Penang Port accelerating transformation into smart, efficient, low-carbon port - PPC chairman


Yeoh (seated, centre) and the delegation from OpenMove AI during a recent visit where OpenMove AI presented its AI software and the potential application of AI technologies in port operations

KUALA LUMPUR: The global port and shipping industry is rapidly moving towards digitalisation, intelligent operations and green development, said Penang Port Commission (PPC) Chairman Datuk Yeoh Soon Hin.

He said competition among ports is no longer confined to terminal size, handling capacity or cargo-handling speed, but has expanded into areas such as data integration, supply chain coordination, safety and security oversight, energy management and customer service.

For Penang Port to be future-ready, it must move beyond traditional labour-intensive and energy-intensive operating models and accelerate the parallel transformation towards both smarter and greener operations. 

Through artificial intelligence, automated systems and integrated data platforms, the port can enhance operational efficiency while accelerating the adoption of energy-efficient equipment, clean energy and low-carbon technologies to build a smarter, greener, more competitive and resilient port.

“A smart port is not simply about introducing automated equipment. It is a systemic transformation encompassing vessel scheduling, terminal operations, cargo movement, customs clearance coordination, logistics connectivity, safety monitoring, energy consumption and management decision-making.”

“The port of the future must not only operate efficiently; it must also be able to ‘think’ through data, make forecasts and support more precise decision-making. Artificial intelligence can help ports analyse real-time data, forecast operational demand, optimise the deployment of equipment and manpower, and identify potential risks in advance,” said Yeoh.

Yeoh recently received a delegation from OpenMove AI led by its executive director, Steven Wong. During the courtesy visit, the delegation introduced its artificial intelligence software to PPC and explored the potential application of AI technologies in port operations, logistics coordination and smart port development.

Yeoh said the new intelligent terminal operating model introduced by OpenMove AI provided PPC with an opportunity to gain a deeper understanding of the potential applications of artificial intelligence. 

Potential use cases discussed by both sides included operational process optimisation, logistics visibility, vehicle and cargo-flow analysis, predictive maintenance, anomaly alerts and intelligent resource allocation.

He said that effectively using AI to improve coordination among vessels, vehicles, cargo and port equipment could help reduce unnecessary waiting time and equipment idling, improve cargo-flow efficiency, and at the same time lower fuel, electricity and overall operating costs.

However, he stressed that any artificial intelligence solution must undergo rigorous technical and operational assessment before formal implementation to ensure that it meets the port’s actual operational requirements, cybersecurity requirements and data governance standards, while also being capable of effective integration with existing port systems.

“We must not adopt technology merely for the sake of technology. Every investment in digitalisation or artificial intelligence must solve real operational problems and deliver measurable outcomes, including shorter operating times, lower costs, higher productivity, stronger safety and security, and an improved overall experience for port users.”

Yeoh said smart transformation and green transformation should not be regarded as two separate development pathways. The precision analytics and scheduling capabilities enabled by artificial intelligence can reduce equipment idling, optimise vehicle and vessel movements, improve energy efficiency, and assist ports in monitoring and managing carbon emissions.

He noted that as the international shipping industry accelerates its decarbonisation efforts, Penang Port, under his leadership, will actively study the development and adoption of green port machinery, hybrid equipment, shore power facilities and alternative energy solutions, with the aim of progressively optimising the port’s energy structure.

“Smart transformation must create value for green transformation. Only by combining technological innovation with low-carbon development can Penang Port improve operational efficiency while fulfilling its environmental responsibilities and strengthening its long-term competitiveness.”

Yeoh said that as a major maritime gateway along the Strait of Malacca and for northern Malaysia, as well as an important logistics hub connecting the Indonesia–Malaysia–Thailand Growth Triangle, Penang Port’s future smart development cannot remain confined within the port itself. It should extend its connectivity to roads, railways, inland ports, shipping lines and logistics service providers, progressively building a smart logistics ecosystem spanning the entire supply chain.

He proposed that PPC continue technical exchanges with emerging artificial intelligence companies from Malaysia and abroad, beginning with specific use cases that meet the actual needs of Penang Port. Small-scale proof-of-concept or pilot projects could then be studied, with the feasibility of wider deployment subsequently assessed based on system security, technical compatibility, cost-effectiveness and actual results.

“The transformation of Penang Port cannot be accomplished by a single institution alone. We must bring together port operators, government agencies, technology companies, logistics players, universities and research institutions to expand the collaborative network for smart and green port development.”

“Our goal is not merely to build a port with more advanced equipment, but to develop a modern port that is more efficient, safer, smarter, lower-carbon and more resilient, enabling Penang Port to maintain a leading position in regional port and maritime competition.”

Yeoh thanked Steven Wong and the OpenMove AI delegation for their visit and presentation, and expressed his hope that both sides would continue more in-depth discussions on MOVENET’s technical capabilities, potential use cases, and its integration potential with Penang Port’s existing operational systems.

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Penang Port , PPC , logistics , shipping , transport

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