Penang airport expansion estimated at RM1.55b, almost fully funded by MAHB — exco

• State Infrastructure, Transport and Digital Committee chairman Zairil Khir Johari said it would be financed without any collaboration with other private companies, and involves expanding the airport's capacity from 6.5 million passengers per annum (mppa) to 12 mppa upon completion.

GEORGE TOWN (Nov 28): The total cost of the expansion of the Penang International Airport (LTAPP) is estimated at RM1.55 billion, with almost all of it to be financed through a private financing initiative by Malaysia Airports Holdings Bhd or MAHB (KL:AIRPORT).

State Infrastructure, Transport and Digital Committee chairman Zairil Khir Johari said it would be financed without any collaboration with other private companies, and involves expanding the airport's capacity from 6.5 million passengers per annum (mppa) to 12 mppa upon completion.

"The LTAPP expansion project involves three packages — Works Package 1 (WP01) involving support building works and the construction of a remote digital virtual tower; WP02 involving airside and apron infrastructure works; [and] WP03 involving works on the main terminal.

"The letter of award for WP01 was issued in July," Zairil said at the State Legislative Assembly sitting here on Thursday.

He was responding to an oral question by Goh Choon Aik (Pakatan Harapan-Bukit Tambun), who asked for a list of all direct flights to the LTAPP, the number of domestic and international passengers for 2024, as well as the status of the upgrade, infrastructure upgrade work and traffic dispersal around the airport.

Regarding the site of SJK (C) Chung San near here, which is involved in the land acquisition for the LTAPP expansion project, Zairil explained that the gazetting process under Sections 4 and 8 of the Land Acquisition Act 1960 (Act 416) is currently being completed.

He said that once the land acquisition is completed, the school's administrative board can manage the acquisition of the school site and the construction of a new building using the compensation that will be paid in accordance with the provisions of Act 486.

Zairil, who is also the Tanjung Bunga assemblyman, informed that the numbers for arrivals recorded from January to September this year were 1.34 million for domestic arrivals and 1.39 million for international arrivals.

He said that the LTAPP had 19 direct international flights, including from Phuket, Guangzhou, Xiamen, Hong Kong, Medan, Jakarta, Surabaya, Banda Aceh, Taipei, Ho Chi Minh City, Dubai, Shanghai, Shenzhen, Chongqing, Kunming and Doha.

On Feb 27, Transport Minister Anthony Loke Siew Fook announced that the government had approved the airport expansion project, and this was also announced by Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2025 on Oct 18.

Apart from the expansion of the LTAPP, Anwar also announced the implementation of the Juru-Sungai Dua Elevated Highway project, the Penang Light Rail Transit (LRT), and the Batu Kawan Industrial Park 3 in Penang.

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