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
Gamuda awarded RM3.7b contract for Penang South Island reclamation project
The controversial Penang South Island (PSI) reclamation project is gaining momentum as Gamuda Bhd has been awarded the contract for the reclamation works of Island A. Valued at RM3.7 billion, this contract is a significant milestone in the progress of the PSI development. In an announcement to the bourse, Gamuda confirmed that it had today been awarded the contract for the design, management, construction, and completion of the Phase 1 Reclamation Works of Island A to the turnkey contractor, SRS TC Sdn Bhd – a wholly owned subsidiary of Gamuda. Consequently, SRS TC has further subcontracted the Phase 1 reclamation works to another Gamuda subsidiary, Gamuda Engineering Sdn Bhd. The contract was awarded by the project developer, Silicon Island Development Sdn Bhd – a 70%-owned subsidiary of Gamuda via SRS PD Sdn Bhd, while PIC PD Sdn Bhd, a Penang state government-owned entity, owns the remaining shares. The Phase 1 reclamation works encompass approximately 1,260 acres of Island A and will adhere to all necessary regulatory approvals and compliance requirements. The contract sum for this phase is RM3.7 billion, with a significant portion awarded to Gamuda Engineering. The works are scheduled to commence on July 1, 2023, and complete by June 30, 2030. A performance bond of 5% of the contract sum ensures financial security for the project. The Phase 1 reclamation works are expected to contribute significantly to Gamuda’s revenue and earnings for the financial year ending on July 31, 2024. To recap, the project development agreement signed on March 6, 2023, between the Penang state government and Silicon Island Development established that private sector capital, rather than PSG/PIC PD funding, would be used for the development of Island A. As per the agreement, the project developer is obligated to award the entire scope of works for Island A, including reclamation, infrastructure, and Highway PIL2A, to SRS TC. The PSI reclamation project was scaled down from three islands to one island following a request by Prime Minister Anwar Ibrahim to reduce the scope of the project. The size of the project was reduced from 4,500 acres to 2,300 acres, representing a 49% reduction from the approved plan. Gamuda’s share price closed at RM4.25 today, reflecting a 0.71% increase. Its market capitalisation stands at RM11.31 billion.
Penang South Islands reclamation work starts July 1
KUALA LUMPUR: The Penang South Islands (PSI) reclamation project, which is a new urban development off the coast of Penang Island that includes homes, leisure, and work sites, will finally begin reclamation work next month. PSI is intended to be an Internet of Things (IOT)-enabled smart city to complement Georgetown. It will be based on sustainable and green living and environmental, social, and governance principles, with the goal of being a top investment destination in the area. On July 1, Gamuda Bhd will begin the RM3.72 billion reclamation work for Phase 1 of Island A of the PSI project, which is situated close to the Penang International Airport at Bayan Lepas. SRS TC Sdn Bhd, the turnkey contractor, has been given the design, management, construction, and completion of the Phase 1 reclamation works by Silicon Island Development Sdn Bhd, a 30:70 project developer company between PIC PD Sdn Bhd and SRS PD Sdn Bhd. SRS PD and SRS TC are both wholly-owned subsidiaries of Gamuda Bhd. The Phase 1 reclamation works have been given to Gamuda Engineering Sdn Bhd, another fully owned subsidiary of Gamuda, by the turnkey contractor. PIC PD is a fully owned subsidiary of Penang Infrastructure Corporation Sdn Bhd, a special purpose company established by the state government to lead the implementation of the Penang Transport Master Plan. Gamuda told the stock exchange yesterday that the contract’s scope covers the design, management, construction, and completion of Island A’s Phase 1 reclamation works, which total roughly 655.59 hectares and are all in accordance with the approvals of the relevant authorities. According to Gamuda, construction would start on July 1, 2023, and last until June 30, 2030. “The Phase 1 reclamation works are expected to contribute positively to the revenue and earnings of Gamuda Group for the financial year ending July 31, 2024,” it said. The PSI project’s downsizing from the three islands that were initially planned to be included, Island A (2,300 acres), Island B (1,400 acres), and Island C (800 acres), to just one island (2,300 acres), won’t have an