Putrajaya has admitted that only RM1.04 billion was spent on flood mitigation projects in Penang, less than half of the initially stated amount of RM2.57 billion.

"Under the 5th Malaysia Plan to the 11th Malaysia Plan, the federal government had approved RM2.57 billion for flood mitigation projects in Penang, which involved new and ongoing projects.

"For instance, a total of RM135 million was allocated for the Sungai Junjung mitigation project under the 8th Malaysia Plan, and this project was continued until the 10th Malaysian Plan.

"Although the total cost of projects worth RM2.57 billion had been approved, it does not mean that the total allocation has been spent and needed to be spent for the development work," said Natural Resources and Environment Wan Junaidi Tuanku Jaafar in a parliamentary written reply dated Oct 30.

Lim Guan Eng (DAP-Bagan) had asked why only about RM443 million was spent on flood mitigation projects in Penang between the 9th and 11th Malaysia Plans. 

"What happened to the balance of RM2.157 billion pledged, and when will the flood mitigation projects be implemented?" said the Penang chief minister, whose state was hit by massive floods last Saturday.

Wan Junaidi said the RM2.57 billion figure was the initial ceiling cost that was expected to be paid for the implementation of the projects. 

"After taking into consideration the scope of work, design and site requirements during the implementation process, the actual allocation spent under the 9th to 11th Malaysia Plans was only RM1.04 billion," he said, adding that the amount excluded the money spent on such projects in earlier Malaysia Plans.

He stressed that the initial cost was the maximum amount allowed in the projects.

After the five-hour rain that led to the Sept 15 flash flood, both state government and Putrajaya engaged in argument over the actual amount allocated for federal mitigation projects in Penang.

Wan Junaidi insisted that RM2.6 billion had been spent for flood mitigation projects in the northern state, while the state government demanded proof.