Penang has cleared a major regulatory hurdle for its ambitious logistics expansion, securing planning approval for a 42-hectare aeropark in Batu Maung that will significantly bolster the state’s cargo handling capabilities.
The Penang International Logistics Aeropark (Pila), situated adjacent to Penang International Airport, represents a strategic joint venture between the Penang Development Corporation (PDC) and Malaysia Airports Holdings Bhd (MAHB). Chief Minister Chow Kon Yeow hailed the planning approval as a significant milestone, noting that the development would strengthen the state’s logistics ecosystem and support industrial growth across the northern region.
Construction work is already under way, with PDC currently conducting earthworks and soil treatment at the site. The centrepiece of the development, a new air cargo warehouse designated as a Free Commercial Zone facility, is slated for completion by 2029.
Once fully operational, Pila is projected to handle cargo capacity of up to 500,000 tonnes annually by 2050. The facility will offer warehouse space exceeding two million square feet, with the air cargo warehouse alone expected to support an additional 100,000 tonnes per year.
Chow emphasised that the collaboration between PDC and MAHB is crucial to meeting future logistics demands from the semiconductor and electrical and electronics industries, both of which form the backbone of Penang’s manufacturing sector.
“This is in line with the aspirations of Penang2030, the State Structure Plan 2030, as well as the expansion of the Penang International Airport,” he said.
Market confidence in the project appears strong, with leasing commitments already secured from international and local logistics players. A formal launch ceremony is currently being planned to mark the development’s progress.
Source: The Star