effect on Gamuda’s profitability, according to analysts. The Penang government decided to scale down the PSI project following Prime Minister Datuk Seri Anwar Ibrahim’s announcement on May 6 that the Federal Government will provide additional funds to assist the state in expediting the construction of the George Town-Bayan Lepas light rail transit (LRT) project. The downsize was a 49 per cent reduction from the original approved plan, and only development works for Island A (Silicon Island) would proceed, while the second and third islands, B and C, would be discontinued. The development work would only be carried out on Island A (Silicon Island), a reduction of 49 per cent from the first approved plan, and the construction of Islands B and C would be abandoned. Gamuda participates on two levels in the Island A reclamation project through its ownership of SRS TC, acting as both a project developer (PD) and a turnkey contractor (TC) under a 70:30 joint venture between SRS and the state nominee. Gamuda’s engagement on the Island A reclamation project is on two levels, firstly, through its ownership in SRS TC, and secondly, as a project developer and a turnkey contractor through the 70:30 joint venture between SRS and the state nominee.
Preparatory works for Penang Silicon Island project to begin today following approval of EMP, says Penang CM
GEORGE TOWN: Preparatory works for the Penang Silicon Island project will begin starting today and will continue until the related works are completed, Chief Minister Chow Kon Yeow said today. He said this followed the approval to the Environmental Management Plan (EMP) for the project which was obtained from the state Department of Environment (DOE) on July 21. The go-ahead is a follow-up to the nod of the Environmental Impact Assessment Report (EIA) for the Penang South Island (PSI) project which was approved with 71 conditions by the central DOE through a letter dated April 11. “With the approval of the agencies involved, the preparatory works for the Silicon Island will begin from today and continue until the related works are completed. “On behalf of the state government, we express our highest appreciation to the state DOE for the careful assessment that has been given in evaluating and approving the related EMP. “The decision is the result of cooperation and joint efforts to ensure that the development of the Silicon Island project complies with the environmental and safety standards of the local community,” he said today, also expressing the state’s appreciation to all parties which had contributed views in drafting this EMP. In May, Chow announced that Penang would do away with two of three islands of the controversial PSI reclamation project, which meant a scaling down of 49 per cent of the total three man-made islands project. Island A, now known as Silicon Island, measures about 920ha. Meanwhile, Chow said, in line with the state government’s commitment to make ex-gratia payments to the fishing community affected by the project after the approval of the EMP, the payment of 75 per cent of the ex-gratia would begin to be credited in phases starting today while the remaining 25 per cent would be completed in early 2024. “Payments will be made in phases taking into account the scope of the PSI project which has been reduced to an island, compared to the previous initial planning. “The development of the Silicon Island project is designed based on environmental, social and governance (ESG) principles. It is expected to become a leading technology centre in the region and open up new job opportunities by injecting lasting economic benefits to the locality. “To begin with, a total of 600 sea and land-based job opportunities will be offered over the next 18 months. Priority will be given to fishermen and local residents,” he added. On April 26, Chow announced that Penang had finally obtained the EIA approval for the PSI project, which came with 71 conditions to be fulfilled. The approval was for the three islands, namely A, B and C. The controversial reclamation project had undergone a comprehensive process with regards to the EIA report approved on June 25, 2019, but there was an appeal until the decision was overturned. Several revised reports were subsequently submitted. PSI involves the development of three artificial islands, with an area of 1,800ha, in the waters off Permatang Damar Laut, near Bayan Lepas. However, the project received objections from the fishing community and environmental non-governmental organisations in the state because it was alleged that the project would damage the marine ecosystem in the area.
