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Penang CM urges Putrajaya to review decision to halt PIA project

GEORGE TOWN: Penang has urged Putrajaya to relook at its decision to halt the existing expansion plan for the Penang International Airport (PIA).

Chief Minister Chow Kon Yeow said the federal government should instead prioritised the implementation of the airport expansion project.

He said the state government had, time and again, pressed for the project to proceed without having to wait for the completion of the National Airport Strategic Plan (NASP) study in 2023.

"Taking into consideration the Covid-19 pandemic situation, now is the right time to carry out works at the airport as there is no overcrowding of passengers. By doing so, this can better prepare PIA to receive more passengers when the border reopens soon.

"As such, we urge the federal government to reconsider its earlier decision," he said.

Transport Minister Datuk Seri Dr Wee Ka Siong, during his winding up speech on the 12th Malaysia Plan in Parliament on Tuesday, had said the government had no choice but to postpone the PIA expansion project considering the financial incapability of Malaysia Airports Holdings Bhd (MAHB) in funding the expansion.

Wee also said the number of passengers had declined considerably from 2019 when Malaysia recorded 109 million arrivals. Last year, the country only recorded 26 million arrivals, while for the first half of this year, only 3.6 million arrivals.

He had also added that since the start of the Covid-19 pandemic, MAHB had spent about RM140 million a month to maintain 39 airports under its purview, with about RM2 billion spent to date for the said purpose.

It was reported before this that MAHB would spend about RM1.2 billion to expand PIA, which would see its capacity increase from 6.5 million passengers annually to 12 million.

The expansion project was originally scheduled to begin early last year but the pandemic had put a dent to the plan.

Elaborating, Chow said the planning permission for the airport expansion project had long been approved, even before the federal government embarked on the NASP study.

In July last year, the Transport Ministry, in a parliamentary written reply to Bayan Baru parliamentarian Sim Tze Tzin at the Dewan Rakyat, had said that any proposal for new airport development, including for the expansion and upgrading of the PIA, would only be considered after the NASP study had been finalised.

The ministry had said that the study on the development of airports and short take-off landing airports (STOLports) in the country was expected to be completed in 2023 in line with the National Transport Policy.

Meanwhile, state Gerakan chairman Oh Tong Keong also expressed disappointment over the federal government's decision on the PIA expansion project.

He expressed hope that works on the expansion project could proceed as planned.

"We can expect a surge in visitors to Penang post-Covid-19 pandemic. As such, preparations need to be put in place from now to welcome the visitors.

"Both the federal and state governments should be proactive in ensuring the fast recovery of our tourism industry," he said, adding that the tourism industry was one of the main revenue generators for the country and the state.

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