Penang Chief Minister Lin Guan Eng has chided Prime Minister Najib Abdul Razak for keeping mum on details of a multi-million ringgit plan to privatise the state's port.

 

Despite repeated questioning in Parliament, Lim said that the federal government has only given piecemeal replies to the cost and the extent of the job, which was handed to Seaport Terminal (Johore) Sdn Bhd (STSB) through a restricted tender. An agreement was signed on Nov 23 last year.

 

"When will STSB start the main dredging work to deepen the port from 11.5 metres to 14.5 metres, costing RM353 million and how much money will the government inject into Penang Port?" Lim ( right ) asked in a press statement today.

 

"Why no official accountability from the federal government to the people of Penang to the point where even Umno members are protesting?" he said, adding that similarly, little was known about a plan to refurbish a military air force base in Butterworth.

 

In his press statement, Lim attached the written reply from Minister in Prime Minister's department Abdul Wahid Omar, given on behalf of Najib to Lim's parliamentary query.

 

Abdul Wahid (left), the head of economic planning unit, only reiterated what was said before, that STSB would take over the RM16 million a year ferry operation between Penang and Butterworth, absorb all of Penang Port's staff, as well as carry its RM1.2 billion debt.

 

"There is no issue of accountability in view of the privatisation being carried out under a restricted tender basis. The decision to privatise the port was based on commercial and technical considerations so that Penang Port can continue to operate.

 

"Besides that, the government also has a special or preference share in the company, which indirectly protects the government’s interests in the venture," Abdul Wahid replied.

 

On the issue of the Butterworth Air force base, the reply noted that the project is still being studied by the Defence Ministry.

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