Historic visit to Silicon Island
THE Penang government is optimistic that the Silicon Island project, once completed, will replicate the success of the Bayan Lepas Free Industrial Zone (FIZ). Chief Minister Chow Kon Yeow said this is possible through a topside development plan for the project. Today, Chow, alongside Penang Yang di-Pertua Negeri Tun Ahmad Fuzi Abdul Razak and other state dignitaries, made a historic visit to Silicon Island since its reclamation started in September of this year. “The topside development plan features the high-tech industrial park called ‘Green Tech Park’ (GTP) as well as digital technology infrastructure, e-commerce, and Global Business Services (GBS) facilities. “The GTP is designed with environmental, social and governance (ESG) concepts that will be able to attract compliance-conscious investment that is now a global corporate focus. “The location of the GTP and BPO also is strategic because it is close to the Bayan Lepas Free Industrial Zone (FIZ), Penang International Airport (PIA) and the Sultan Abdul Halim Muadzam Shah Bridge. “As a result, this will guarantee the development and increase the competitiveness of Penang’s electrical and electronics (E&E) manufacturing sector, similar to what was achieved with the development of Bayan Lepas FIZ,” Chow said in his speech at the Region 1 Marine Police Base in Batu Uban today. Silicon Island, renamed from Island A under the proposed Penang South Islands (PSI) project, is located at the south end of Penang Island, measuring 2,300 acres in land size. It is the only island to be reclaimed out of the proposed three islands after the state government decided to scale down the PSI project on the advice of the Federal government. Silicon Island is expected to be fully reclaimed by 2032, with the entire development spanning 25 years. The reclamation of PSI’s Silicon Island is undertaken by Silicon Island Development Sdn Bhd (SIDSB). SIDSB is the project developer (PD) set up by PIC PD Sdn Bhd and SRS PD Sdn Bhd. PIC PD owns 30% of SIDSB while SRS PD owns the remaining 70%. Chow said the development of Silicon Island is expected to generate a Gross Domestic Product (GDP) of RM1.1 trillion and an RM74.7 billion investment, apart from creating 220,000 job opportunities that will benefit Penangites and Malaysians. “Silicon Island will also improve liveability and quality of life, increase household incomes, empower the people, especially local fishermen through the Social Impact Management Plan (SIMP), increase the built environment’s resilience to reduce carbon emissions, increase the use of renewable energy and face climate change challenges. “Therefore, we are confident that Silicon Island will play its role as an environmental, social and governance (ESG) compliant project to attract investors, develop the state’s economy, and safeguard the well-being of the local community at the same time,” he said. In a press conference later, Chow said since the reclamation of Silicon Island started in September, a total of five acres of land have been reclaimed so far. “This is just preliminary work only. The project can be expedited based on the market demand. “Starting next year, we will increase the number of ships to be used to ferry the sand and pump the sand to Silicon Island. “We expect to reclaim around 300 to 400 acres per year. This does not include infrastructure works as they can only begin after the reclamation works are fully completed,” said Chow. Arriving at the site at about 10am today, Ahmad Fuzi, Chow and other distinguished guests were briefed on the progress by the officers from the Gamuda Berhad. They spent about 30 minutes on the man-made island. Many of them were seen taking the opportunity to snap photographs around the vicinity. The visit included tree planting as a symbolic gesture. Among those who visited the site were Deputy Chief Minister I Prof Datuk Dr Mohamad Abdul Hamid, state Infrastructure, Transport and Digital Committee chairman Zairil Khir Johari, state Tourism and Creative Committee chairman Wong Hon Wai, state Housing and Environment Committee chairman Datuk Seri Sundarajoo Somu, Penang Island City Council (MBPP) mayor Datuk A. Rajendran, and Penang Infrastructure Corporation Sdn Bhd (PIC) chief executive officer Datuk Seri Farizan Darus. Story by Riadz Akmal and Edmund LeePix by Law Suun Ting and Noor Siti Nabilah NoorazisVideo by Alissala Thian and Siti Nuratikah Rahmat
