21-05-2025
- Business
- Free Malaysia Today
Penang seeks RM1.56bil for PIL 1 highway
Penang's proposed Pan Island Link 1 highway is designed as a 19.5km six-lane route which will run through Penang Hill. (File pic)
GEORGE TOWN : Penang is requesting RM1.56 billion from the federal government in next year's budget to begin construction of the long-delayed Pan Island Link 1 (PIL 1) highway, which is projected to cost RM8.88 billion in total.
The 19km highway, designed to ease traffic congestion between the island's north and south, is the most expensive among 128 development proposals submitted by the state under the first rolling plan of the 13th Malaysia Plan.
In total, Penang is seeking RM2.1 billion in allocations for 2026 to support all 128 projects, which are expected to cost RM17.2 billion over several years.
According to a written reply by executive councillor Zairil Khir Johari to Lee Khai Loon (PH–Machang Bubok) in the state assembly, the state is requesting funding in phases as the projects are multi-year developments that cannot be financed in a single allocation.
Among the other funding requests is RM25 million for an underpass connecting Mount Erskine Road to Burma Road, cutting through the heavily congested Gottlieb Road junction. The state is seeking RM3.75 million to initiate this project next year.
Other major proposals include RM400 million for an Islamic hospital in George Town, RM300 million for a tuna port in Batu Maung aimed at establishing Penang as a regional fisheries hub, and RM99 million for a new secondary school in Juru.
Penang is also advancing its digital and innovation agenda, seeking RM124 million in grants for artificial intelligence training, cybersecurity initiatives, and start-up incubators through state agency Digital Penang.
In addition, the state is requesting RM260 million for flood mitigation works along Sungai Perai, and funding for desalination studies, water catchment improvements, and smart drainage systems to reduce flood risks.
Another proposal includes the RM8 million plan to transform the Gate House at Penang Hill into an education-themed tourism gallery as part of efforts to boost ecotourism.
Final allocations will be determined in the 2026 federal budget.
