Working with nature in the reclamation of Penang South Islands

With increasing land demand for industrial, commercial and housing developments, land reclamation is a way to ensure sufficient land for Penang’s future growth. THE Penang South Islands (PSI) is a cluster of three man-made islands off the southern coast of Bayan Lepas near the Penang International Airport. The first to be reclaimed is Island A, where Phase 1 is master planned to be a self-contained smart township in line with key themes of Penang 2030 – increase liveability, upgrade the economy to raise household incomes, and invest in the built environment to increase resilience. Built with climate resilience in mind PSI’s southern location is strategically chosen for its limited environmental sensitivity, as it is in a natural bay area with relatively shallow waters and benign currents, which limits hydraulic impact. Adopting the United Nations’ Intergovernmental Panel on Climate Change’s (IPCC) sea level rise projections for development planning, PSI will be designed to be resilient against climate change and allow for implementation of mitigation measures progressively if the need indeed arises. From the start, the reclamation will ensure PSI has a minimum platform level of 3m above the mean sea level (MSL), which exceeds sea level rise (SLR) requirements. Assuming the sea level will rise by 0.75m by 2100, PSI’s minimum platform level will generously allow the development to face sea level surges when storms coincide with high tide. In addition, platform levels inland will be even higher still, to facilitate natural gravity drainage to the sea. Co-existing with nature as far as possible Committed to meet all 72 conditions in the project’s approved Environmental Impact Assessment (EIA) report, the reclamation will minimise impact while maximising the benefits of developing the new island. During reclamation, silt curtains will be installed to trap suspended particulate matter to safeguard water quality and marine life. Sand for the reclamation will come from EIA-approved sites off Selangor and Perak. To improve water flow for channel flushing, the channel between the reclaimed site and the Penang Island’s shoreline crest will be dredged. The deepened channel will also enable fishermen to go out to fish regardless of the tide. The deepened channel will also facilitate navigation for other vessels such as marine patrol boats, water taxis, and 100-seater catamarans. Improving livelihoods and marine ecosystem On the socioeconomic front, PSI will transform fishermen’s lives through the Social Impact Management Plan (SIMP) drawn up based on fishermen feedback and input from related government agencies. It offers fishermen ex-gratia payments and new boats & engines as well as initiatives that lead to new and additional job prospects, business opportunities, education and training schemes. Local fishermen in Permatang Tepi Laut, Sungai Batu, Gertak Sanggul and Teluk Kumbar will also get four new jetties equipped with floating pontoons, storage areas, fish stalls, restaurants, boat repair facilities and other community amenities. The multipurpose jetty in Permatang Tepi Laut has huge tourism potential, being walking distance from the future Permatang Damar Laut LRT station, which is one station from the Penang Airport LRT station. This jetty will have a tourist jetty, alfresco restaurants, river promenade, park, fish market, and shops. All these initiatives will add value to the fishermen’s trade and profession, presenting them and their family members job and business opportunities that will generate additional income and make life better. Meanwhile, ecology offset measures will be rolled out to ensure the sustainability of fisheries. Artificial reefs deployed off Pulau Kendi and Pulau Rimau near the PSI site will promote marine life, provide feeding ground for fish, and help prevent coastal erosion, while the release of fish and prawn fry on a regular basis will help maintain fish stock. Mangroves will also be planted as they are known to provide breeding grounds for marine life protect coastlines from storm surges and tsunamis, and prevent sea water from intruding upstream into rivers. Under the PSI development, there are plans to plant 5ha of mangroves in Teluk Tempoyak before moving on to Pulau Betong, Penaga and Juru. With its green and socioeconomic initiatives in place, PSI will be a development that fulfils local aspirations to build a resilient and more inclusive Penang for the people’s benefit.
