An alleged plan to redevelop Pulau Jerejak, an island off Bayan Lepas in the southern post, has set tongues wagging that Penang's green lung would be destroyed.

This prompted state BN chief Teng Chang Yeow to query Chief Minister Lim Guan Eng over what happened to the 49 percent stake held by Penang Development Corporation (PDC) in Tropical Island Resort Sdn Bhd (TIR).

"Has PDC sold off the 49 percent to UDA Holdings or to developer Ideal Property? What was the selling price?

"Was the selling done via an open tender or through other forms of negotiation?" Teng asked in a press conference.

"As at today, no one seems to know the actual situation. Has the state lost ownership of the evergreen Pulau Jerejak?" asked the state Gerakan chief.

Teng (photo) was referring to the announcement by Tropical Island Resort about a 51:49 joint venture between UDA and PDC.

TIR said it has entered into a deal with Ideal Property to develop Pulau Jerejak.

The Penang government had previously denied any development plans in Pulau Jerejak, when the question was posed in the state legislative assembly.

Lim had also been quoted in the media denying that the state was selling PDC's shares.

"Why the dilly-dally in making an official announcement to the people? Where is the transparency?" asked the former state executive councillor under BN's rule prior to 2008.

Meanwhile, Teng questioned the state's delay in gazetting Pulau Jerejak as a national forest reserve.

He accused Lim of delaying the matter despite being in office for eight years.

"Is the delay caused by any plan to redevelop Pulau Jerejak? And if so, why can't the chief minister tell the public the truth? Don't be ambiguous," Teng told Lim, who is also DAP secretary-general.

Rejected development under BN

Teng said during BN's time, they rejected housing or hotel development plans for Pulau Jerejak as it was not in line with the natural environment of the island.

He said that eventually only an "eco-hotel" was allowed, not a high-rise one.

He claimed that the current development plan was beyond Penangites' expectations as it involves building a bridge to link Pulau Jerejak and the main island.

"When we approved the development for ecotourism last time, we also planned to gazette a big portion of the land which formed the backbone of the island as forest reserve, then managed it as a state park.

"But up to now, the state government has not yet done so. Instead they are doing something adverse, which raises our concerns, especially linking the two islands together," Teng added.

He also questioned the joint venture deal which involved Q Islands Development, a subsidiary company to Ideal Property Group.

"If you ask people in the property market, they all know that Ideal is close to the state government. People know they are buddies," he said.

Teng said DAP claimed they do not practise cronyism, saying perhaps this is only "buddyism".

He claimed Ideal allegedly received a lot of preferences from the state government, vowing to reveal it in the coming press conference.

Teng alleged that the developer has obtained a reclamation project from the state government located opposite Pulau Jerejak.

"We suspect that is why Ideal is offered to involve in the joint venture. Why such a coincidence?" he asked.