Civil society groups in Penang are mulling their next move after having stalled a massive, private project to build close to 40 high-rise towers on a precious green lung on this land-scarce island.

An intense campaign has finally forced the Penang government to announce last week that it is effectively stalling the RM25 billion Penang Global City Centre (PGCC) project.

The blueprint for the project, to be sited on land now used as a racecourse operated by the Penang Turf Club, was launched last September with much fanfare by Prime Minister Abdullah Ahmad Badawi.

It is to be developed by private firm Abad Naluri, one of whose directors is Patrick Lim - also called ‘Patrick Badawi’ by former premier Dr Mahathir Mohamad because of the businessman's perceived closed ties with Abdullah.

The government regards the PGCC as a ‘high-impact’ project under the Northern Corridor Economic Region, one of several initiatives to spur economic growth in the various regions of the country.

Images of the PGCC model feature “iconic” twin towers that its developer said would become a new landmark for Penang. Promoters touted the "zero carbon" features of the project and hoped to see a deluge of interested buyers and financiers, including those from abroad.

But the project quickly ran into controversy when concerned residents and activists discovered there would be more than just two towers. Architectural plans submitted for approval showed close to 40 high-rise towers.

Activists from a string of prominent civil society groups, calling themselves the PGCC Campaign Group, launched a campaign against what they saw as deception. But they were countered by the developer, which put up a slick public relations campaign, highlighting the project's supposedly ''zero-carbon'' goal.

The campaign group successfully mobilised the public to write petitions, display anti-PGCC car stickers, wear campaign T-shirts, and write postcards to Penang Chief Minister Dr Koh Tsu Koon.

It also helped that a whiff of a general election is now in the air, widely expected to be held in March. Penang is expected to see a closely fought battle between the ruling Barisan Nasional (BN) coalition led by Abdulalh and an opposition front helmed by former deputy premier Anwar Ibrahim. The two are from Penang.

It took 2,500 postcards, emails and letters and a concerted campaign to convince Koh that it would be politically costly for BN to allow the project to proceed.

Last week, Koh said he had issued a directive to the Penang Island Municipal Council to return the application to the developer so that the plans could be revised.

''This is to enable them to address the concerns raised from the feedback we have received,'' he

said.

Deal with developer

Koh said the project density has to be reduced and the developer has to comply with a 30 percent quota for affordable housing.

The developer had planned to build almost 7,000 luxury homes and develop 1.3 million square feet of commercial space, as well as to construct some affordable housing - but only in a highly congested low-income neighbouring site.

Abad Naluri had acquired the 104ha site at RM43 per square foot in 2002. Its purchase will be partially paid in kind by building a racecourse in Batu Kawan on the mainland.

Also in 2002, the state government initiated a move to re-zone the land from recreational use to mixed development. The eventual conversion resulted in the property value soaring five to six times, landing the developer an unrealised revaluation profit of a couple of billion ringgit, even before the first bulldozer could rumble in.

Critics said that profit could have gone to the state had it acquired the property before re-zoning the land. Others argued that the Turf Club site should be preserved as an open green space as a legacy for future residents, while alternative ‘brownfield’ sites could be found for the developer.

Lim is determined to press ahead while complying with local government requirements.

“There are good international solutions for the issues raised so far, and we will embark on them shortly,” he was reported as saying, adding that he welcomed public views.

“We always align ourselves with the best thinkers in the world, so one can expect good solutions to arise.”

Important lessons

Activists say the process of revising and resubmitting the plans for approval could take at least a year. However, they are not letting down their guard.

“Let us not be naïve, the announcement by the chief minister [...] and Patrick Lim's response is all an election gimmick!'' warned a heritage conservationist.

“After the elections (if the BN wins), then it will be back to (all those) towers. I have seen this happen over and over again, so don't get taken up by all these announcements.”

The stalling of the project is only a small but significant tactical victory, admits Ahmad Chik, one of the co-ordinators of the campaign group.

“But the fight continues: I fully expect Lim to come back with another proposal that may be even more difficult to beat, seeing that it will be after the election, the biggest factor in our favour this round.”

All the same, he noted there is an important lesson for the public.

“This victory will, I hope, show the doubters and fence-sitters that we can make a difference, if we speak out together with a loud voice. Perhaps with a supportive, empowered and emboldened public a tough fight will be less difficult.”

Activists are also reassessing their strategy. Will they accept a scaled-down ‘green’ version of the project or insist that the site be preserved as a public green?

For now, the PGCC Campaign Group is insisting on a local plan not only for the Penang Turf Club site and surrounding areas but also for Batu Kawan, where the new racecourse is to be built. These local plans, they said, should be prepared transparently and with full public participation.

And once these local plans are approved, the group wants the government to insist on detailed independent Environmental Impact Assessments and traffic studies - undertaken by competent and independent consultants - before approving any major projects. - IPS