Penang committed to making RM30 bil PSI project happen: Zairil

30 Aug 2022 • 6:35 PM MYT
The Vibes
The Vibes

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Penang committed to making RM30 bil PSI project happen: Zairil

GEORGE TOWN – Penang remains committed to making the proposed RM30 billion Penang South Islands (PSI) a reality after the Kuala Lumpur High Court struck out its bid to challenge the Environment Department’s revocation of the first environmental impact assessment (EIA) report of 2019.

The state will continue to pursue the project, which involves reclamation to create three artificial islands, as it believes the people stand to benefit, said state executive councillor Zairil Khir Johari.

Zairil, who oversees the infrastructure portfolio, said that the project can benefit local residents, notably the inshore fishermen, despite critics claiming otherwise.

In a statement, he said the project will also bring about various benefits for them through its Social Impact Management Plan. 

Among the proposed measures are ex-gratia payments, bigger new boats and engines with greater horsepower, a cooperative for business opportunities, and new fishing jetties.

The state government has set aside RM100 million to realise these initiatives, he said.

To encourage sustainability in the fisheries sector and mitigate environmental impact, the state will carry out the PSR Ecology Offset Masterplan, which includes deploying artificial reefs and fish-aggregating devices. It also includes planting mangroves, releasing fish and prawn fry, building eco-shorelines on the perimeter of the reclaimed islands, and providing funds for marine and fisheries-related studies.

However, Zairil did not specify how the state will pursue the matter now that the court has rejected its appeal on grounds of inappropriate timing.

Zairil explained that the EIA report in dispute was approved in 2019 before the decision was reversed by the appeal board on September 8, 2021. 

He said the board’s basis to reverse the approval was due to the interpretation of the state structure plan’s approval date.

In response, the state government has filed for a judicial review in the high court to challenge the board’s finding.

The structure plan was approved by the state authority through the State Planning Committee on March 14, 2019 and was presented to the National Physical Planning Council on April 18, 2019. 

The board’s understanding was on the gazettement date of the structure plan, he added.

The state government has also submitted an updated and more comprehensive EIA report for approval earlier this year, followed by a public display from May 20 to June 18, 2022 to gain feedback.

A technical committee review meeting was carried out and the consultant has since responded to the feedback received from all relevant agencies.

Penang will ensure full compliance with all regulatory authority requirements, including approvals for the EIA and environmental management plan, prior to the reclamation works, he stressed.

It is believed that the state has not exhausted all legal resources and the state legal office is studying what steps it may need to undertake next.

The state may yet appeal to a higher court, he added. – The Vibes, August 30, 2022