PIL1 hit by bridging loan setback
The proposed Pan Island Link 1 (PIL1) highway project has hit a snag after the state government failed to obtain a RM1bil bridging loan.
Chief Minister Chow Kon Yeow said since the loan from the federal government was not forthcoming, the project delivery partner would now have to source for the funds.
“This is an additional option we are looking at,” he told the Sunday Star regarding the loan from the federal government which had been pending for some time.
Chow said the government was still waiting for the Environmental Impact Assessment approval for the Penang South Reclamation (PSR), the funding model for the RM46bil Penang Transport Master Plan (PTMP) encompassing the PIL1.
When asked if the PSR projects would be approved in June as mentioned early this year, Chow said “hopefully”.
However, SRS Consortium, the project delivery partner, said the state should stick to the agreement in the Request For Proposal that mentions that the state would come up with RM1bil, while the company looks for the RM1.3bil bridging loan to kick-start the project.
“That was what was agreed upon,” said SRS Consortium project director Szeto Wai Loong.
“In fact, we are looking at the overall approval for the PTMP projects if the PSR funding could be obtained by June.”
He said the necessary regulatory works and awarding of contracts would take place after the approval and the actual construction could only begin a year after that.
“We understand the state is looking at all aspects for the project, as such it would take some time to get the approvals,” he said.
The controversial PIL1 is designed to solve the island state’s traffic congestion and cater to the economic needs of Penang over the next five decades.
The first phase of the PTMP is the construction of the PIL1 and the Bayan Lepas LRT.
Presently, the Tun Dr Lim Chong Eu (LCE) Expressway is Penang’s only spine road, which is perpetually congested.
The PIL1 is expected to serve as a second link with a ring traffic dispersal system connecting the North Coast Paired Road, Gurney Expressway, the LCE expressway, the Penang International Airport and the first as well as second Penang bridges.
The RM7.5bil PIL1 (19.5km six-lane highway) will meander along the foothills of Penang Hill from Gurney Drive to the airport.
The highway is designed to enable motorists to reach the airport in 15 minutes from Gurney Drive compared with 90 minutes now through the city’s traffic.
Source: TheStar.com.my
There you are ! Again, empty talk ?
No money, no money, nobody ! Wait till the cows come home ?
Memang siput.
People will get frustrated over the delay of this project. Don’t simply commit and give false hope to people. Very disappointed.
PIL1 no fund from Fed Gov because Malaysia debt is at 1 Trillion. Penang Gov can seek help from private investors like MBI which is cash rich. Also consider Ideal to build PIL1 to have cheaper quotation. LOL
@Macam siput
Siput better than 1 trillion debt. Better be safe than sorry
Penang as always expected – 讲就万能，做就无能 ！
@Kenny
Ya lah, why keep fooling around when fully awared no action will be forthcoming then !?
Last time when PG under BN and when we dont get any money for any development, didnt dare to ask for money from federal. So ok, we voted BN out, AGAIN, boh budget for PG coz DAP blames BN (federal gov). And NOW, with both state and federal gov the same gang, again one big pile of excuses. See! What did i tell you guys??? Never trust the politicians, they are the lowest kind.
Don’t understand the state goverment attitude when crirical needs of infrastructure had been so long delayed under the past regime, why can’t they push and demand from the federal govenement to put it under fast track?? with specific time frame to complete?? is that too difficult for CM and his team to do??
When the “expansion plan” of Penang Airport was shot down by the federal govt yet now, Putrajaya announces RM1.6b for Kulim airport as part of 11MP review !? https://www.malaymail.com/news/malaysia/2019/03/19/putrajaya-announces-rm1.6b-for-kulim-airport-as-part-of-11mp-review/1734200
Bear in mind, the Penang Airport expansion plan needs only minimal “building cost” because its surrounding lands have already been acquired by the state govt. few tears ago ! Whereas, Kulim airport is totally a different ball game ! Sigh )))))
State should focus the interim which is the public transportation; much within the state capability, nothing to do and not depending from federal; but yet, i dont see nothing from state on this front. pui.
CKY needs to grow some balls and start pressuring the gov to approve the PIL and PTMP, stop being a mr nice guy and give lame excuses. Both these projects are long overdue and should be given top priority over the useless Kulim airport
I have a suspicion that the federal government is still investigating the corruption case involving guan eng and CKY on the tunnel and ptmp issue and based on MACC leaked info it is proving that the issue is a major one, even worse than the 1MDB case. That explain why the funding is not coming. The new cleaner government do not want it’s image to be tainted with the tunnel and ptmp corruption case.
Thank god for that. Let’s clean up the corruption before proceeding with the project. The amount of money associated with these projects are exorbitantly high that any tom, dick and harry will suspect that it involves in corruption.
Please focus on the traffic in Bayan Lepas, Sungai Ara and Relau areas first before thinking on the PIL1. These areas jam like hell every day and it is seriuosly affecting the factory workers. Building the PIL1 will not help us and it is solely a waste of money and will have VERY BAD impact to the environment as well.
I thought PIL1 got interchange at Paya Terubong, Relau, LCE and Bayan Lepas. Should help alleviate the congestion there. Project should start asap.