The Penang Development Corporation (PDC) will take full control of the proposed Batu Kawan Industrial Park 2 (BKIP2) development in Byram after multiple Request for Proposal (RFP) processes failed to be finalised, The Star reported.
Chief Minister Chow Kon Yeow said the decision was approved by the PDC Board of Directors on 20 July, paving the way for the state agency to develop its approximately 1,300-acre landbank in phases.
“In regards to BKIP 2, it went to tender three times but was not successful due to various reasons which is why PDC has decided to take charge of the project,” Chow told reporters at a press conference after attending the Malaysian International Chamber of Commerce and Industry (MICCI) Northern Region Annual Luncheon Dialogue Session at St Giles Wembley Hotel in George Town on 30 July.
“The PDC board of directors have agreed to take full control of the development.”
PDC plans to release around 200 acres of industrial land each year to meet demand from investors and other stakeholders. Chow said land prices for BKIP2 would be based on current market values, noting that acquisition costs today are significantly higher than those for the original Batu Kawan Industrial Park, where land was acquired in the early 1990s at much lower prices.
Penang Property Talk reported that the phased development strategy is intended to ensure Penang maintains sufficient industrial land reserves to support investment demand over the next three to five years.
Chow also stressed that the proposed bridge connecting the development area must be completed to support the broader growth and accessibility of the new industrial park.
BKIP2 is expected to play an important role in expanding Penang’s industrial capacity as demand for strategically located industrial land continues to grow, particularly in the Batu Kawan growth corridor.