Penang South Islands creates jobs, tangible state assets and increases social capital

From the Penang Infrastructure Corporation Time and again we have been allaying misconceptions regarding Penang South Islands (PSI). Penang and its people will gain from the tangible returns and social capital from PSI that will be disproportionately high to the investment in the form of innumerable benefits. Penang stands to gain enormously from the PSI project. The reclamation work of Island A alone will inject RM7 billion in domestic investment while generating thousands of new job opportunities in Penang. Foreign direct investment (FDI) inflow into the three completed islands is estimated at over RM70 billion, and the ensuing gross domestic product (GDP) contribution and job creation estimated to be RM100 billion. There will more than 300,000 jobs respectively where at least half are knowledge and highly skilled jobs, over a 30-year development time frame for the three PSI islands. These projections are not “plucked from thin air” as alleged by irresponsible commentators. They are based on the actual experience of Penang’s developmental history, in particular, the Bayan Lepas Free Industrial Zone that had attracted more than RM50 billion since 1980, produced in the independent study by one of the big four audit and consultancy firms, PricewaterhouseCoopers. Green development The development plan for PSI was prepared in consultation with the UN Intergovernmental Panel on Climate Change’s (IPCC) 2019 guidelines, Low Carbon Cities Framework, and the independent study by the world-renowned Royal HaskoningDHV, headquartered in the Netherlands. The joint occurrence of high tides and a 1000-year storm surge has been accounted for in the design of Island A’s minimum platform level of 3m above mean sea level. 20% of PSI land is reserved for green parks, mangroves, water canals, wetlands, floodplains and bioswales to enhance biodiversity, cooling the environment by one to two degrees Celsius. PSI’s environmental offset programmes have also included 4km mangrove wetlands that will provide additional shoreline protection while also promoting biodiversity. The Green Tech Park on Island A will appeal to global electrical and electronic (E&E) companies and is designed to achieve 50% carbon reduction by 2030. A lifestyle campus-like environment will aid in enhancing industry collaboration with education institutions, enabling development and upskilling of our workforce, and moving the industry up the value chain. In addition, there will also be ample lush public open spaces spread across the island such as 7km of Central Canal, 3km of public beaches and 5km of esplanade. And by putting bicycles ahead of cars, the 140km of bicycle and walking tracks island-wide and 7km of navigational waterway will result in seamless connectivity and an additional transportation mode. A world-class tourist area is also included into the development of PSI to complement George Town, supported by attractive clusters of F&B, entertainment, a market place and food hall, fishermen’s wharf, waterfront esplanade, performance halls and other iconic spaces. Education campuses will be set up, creating a hub for education, attracting local as well as international students. These green open spaces and facilities that can be turned into venues for leisure activities, events and festivals that promote Penang’s local culture and eco-tourism, will benefit locals and tourists alike. PSI serves Penangites The PSI development is aligned with the Penang2030 socio-economic vision to increase liveability to improve quality of life; to upgrade the economy by raising household incomes; and to invest in built environment or infrastructure to enhance Penang’s resilience. The combination of industrial, commercial, residential, public space, and green lungs in the PSI is designed to create tangible state assets and boost social capital in Penang. PSI is not a business-as-usual development. The project is grounded on independent studies prepared by reputable international expertise such as the United Nations’ IPCC, PricewaterhouseCoopers, and Royal HaskoningDHV. Developing Penang for the projected industrial demands, social challenges, and climate conditions should be based on proven expertise – not on the fringe view from irresponsible commentators without any experience of completing large-scale infrastructural development. By providing capital inflow, generating jobs, creating tangible state assets, and boosting social capital, the PSI project will bring improvements to our economy and personal lives for many years to come.
