The exchange took place during Chow’s winding-up speech as he replied to questions about the Penang Development Corporation (PDC).
Chow said PDC decided not to proceed with a previous RM818 million offer by an IJM-Aspen consortium because the bidder failed to comply with five of nine key conditions set under the request for proposal (RFP).
He said the offer could not be judged by its headline figure alone, as the consortium attached additional conditions that would have imposed heavy costs on PDC.
Among others, he said, the successful bidder was required to build a bridge linking the site to the Batu Kawan Industrial Park, but IJM-Aspen refused.
Chow said the bridge alone would have cost more than RM200 million, bringing the effective value of the RM818 million offer down to about RM500 million after other costs were taken into account.
He also said PDC could not accept a proposed first right of refusal for nearby land, as this would tie the state government’s hands in deciding how the land should be used in the future.
First right of refusal meant the company would get the first option to purchase the nearby land before the state government offers it to others.
“If several hundred acres next to this land were given under first right of refusal, we would no longer be the government. Aspen would become the government,” he said.
Lim then interjected, asking Chow to detail which companies had applied under the latest RFP, which one was successful, and why the second RFP did not proceed.
Chow did not answer but said if Lim wanted the PDC and state government to accept the IJM-Aspen offer despite the conditions he had explained, they could not do so.
Lim denied this, saying he was not asking the Penang government to follow any company’s demands, but only for the second RFP to be explained clearly in the interest of accountability.
The two then spoke over each other, with Chow repeating that each RFP had different terms and offers, while Lim said all details must be explained properly because it involved a major state asset.
Lim then said The Edge had described the matter as its “Turkey of the Year”, and that this had affected the Penang government’s image.
Chow shot back while thumping his table: “You believe The Edge, but not your comrade. Sit down!”
Lim replied that Chow did not need to get emotional, saying the state government should explain the facts to The Edge if the report was wrong.
Speaker Law Choo Kiang then stepped in and asked the pair to move on, saying Chow had already given his answer on the issue.