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PENANG is considering the establishment of a new administrative capital on the reclaimed Silicon Island, in a move that could gradually shift parts of the state’s governing apparatus away from Komtar.
Chief Minister Chow Kon Yeow indicated that early planning is already under way, raising the prospect of relocating selected government functions from the long-standing headquarters in George Town.
Komtar, the tallest skyscraper in northern Malaysia, currently houses the state government, including the Chief Minister’s office on Level 28, alongside the Penang Island City Council. The 62-storey tower also accommodates commercial outlets and attractions such as The Top.
However, attention is now turning to Silicon Island, a major reclamation project off Batu Maung near Penang International Airport, where a more compact administrative centre is being envisaged.
Chow said the Penang Development Corporation has been tasked with planning efforts, including architectural design, land use studies and assessing the spatial needs of government agencies.
“PDC will assist with architectural planning, land use studies, and assessing the space requirements of various government agencies. The proposed centre will not be large because the space available to the state is only around seven acres.”
He emphasised that the development would differ significantly from Komtar in scale and design.
“With height controls in place, it will not be built like Komtar. So, the building will still house offices,” he added.
The reclaimed land is expected to be ready by 2028, with construction to begin thereafter.
“Now the planning, the architecture planning has already started. But the land will be ready in 2028. So, when the land is ready, then construction can start,” he said.
The proposed administrative hub forms part of the broader Silicon Island project, which is being positioned as a future centre for investment and high-value industries.
Chow said infrastructure planning is progressing in tandem, including preparations for the Penang LRT Mutiara Line.
Land for the rail depot will soon be handed over to Mass Rapid Transit Corporation, allowing construction to proceed once the site is ready, with initial works expected to begin this year.
Chow added that the wider development incorporates sustainability principles and technology-driven planning to ensure transparency for investors and developers.
Industrial land parcels are expected to be released in phases, supported by incentives from the Finance Ministry.
The idea of relocating Penang’s administrative centre is not new. In the early 2000s, a previous Barisan Nasional administration had proposed moving state offices to Prai on the mainland to ease congestion in George Town, though the plan was never realised. - April 9, 2026