Penang South Island project expected to kickstart in 2H22

The project will likely complete by 2030 and the state govt is submitting a new EIA report for the project THE Penang South Island (PSI) project, formerly known as the Penang South Reclamation (PSR) project, is expected to start at the beginning of the second half of 2022 (2H22) and is expected to complete by 2030. Penang Chief Minister (CM) Chow Kon Yeow (picture) said the state government needs to submit a new environmental impact assessment (EIA) report for the project. “The three proposed islands were previously not indicated in their state structure plan so they had to submit a judicial review. “The second action that we have taken is to resubmit our EIA because we are looking at a different scheduling of the island reclamation work to be done. “The technical engagement with all the technical agencies has just been completed and we have submitted a fresh EIA to the Department of Environment for consideration,” he said during a press conference after the Penang 2030 briefing yesterday. The Penang state government plans to make the first island in the project a high-technology investment site which is strategically located nearby Bayan Lepas airport and transport infrastructure. “This would take probably several years seven to eight years to complete the first island, maybe six years at least, so we are looking at maybe 2030 is a very good year for the completion of many infrastructure projects in Penang,” the CM explained. Last month, Chow mentioned that they would proceed with their very own light rail transit (LRT) system through public-private partnership and other private financing initiatives if they have not received approval. The federal government promised to fund RM2 billion for the project in November last year. The Penang LRT line stretches as long as 19km from Bayan Lepas and comprises of 30 stations. The project itself is supposed to cost RM8.5 billion. “Under the Penang Transport Master Plan (PTMP), we find that we do face a lot of challenges because it is tied to the financing model of the reclamation of the three islands. Nevertheless, we will be looking at unbundling the LRT project,” he said. They are calling out for a request for proposal soon from private, local or foreign sectors. “We have also received another proposal to implement our Automated Guideway Transit project across the channel from Butterworth to Penang Island under the PTMP. “We are looking at how we could put it on the market for interested investors to pick up some of this project individually or collectively as a package.” When asked about whether electric vehicle (EV) charging stations would roll out in Penang, Chow, unfortunately, said there are not many EVs in Penang. However, they are willing to collaborate with any private sector that wants to roll out their facilities on the island. As for solar panel installation, the state government is willing to cooperate with the federal government as they have already come up with guidelines on solar farms in Penang that do not require conversion of land use for solar pumps to be implemented. Part of the Penang 2030 plan, it involves adopting a low-carbon city framework in transport and mobility by 2030. “We will be at the same time implementing several projects under the PTMP and hopefully within the next few years, we will be able to upgrade our road infrastructure,” Chow added. Through this plan, he hopes Penang would recover from the Covid-19 pandemic with a GDP of 5.4% by 2025.
Giving pulse to Silicon Island

The first island from PSI will have a purpose-built city to achieve Penang’s growth goals THE emerging Island A in Penang South Islands (PSI) is a greenfield that holds many possibilities as an outstanding place to live and work in. Girded by best practices for environmental, social and governance (ESG) considerations, PSI is envisioned to be a climate-resilient place anchored by cutting edge industries and enterprises, and supported by infrastructure for seamless journeys amid open spaces. Dubbed Silicon Island, the first island to emerge from the Penang South Reclamation project will immediately carve its mark on the regional stage, as the place to be for the electrical and electronics (E&E) industry. Just like New York’s financial district and Los Angeles’ Hollywood, Silicon Island (also known as Island A) will be carefully curated from the start, instead of being allowed to evolve organically as it is designed as a place to secure Penang’s future as a high-tech manufacturing hub to complement the rest of the country’s industrial landscape. Having a purpose-built city to achieve Penang’s growth goals, which complements the Penang2030 Vision, is not a theoretical or academic exercise, as it has roots in other interactive and inspiring spaces such as the 2,400ha Sophia Antipolis in France, the Brainport Eindhoven in the Netherlands, and Singapore’s Jurong Innovation District. All these cities make for good examples of how industrial and technology cities understand that human capital is what makes a tech-based city successful – with talents automatically attracted to an outstandingly built environment at the right location. According to Zairil Khir Johari, state executive councillor for infrastructure and transport, Penang must chart its own path by creating its niche as nations and regions compete for investments and tourist dollars. “The PSI is the catalyst