Documents: Cost of Penang highway project upped by RM300 mil

comments     Susan Loone     Published     Updated

Latest findings on the controversial alignment of the Penang Outer Ring Road (PORR) project reveal that the original cost of the proposed highway was almost RM300 million lower than the one approved by the Penang state government.

Documents made available to malaysiakini , revealed that the original total cost of the project proposed by the concessionaire company, Penang Metroworks Sdn Bhd, in 1996 was RM715.3 million for the length of 21km.

The cost was subsequently revised to RM871.6 million in a proposal dated May 8, 1996 issued by the State Economic Planning Unit (Sepu) to officials involved in the project.

However, when the plan was unveiled in May this year, the project was billed at RM1.02 billion. The latest plan involved a 17km highway which did not include three proposed tunnels.

The cost of the original proposal in 1996 included lightings throughout the length of the highway, tunnels in three segments Jalan Gelugor, Air Itam and Gottlieb plus toll plazas at Jalan Gelugor and Jalan Gottlieb.

Costs for land acquisition which cover resettlement of all household ground and non-household ground tenants, relocation of major services and land for toll plazas were priced at RM150 million.

The original proposal, which was signed by Wan Saaidah Wan Jaaffar on behalf of Sepu, was sent to several departments including the state legal advisor, the finance, land and mineral, and works departments and the Penang State Development Corporation.

Copies were also sent to Penang Chief Minister Koh Tsu Koon and his deputy Hilmi Yahya.

Penangites piqued

The highway project, initiated by the Works Department in 1996, has raised the ire of Penangites as 176 structures would have to give way for the construction of the project which is scheduled to be completed in 2007.

Those affected include residential homes, places of worship ( left ), graveyards, shop lots and Penang's famous Youth Park.

Despite knowing that they have to move soon, troubled tenants have yet to hear about compensation rates.

The Consumers Association of Penang has gone on a public signature campaign to try and stop the project which it claims is environmentally damaging and would affect hundreds of thousands of people on the island.

Other complaints registered by the public and the opposition are the lack of study, consultation and transparency in the project.

The state government's credibility is being challenged as members within the government are questioning the viability of the project.

Experts say the highway would not solve Penang's perennial transport woes and call for a better public transportation system instead.

Despite the project having significant environmental and social impacts, no detailed environmental impact assessment study was ever conducted for the project which is set to change the island's landscape.

No studies were disclosed to the public which justified the need for PORR except for a 1981 study conducted by JICA, a Japanese development agency.

Project to go ahead

Nevertheless, government officials appear to be adamant about carrying on with the project.

Hilmy recently announced that construction of the proposed road will go on despite opposition from some quarters.

"We will try to accommodate the public, but the project will be carried out as planned. We must also think of the majority of the people," he was reported to have said in recent media reports.

When contacted, Koh's office said that the minister does not want to answer questions on the PORR project "for now".

"He is currently studying every detail and will answer all the questions related to PORR once he is ready," the official told malaysiakini .



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