with this announcement, they should have come to a certain agreement on how they should refinance," he said.
Asked if MAHB would be paying for the expansion project, he said he was not privy to that information.
He, however, said, if MAHB was funding the project, then the question of private financing initiative (PFI) would not arise as it would be self-financed by MAHB, with an extension on their airport concessionaire rights.
He said he believed that the first phase of the expansion project would see the passenger movement per year upgraded to 12 million.
"I think the current phase is 12 million because planning started two years ago by MAHB," he said.
It was reported that the Federal government would expand the PIA terminal in June 2020 to expand its capacity from the current 6.5 million passengers per year to 12 million.
The current airport is bursting at its seams at 7.8 million passengers a year, which was 120 per cent higher than the current capacity.