for Penang’s socio-economic growth in the next 50 years and beyond. Its role is not simply to expand the existing industrial sector but also to create a climate-resilient township for Penangites to live, work, do business, and raise their families. “As everyone knows, Penang’s success today as the one of the most developed cities in Malaysia and the state with the highest GDP per capita outside of Kuala Lumpur is largely due to our industrial sector. “For us to grow this sector, both in terms of scale by attracting even more investors, as well as in terms of value by attracting more advanced industries with higher paying jobs, it is pivotal for us to provide an ESG-compliant industrial park. “Don’t forget what happened to Dyson’s Malaysian supplier when ESG non-compliance saw them losing their lucrative contract with the British giant,” Zairil said, adding that its proximity to the mature E&E ecosystem in Bayan Lepas, as well as the Penang International Airport, are already huge plus points. World-class public space All developments on Silicon Island will be subject to the Urban Design Guideline to help curate things in the right direction, in order that the place will present a good balance between hard structures – and all these meant for nature to establish itself. “Every square inch of PSI is curated with environmental and social benefits in mind. For example, 20% or 182ha (450 acres) of Island A’s 931ha (2,300 acres) is reserved for green spaces such as public parks, water canals, wetlands, floodplains and bioswales which will promote biodiversity. “Island A will have its own 20-acre mangrove area, creating new marine habitat for fishes and prawn. The PSI will also deploy artificial reefs and fish aggregating devices and build eco-shorelines at the islands’ perimeter – contributing to the sustainability of coastal fisheries,” Zairil added. As user experience with public spaces determine one’s daily experience in cities, good planning of these spaces will be of paramount importance on Silicon Island as it will make or break the emerging city’s success in drawing talents, investments and visitors. In a global competition organised by the state, Denmark-based Bjarke Ingels Group (BIG) emerged as the lead masterplanner for the development that will eventually have three islands. Silicon Island will aim high, with BIG founder and creative director Bjarke Ingels saying that they had “set the bar as high as humanly possible by imagining a new archipelago that aims to be more culturally and biologically diverse than existing conditions.” Green spaces and biodiversity As far as Silicon Island is concerned, wide open green areas are the norm, not the exception. First, there is a network of coastal parks that are fully accessible to the public. These consist of a mixture of public beaches and esplanades that are designed as recreational and family-friendly public gathering spaces. In addition to improving air quality and helping to ease tropical daytime temperatures, vegetation has the power to humanise cities by attracting people to outdoor activities. As cities become denser, access to green public spaces will become even more important as urban forestation can lower stress levels and enhance well-being by moderating the urban heat island effect. The 3km (60m-wide) stretch of new sandy public beaches is an integral part of Silicon Island, with this public beach forming the largest public leisure and recreational space for the island. Silicon Island will feature lush and shaded canals with spaces for dining and leisure. Equipped with multiple activity zones ranging from cycling tracks, jogging paths, playgrounds, to outdoor gyms, just to name a few, this beach is also expected to be a venue for water sports along the promenade. The 5km long (40m-wide) esplanade runs continuously alongside the marine waterfront with the Heart of the Island (HOTI) as the focal point of the island. It is activated with vibrant waterfronts, piers with F&B and tourist activities. Set to be a world-class waterfront destination, it is also designed for large scale festive events and public gatherings. Biodiversity-wise, the developer of Silicon Island will put in a 40m-wide mangrove wetlands –widely held to be even more effective at carbon sequestration than any other forest – at several coastal corridors to promote biodiversity conservation and mitigate any possible shoreline erosion. Collectively, the
Site offices for PSI project to use renewable energy

In line with the commitment to build an ESG- (environment, social and governance) compliant Penang South Islands’ (PSI), the project’s site offices will strive to use renewable resources to meet their operational needs. SRS Consortium deputy project director Azmi Mohamad said the Marine Operation Control Centre (MOCC) in Batu Maung was only the first PSI project office to be fitted with solar panels, and more would follow. MOCC will monitor vessel movements around the PSI site during reclamation. “As the project progresses, we also plan to use solar power at Pusat Perkhidmatan Setempat Nelayan (PPSN) Permatang Damar Laut, and the future project office in Batu Maung, where management and administrative staff will be based. “This is in line with our commitment to building a low-carbon development and support efforts to become more climate resilient. We must walk the talk, even in our non-construction activities,” he said in a statement