Feasibility study for Penang undersea tunnel project is completed


GEORGE TOWN: The feasibility study for the controversial undersea tunnel project has finally been completed.

State transport committee chairman Zairil Khir Johari said the undersea tunnel and three highways project delivery partner, Consortium Zenith Construction (CZC), completed the study last month.

"They (CZC) have submitted the final report.

"We need to review it and arrange for them to formally present it to the exco for approval, ” he said.

Zairil said the full report was submitted at the end of December.

"CZC presented the draft feasibility report in Sept 2019, and it was then amended based on reviews by various relevant agencies," he said.

Zairil said he was aware of the restructuring of equity in CZC.

"The state is aware of negotiations between CZC and various parties including ECK Development Sdn Bhd, a Kedah-based development company.

"The state can only comment after we receive official notification and verification about the restructuring exercise conducted by CZC.

“The state remains committed to ensuring the delivery of the project, starting with Package Two, which is the Ayer Itam-Lim Chong Eu bypass, which is scheduled to begin full construction on Feb 1,2021, ” he said.

Earlier in the day, during a press conference held in Komtar, Chief Minister Chow Kon Yeow said the state government was informed of the restructuring of equity in CZC and will make an official announcement once they (the state) have signed a sub-agreement with CZC for Package Two of the Penang Transport Master Plan project on Jan 15.

"Package Two in the Penang Transport Master Plan (PTMP) involves the construction of three main roads in Penang that connect the Ayer Itam line on Thean Teik Highway to the Tun Dr Lim Chong Eu Highway.

"The agreement will contain construction details, design and land swap details of the package," Chow said.

Package Two is to build a 5.7km bypass from Ayer Itam to the Tun Dr Lim Chong Eu Expressway.

The highway will consist of a 70% elevated section or flyover while the remaining highway will be at grade level.

Package Two is part of the controversial RM6.3bil undersea tunnel and three highways project.

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