GEORGE TOWN: The Penang Development Corporation (PDC) has never given land to private parties to develop as industrial parks.
Chief Minister Chow Kon Yeow said this was because PDC's industrial land banks are located in strategic locations and could be marketed to investors in the 'promoted industries' category.
"However, PDC is now facing constraints to develop a new industrial area, known as the Batu Kawan Industrial Park 2 (BKIP2), due to location factors and a non-conductive environment.
''As such, PDC intends to collaborate with private parties to develop part of BKIP2 to reduce risk and cost on the part of PDC,'' he told the state legislative assembly sitting here today.
Chow was responding to a question by Lim Guan Eng (DAP-Air Putih) on the list of land given by the PDC to private parties to be developed as industrial land.
According to Chow, PDC has successfully developed nine industrial parks in Penang to ensure that a sustainable industrial sector ecosystem can be achieved.
"In order to realise this goal, PDC will continue to play its role as the development leader of the industrial area in Penang even though there are now several private developers who are also involved in this field," he added.
He said, armed with experience and skills for over 50 years, PDC was confident that the developed industrial area would continue to be the focus of foreign and local investors.
"PDC will develop by itself without the involvement of the private parties for strategic areas.
"The proposed collaboration with the private parties is only for areas that are less strategic, high risk and with uncompetitive cost,'' he said.
Chow also said that PDC now has approximately 324 hectares (800 acres) of industrial land and is currently focusing on the development of the Bandar Cassia Technology Park and BKIP 3 in the eastern area of Batu Kawan.
He added that, every year, PDC prepared about 80 hectares (200 acres) of industrial land to be offered.
"For the Bandar Cassia Technology Park, earthworks and infrastructure works have started and have even been offered to the investors while BKIP 3 earthworks have also started in the middle of this year and will be done in phases," he said, noting that it would be offered after 2025, after the completion of all infrastructure works.