released by Penang Infrastructure Corporation (PIC). SRS Consortium and PIC were earlier reported to be entering a joint venture to reclaim Island A, one of the three islands under the PSI project. PSI is being master planned according to recommendations of the Green Plan and Low Carbon Cities Framework that aim to reduce greenhouse gas emissions. The MOCC’s solar panels, which were installed on April 15, just a week before Earth Day on April 22, will generate 11.83 kWp (kilowatts peak) to power the centre’s operations. Azmi said based on an estimated power demand of 10kW for 12 hours per day, the solar panels would help the MOCC reduce 12 tonnes or 40% carbon emissions a year, in line with the National Physical Planning Council’s recommendation to build a low carbon development to address climate change. “The materials that make up this solar power system can last up to 30 years. We believe that investing in solar power is worth the time and effort. “Most importantly, we can significantly reduce greenhouse gas or carbon emission from energy that comes from burning fossil fuels in the long run,” Azmi said. According to the PIC statement, the project is also looking at introducing solar-powered streetlights for the MOCC in the future. For now, the PPSN offices in Permatang Damar Laut, Sungai Batu and Gertak Sanggul are already using them. Apart from using solar power, the MOCC and PPSN Permatang Damar Laut are also using rainwater harvesting systems to collect water for cleaning and landscaping. In the future, both initiatives will be adopted at other project premises, alongside eco-friendly energy-saving lighting, air conditioning (inverter) and ventilation systems; and water-saving faucets and flush system. Source: Buletin Mutiara
Penang South Islands project expected to start Q3 2023, says Kon Yeow

GEORGE TOWN, Jan 12 — The Penang South Islands (PSI) project is expected to start in the third quarter of this year once the necessary approvals are obtained, said Penang Chief Minister Chow Kon Yeow. He said the state government is expecting to obtain approval for the Environmental Impact Assessment (EIA) from the Department of Environment (DoE) by this month. “After obtaining the EIA approval, we will still need to come up with the Environmental Management Plan (EMP) on how to mitigate the reclamation and construction of the islands,” he said during a press conference today. He said the EMP will take the DoE about two to three months to approve. He stressed that the EMP will ensure compliance with environmental guidelines and will be climate change cognisant. “As I’ve said many times all these years, we will not start work until we obtain all necessary approvals,” he said. On the financing of the mega project, which will create three man-made islands off the coast, Chow said it is the responsibility of the project delivery partner, SRS Consortium. “If the project is approved, we will look at the state shares in this and there will be a joint-venture company to finance and manage the reclamation and development of Island A,” he said. Chow was speaking to the media after a presentation ceremony of the Social Impact Management Plan (SIMP) initiatives and the implementation of PSR Ecology Offset Master Plan (PEOM) at the Pusat Perkhidmatan Setempat Nelayan Sungai Batu here. The PSI project, also known as Penang South Reclamation (PSR), is a massive reclamation project to create three islands, measuring a total 4,500 acres (1,821 ha), off the southern coast of Penang island. The PSR has faced objections from several civil society groups, including the Penang Fishermen’s Association (Pen Mutiara). The project was first introduced in 2015 as the funding module of the RM46 billion Penang Transport Master Plan (PTMP) after SRS Consortium was appointed as the project delivery partner (PDP) for the PTMP on August 14, 2015. The PTMP is a comprehensive transport strategy for an integrated and modern transport framework that included public, private, land and sea transportation systems. Chow said they must push ahead with the SIMP initiatives because the fishermen were very keen for it to be implemented. “They are aware of what they were entitled to under the packages, so we went ahead with this first,” he said. He said under the SIMP scheme, fishermen were given the chance to attend the seafarer course and obtain certification. The fishermen were also entitled to new boats with more powerful engines. “They can go further out to sea to catch and the boats are installed with a GPS system to detect fishing grounds so they can go directly to the right fishing spots,” he said. Other than boat and engine aid, the SIMP scheme also provides financial assistance in the form of ex-gratia, new jetties, job opportunities, business and skills training programmes, housing ownership schemes, and educational support programmes for fishermen’s children who are still in school. Earlier, the state government signed a memorandum of understanding with the Penang State Forestry Department, Penang Infrastructure Corporation and SRS to plant 200,000 trees and conserve mangrove habitat in Penang under PEOM. Chow also witnessed the signing of the contract offered to USAINS Holdings to conduct research on artificial and unjam reef ports and release fish and shrimp fry under the PEOM. The research will involve the expertise of Universiti Sains Malaysia’s Centre for Marine and Coastal Studies (CEMACS).
