End ‘vendetta’ against Penang, reinstate RM2 bil loan guarantee, MP tells Putrajaya

Bukit Mertajam MP Steven Sim describes the cancellation of the federal government’s loan guarantee for the Penang LRT project as a

‘despicable act of political vendetta’ against the state and its people. – Facebook pic, November 28, 2020

GEORGE TOWN – Putrajaya should stop its “vendetta” against Penang, said Bukit Mertajam MP Steven Sim, referring to the scrapping of a RM2 billion loan guarantee for the state’s light rail transit (LRT) project. In a statement, he called on the federal government to do the honourable thing by reinstating the loan guarantee or helping fund the project, which is an essential component of the Penang Transport Master Plan.

“The cancellation of the RM2 billion loan guarantee for the Penang LRT project is a disappointing, despicable act of political vendetta against the state and the people of Penang.”

The loan was to be secured from the Asian Development Bank. Sim said Penang is not asking for money from the federal government, and that the loan guarantee was the least Putrajaya could do for the state. A survey has shown that 97.7% of Penang folk want the rail project to continue.

The previous Pakatan Harapan administration agreed to the loan guarantee, aimed at developing Penang according to the state’s needs.

In Budget 2021, RM15 billion is allocated for the Pan-Borneo Highway, Gemas-Johor Baru Electrified Double-Tracking Project, Klang Valley Double-Tracking Project Phase 1, Rapid Transit System link from Johor Baru to Singapore, and MRT3 in the Klang Valley.

It was also announced that the federal government will develop a monorail system in Putrajaya and fund a RM6 billion transit system in Kuching under the 12th Malaysia Plan, said Sim.

“While multibillion-ringgit transport projects are being funded by the PN (Perikatan Nasional) administration in other states, Penang’s loan guarantee was disappointingly cancelled.”

This is despite the state being the second-biggest tax contributor in the country, he added. – The Vibes, November 28, 2020