Nurul Izzah tells Penang to cancel controversial three- island reclamation, but state exco insists project is needed

Published by Malay Mail • 01/06/2021 • 03:19 pm

Nurul Izzah said the losses and risks of the PSR project far outweigh any possible gains to the state and its people. — Picture by Miera Zulyana

GEORGE TOWN, June 1 — Permatang Pauh MP Nurul Izzah Anwar has criticised the controversial Penang South Reclamation (PSR) project, calling for it to be cancelled and replaced with a sustainable economic rejuvenation plan to reverse the economic impact of the Covid-19 pandemic.

She said there was no need to reclaim 4,500 acres of land in the sea when land was plentiful in the mainland area of the state.

“More efforts should be focused on small-scale pro-community development on the Penang mainland, as advocated by Think City, to address unbalanced growth; this should be the main trajectory of Penang’s development,” she said in a statement yesterday.

She pointed out that the environmental impact assessment (EIA) report for the PSR project, clearly stated that there would be permanent destruction and residual impacts on the mudflat ecosystem, fishing grounds, turtle landings, and some of the coral reefs on Pulau Rimau.

He said the state government is willing to arrange for Nurul Izzah to meet and speak directly to some of the fishermen involved to get a clearer picture of the situation.

As for the impact on the environment, Zairil said mitigation measures have been planned under the ecology offset programmes and that they have also incorporated studies by the UN Intergovernmental Panel on Climate Change (IPCC), Low Carbon Cities Framework, and the independent report by the Royal Haskoning DHV into the planning of the PSI.

He said the three islands are designed with plenty of public green spaces and 20 per cent of the land are reserved for parks, mangroves, water canals, and wetlands to achieve temperature cooling.

“In addition to that, the PSI also aims to reduce carbon emissions by 40 per cent, achieve 100 per cent renewable energy usage and reduce freshwater demand by 70 per cent,” he said.

Finally, he said the PSI and the Penang Transport Master Plan (PTMP) have been identified by the Penang Socio-Economic Recovery Consultative Council (PSERCC) as key recovery drivers to ensure the state’s economy and its citizens survives after the current Covid-19 crisis.

“It is precisely because of the current protracted pandemic and the ensuing economic disaster that the PSI is needed now more than ever as a catalytic development project for Penang,” he said.

He said an independent study prepared by PricewaterhouseCoopers has indicated that the completed PSI would attract RM70 billion of foreign direct investments and create more than 300,000 jobs over a 30-year timeframe.

He said the PSI will create more high-value employment to stop the outward migration of talented Penangites and also attract the best and brightest from all over the country to come to Penang.

Zairil said the joint-venture model with SRS Consortium allowed the state to commence with the project without the associated risks and debt such as project financing and corporate guarantee as these are borne by the principal partner of SRS Consortium, Gamuda Berhad.

“In the event of default, we have also agreed that all reclaimed land will not be subject to caveat by the lenders. This effectively mitigates the potential risks,” he said.