Silicon Island to be project developer for Penang South Islands

Penang government and Gamuda’s jointly-owned company will oversee development of the ‘three islands’ project. PETALING JAYA: The Penang government and infrastructure group Gamuda Bhd have agreed on the project development model for the development of Island A, the first of three man-made islands to be reclaimed to finance the implementation of the Penang Transport Master Plan (PTMP). The state government and Gamuda, through their respective wholly owned subsidiaries, have incorporated Silicon Island Development Sdn Bhd, a jointly-owned company which will act as the project developer for the mega project, Gamuda said in its filing with Bursa Malaysia today. “Both PSG (Penang state government) and SRS Consortium Sdn Bhd (Gamuda’s 60%-owned unit) have agreed that the project development of Island A shall be implemented through a project development model via an entity to be incorporated between the nominees of PSG and project delivery partner, respectively,” it said. Gamuda previously announced on March 25, 2021 the project development of Island A would be through the deployment of private sector capital without any recourse to the state government. As such, Gamuda said, Silicon Island was incorporated on March 1, 2023, and its equity ratio comprised 70% held by Gamuda’s wholly owned subsidiary SRS PD Sdn Bhd and 30% by PIC PD Sdn Bhd. PIC PD is a wholly owned subsidiary of Penang Infrastructure Corporation Sdn Bhd, a special purpose vehicle set up by the state government to spearhead the implementation of the PTMP. The two directors of Silicon Island are Farizan Darus, former Penang secretary and now Penang Infrastructure Corporation CEO, and SRS Consortium executive director Szeto Wai Loong. In consideration of Silicon Island agreeing to provide all the finances, management and skill necessary to carry out and complete the development on Island A, Gamuda said, the state government has granted to the project developer the sole, exclusive and full right to commence, manage, carry out and complete the project. The filing added that Silicon Island was also entrusted with securing planning approvals and other approvals for the common infrastructure (including smart city features), investor marketing, and “land disposal of the reclaimed lands”. The last clause seems to imply that Silicon Island has sole and exclusive rights to develop and sell the reclaimed land in Island A. Transforming Penang’s sleepy southern coast Island A is part of the massive Penang South Islands (PSI) project, the Penang government’s strategic development plan to transform the sleepy southern coast into a smart city, and a world-class trade and tourist destination. Its three islands will measure 4,500 acres in total – Island A at 2,300 acres, Island B at 1,400 acres and Island C at 800 acres. According to reports, the Penang government in 2013 approved a RM27 billion PTMP to address the state’s chronic transport and traffic problems. Two years later, SRS Consortium proposed an amended PTMP which saw the proposed costs rising to RM46 billion. The proposal included the reclamation of the three islands – now the Penang South Islands – to finance the PTMP. Project delivery partner SRS Consortium was appointed to be the project delivery partner (PDP) to manage this project, charging a fee equivalent to 6% of the total project cost. According to the SRS Consortium request for proposal, reclamation of islands A and B, taking about eight years, will net an income of RM16.1 billion for the state (RM7.2 billion from Island A and RM8.9 billion from island B). All funding, except the initial capital, is supposed to come from the reclamation of the three islands. SRS Consortium was to source the initial RM1.3 billion bridge loan to kick start the reclamation. Chief minister Chow Kon Yeow said in January the PSI project is expected to start in the third quarter of this year, once the necessary approvals are obtained.
