Penang govt not involved in LRT Package 2 contractor selection, says CM

Penang govt not involved in LRT Package 2 contractor selection, says CM

Chow Kon Yeow says the state government is only a key stakeholder in the project and is involved in the Procurement One-Stop Centre Committee.

lrt penang bernama pic 21825
Penang chief minister Chow Kon Yeow said the Mutiara Line LRT project is proceeding according to schedule. (Bernama pic)
GEORGE TOWN:
The Penang government is not involved in the selection of the company to be awarded the contract for Package 2 of the Mutiara Line LRT project, as it falls under the authority of the project owner, Malaysia Rapid Transit Corporation Sdn Bhd (MRT Corp).

Chief minister Chow Kon Yeow said the state government is only a key stakeholder in the project and is involved in the Procurement One-Stop Centre Committee.

“After MRT Corp has completed its evaluation, it will make its recommendation to the committee, so I can say that it is not yet time to make an offer.

“I believe they are still evaluating all the tenders received,” he said after launching the Penang Automation, Test and Equipment (ATE) Campus here today.

He was commenting on a report by a news portal alleging delays in the bidding process for Package 2 of the Mutiara Line LRT project because of political interference and lobbying.

Chow also dismissed claims that the project was experiencing delays, as implementation was proceeding according to schedule.

The Mutiara Line LRT, which began construction in 2025 and is expected to be operational in December 2031, will span 29.67km, with 20 stations and two provisional stations.

Action over water supply

Chow said Penang Water Supply Corporation (PBAPP) has contacted authorities in Kedah to coordinate immediate measures following the water level of Sungai Muda falling to a dangerous level of 1.27m, compared to the safe level of 2m.

He said releasing water from Beris dam in Kedah had also been suggested as a short-term measure to address the declining water level in Sungai Muda.

“In the meantime, Penang will continue to channel water from the Mengkuang dam to meet the current needs and ensure that the water supply is not disrupted,” he said.

Chow, who is also the PBAPP chairman, said Penang hopes that cloud seeding operations could be carried out in upstream Kedah as an immediate measure to raise the water level in Sungai Muda.

RM25 billion in approved manufacturing investments

Chow said Penang recorded RM25 billion in approved manufacturing investments in the machinery and equipment sector between 2020 and 2025, accounting for 40% of Malaysia’s total investments in this segment.

He said the strong performance reflects Penang’s growing importance within Malaysia’s semiconductor ecosystem, particularly in supporting higher-value activities beyond the country’s established outsourced semiconductor assembly and test (OSAT) base.

At the national level, exports of machinery, equipment and parts reached RM78.3 billion last year, accounting for 4.8% of total exports, with ATE contributing more than half of the segment.

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