Penang undersea tunnel project on hold
The Penang government has put a stop to the feasibility study on the proposed 7.2km undersea tunnel linking Penang to Butterworth.
Consortium Zenith BUCG Sdn Bhd’s (CZBUCG) chairman Datuk Zarul Ahmad Mohd Zulkifli said the company had stopped its feasibility study for the undersea tunnel following a request by the state government a month ago.
“They did not provide any explanation on stopping the feasibility study for the undersea tunnel, but want us to focus on the highway projects for now,” Zarul told a press conference yesterday.
He said the consortium had spent some RM100mil on the feasibility study, which could be claimed from the Penang government.
Asked if the project was shelved in preference to the construction of a third bridge for the island, Zarul was non-committal.
“We will cross the bridge when we get to it,” he said.
Although there was no compensation clause in the contract with the state if the undersea tunnel project was cancelled, he said the company could still make claims for work done.
The undersea tunnel and three paired road project was awarded to the company in 2013 and is estimated to cost some RM3.2bil, with financing coming from a land swap deal involving 45.5ha to be reclaimed.
On the three paired road project, Zarul said CZBUCG planned to start work this September after getting the nod from the state.
He claimed that the feasibility and detailed design fees for the three paired roads was RM220mil, of which the state had paid about RM135mil through a 1.485ha land swap deal.
On the financing for the three road projects, Zarul said CZBUCG had approached institutions for it.
“The funding for the project would be a mix of investors and bank borrowings. We have our own formula such as in the form of a property fund, where they will pay us first and then get the land later,” he said.
Zarul said the consortium will hold a roadshow and town-hall meetings in Penang in early August to explain the project to Penangites.
Source: TheStar.com.my
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As expected. Anyway not bothered to go to mainland as there is nothing there. Enjoy my precious Island in the Sun. Dies not matter if there is a bridge or tunnel. Makes no difference. Just buy properties on Penang Island – the best place to live
@Getha
It is surely nice to have a tunnel, but we have to be honest to ourselves, and ask, CAN WE AFFORD IT? Just because we are going to use the money “created” from reclaimed land does not mean it is “free”. The fact of the matter is, NO, it is not free. We are merely using our future money, and to be specific, PENANGITES’ FUTURE MONEY. And our future generation will suffer for this.
SooChin agree. We do not want tunnel and Bridge! I just want my wonderful Island in the Sun. Call me selfish if you want but really there is nowhere better than Penang Island.
Those who said Penang don’t need a bridge or tunnel, Please go to Penang bridge and have a look, how many penang islanders go to mainland and work?
My point of view the bridge or tunnel is really need on that area. I am actually travelling everyday to Penang for working from Kedah for more than 10 years. The Seberang Jaya highway (in front of Seberang Jaya Hospital) is getting worst day by day. No matter your destination is to Bayan Lepas FTZ, Georgetown area or Juru you have to pass this highway. Alternatively you can use Butterworth bypass but will jam in front of Pasific Megamall and someting until chai leng park. If you use federal road will jam in Intrawasih. Of couse you can use Ferry to come to island but you have to pay more fee and long trip in ferry to enjoy nice view.
@SP
100% agree
Whether it is a tunnel or bridge, Penangites still need it.
I agree with soochin.
@SP
Correct, 100 % agree, Penang is mainland and island, and mainland people’s needs should not be sidelined because of politics and a few selfish and elitist islanders.
Buy Penang Island properties always. My beautiful Island in the Sun.
@Getha
Okokok..buy buy buy on island only…so,how many properties on island you have bought so far?
Please share and how we could reap profit if we target ROI 50% in five years time,possible for now?
Which project on island would you recommend then ?
I’m all ears on you….
Be patient and choose the properties that suit you in terms of location and pricing. One man’s meat is another man’s poison. Do not rush head log into this investment. Regardless though, Penang Island will continue its march towards prosperity. mainland….the waiting game continues….