Silicon Island Project reflects robust industrial development in Penang – Chow

GEORGE TOWN, May 3 — The Penang South Islands (PSI) sea reclamation project will commence in the third quarter of this year with the construction of ‘Island A’ which will be named ‘Silicon Island’ to reflect the robust industrial development of the state. Chief Minister Chow Kon Yeow said the main development of the project is the Green Tech Park (GTP), the high-technology industrial park which will include research and development (R&D) facilities as well as digital technology infrastructure, e-commerce and business process outsourcing (BPO). “GTP and BPO locations are very strategic, near the Bayan Lepas Free Industrial Zone, Penang International Airport and Penang Second Bridge or the Sultan Abdul Halim Mu’adzam Shah Bridge,” he said at a press conference today. A ‘Heart of the Island’ (HOTI) commercial centre will be constructed in a beautiful waterfront connected by a network of water channels and this icon will become another tourist attraction in the state, he said. Chow added that both plans were stated in the ‘Silicon Island’ master plan which have successfully obtained the ‘5 Diamond’ recognition in the design category from the Malaysian Green Technology and Climate Change Corporation (MGTC) in the 2030 Low Carbon City Challenge programme, successfully achieving the target of carbon production reduction by 45 per cent. The target for the reduction in carbon emissions, according to Chow, will be achieved through various green initiatives, including the planting of mangrove forests which also have the potential to become popular recreation areas for local residents as well as tourists, the construction of water canals and blue-green network that enable the implementation of water taxis as well as the adoption of renewable energy in GTP. “The PSI development will bring many benefits to Penang and the Malaysian economy overall where in the 30-year period, PSI is expected to contribute a positive impact to the gross domestic product of RM2.2 trillion and foreign direct investment of RM70 billion as well as creating more than 460,000 job opportunities in various sectors,” he said. Penang Infrastructure Corporation Sdn Bhd chief executive officer Datuk Seri Farizan Darus said PSI development will strengthen Penang’s position as one of the global and comprehensive electrical and electronics (E&E) industry hubs. He said Silicon Island has been carefully planned to fulfil Penang’s future needs based on environmental, social and governance (ESG) policies and include various sustainability features. “The main land use of this 2,300-acre island is 30.44 per cent for industry and global business services, 45.3 per cent for public facilities, infrastructure and blue-green network and 24.26 per cent for housing and commercial,” he said. He said the long-term targets for GTP include the phase for land development and application for planning and licence submission, expected in 2025, while the construction of factories is projected to commence in 2026 and begin operations in 2027.
Penang announces 49% scale-down of PSI project

GEORGE TOWN: The Penang South Islands (PSI) project will be scaled down with the 566ha Island B and 324ha Island C now scrapped, says Chief Minister Chow Kon Yeow. He said no further reclamation would be done for those components of the controversial project. He said this would result in a 49% scaling down of the man made island project. “During a visit to Penang last week, Prime Minister Datuk Seri Anwar Ibrahim announced an allocation for the proposed light rail transit (LRT) project. “He also asked the state government to scale down the PSI project. “Taking his advice, the state executive council discussed the matter yesterday (Wednesday, May 10). “We accept the prime minister’s advice and will not proceed with the reclamation plans for Islands B and C. “We have decided to only proceed with Island A, now known as Silicon Island,” he told a press conference at his office in Komtar here on Thursday (May 11). The PSI project, which is off the southern coast of Penang island, orgininally involved the reclamation and development of three islands covering 1,820ha, with the principal Island A covering 930ha. The project site is in the waters off Permatang Damar Laut, near Bayan Lepas. Chow said Penang had obtained environmental impact assessment (EIA) approval for the reclamation project. He said the approval was for all three islands, but it should not be a problem if the state proceeded with only one. The project met with objections from the fishing community and environmental non-governmental organisations in the state who claimed it would damage the marine ecosystem.
PSI mitigation, green initiatives and social welfare plan will control reclamation impact, assures PIC

GEORGE TOWN: The Penang South Island (PSI) project is designed with the future in mind, and that means it must be adaptable to climate change and other challenges that may arise. That is why, according to the Penang Infrastructure Corporation (PIC), the PSI development is important to the state’s economy. “The project does not spell the end for any group or community. “It is a new beginning for Penang. It is a project that will give us the opportunity to build a better and more economically resilient future for the generations that come after us,” it said today. “After eight years of effort put into obtaining the relevant approvals and designing the island, Penang also owes itself the responsibility to see this project through,” it added. Yesterday, fishermen from southern Penang island, their family members and representatives from 20 non-governmental organisations held a protest at Pantai Sungai Batu against the PSI project. They claimed it would not be the last protest they would organise as long as the reclamation project was on. They also vowed to march to Parliament to submit a memorandum to the prime minister to say they rejected the project and other reclamation projects planned in the state. They would also send the a copy of the memorandum to the Yang di-Pertuan Agong. Last Thursday, Chief Minister Chow Kon Yeow said Penang would do away with two of three artificial islands that would be reclaimed from the sea off Penang island’s south coast under the controversial PSI project. He said this would mean a scaling down PSI to 49 per cent, as the largest of the three planned islands, Silicon Island, measured about 920ha while islands B and C, measured about 560ha and 320ha respectively. During a recent visit to Penang, Prime Minister Datuk Seri Anwar Ibrahim announced that the federal government would allocate additional funds to help the state government with the George Town-Bayan Lepas light rail transit (LRT) project. He had also asked the state government to scale down the PSI project. Following his announcement, Sahabat Alam Malaysia president Meenakshi Raman, Consumers’ Association of Penang president Mohideen Abdul Kader and Pen Mutiara had asked the state government to scrap the project and not just scale it down. PIC, as the state government’s special purpose vehicle to implement the PSI project, also gave its assurance that the PSI project would not stop fishermen from fishing or threaten food security because the fishing zone for southern Penang island’s coastal fishermen was vast, up to eight nautical miles (14.8km) from the coastline. It explained that the local fishermen would usually catch fish in areas located beyond the project site. It said they received this information from local fishermen and verified this by conducting a physical boat count and by using satellite images that captured the movements of fishing boats in the southern Penang island waters. “Claims by certain quarters that the PSI development will impact the local fisheries, fishermen and nearby states regrettably continue to be exaggerated. “It is illogical to claim that the reclamation of a 920-hectare island would wipe out the whole area’s fisheries sector. The fish and shrimp will still be in the sea, and fishing will continue,” it added. PIC also said that it was an exaggeration to say that a reclamation project in Penang waters would impact places as far as Kedah and Selangor. It said mitigation measures would confine the impact to the project site based on the assessment provided in the approved Environmental Impact Assessment (EIA) report. Based on the EIA report, the reclamation will be done in phases, which means the impact will only occur gradually and be controlled at the work site through continuous monitoring and careful implementation of mitigation measures such as perimeter bunds and silt curtains under the watchful eyes of the relevant authorities, namely the Department of Environment (DOE). According to the PIC, the hydraulics study, which was approved by the Drainage and Irrigation Department (DID) last year, has shown that even without any rigorous implementation of mitigation measures, the sediment dispersion will be limited close to the reclaimed area. The silt curtains will further prevent the dispersion of sediment. “The PSI layout is also optimised to ensure minimum impact on the surrounding environment. Even so, we will closely monitor the situation when work is underway. “Part of the approval was a condition by the DID to monitor the impact on the Penang island shoreline and report to the department periodically for action to be taken, if necessary. “There will also be constant monitoring of water quality, including a 24-hour real-time monitoring of total suspended solids. The monitoring system will be linked to the DOE , which will closely monitor the reclamation works for enforcement. “The Project Proponent has set the turbidity limit way below the limit set by DOE. If the turbidity reading approaches the set limit, work will stop for necessary actions to be taken. “Mitigation measures will also be reviewed for continuous improvements,” it stressed. Meanwhile, PIC said, to prevent the illegal dumping of sand or disposal of dredged materials, all work vessels and barges would be installed with the Dredging and Dumping Management System (DDMS), Weight Recording Equipment and Vessel Tracking Monitoring System with live tracking data. As mentioned in the approved EIA report, sand will only be sourced from concessions with valid EIA approval and sand mining licence. Currently, these proposed concessions are situated upwards by 30km away from the coast of Perak, which is more than double the distance from the stipulated eight nautical miles (14.8km) of artisanal fisheries’ zone. They are in deep waters measuring at least 50m in depth where only 2m layer of sand will be mined, contrary to critics’ claim that the mining of sea sand will create massive holes in the seabed. “Therefore, we stress that claims of the PSI project impacting the waters and coastline of southern Kedah, northern Perak and even Selangor are unfounded and without scientific basis,” it said. PIC said