21-05-2025
Penang rules out gazetting Middle Bank Marine Sanctuary to avoid project disruptions
GEORGE TOWN, May 21 — The Penang state government does not plan to gazette the Middle Bank Marine Sanctuary, according to state executive councillor H'ng Mooi Lye.
The state local government, town and country planning committee chairman said the Middle Bank cannot be gazetted as this would classify it as an environmentally sensitive area.
'Any projects implemented within a 500-metre radius of an environmentally sensitive area would require a Second Schedule Environmental Impact Assessment (EIA) report,' he told Malay Mail recently.
He said this could affect planned projects near the area and might also impact the Penang Port expansion project.
H'ng was clarifying his response to a written question by Lee Khai Loon (PKR-Machang Bubuk) at the state legislative assembly regarding the rehabilitation of the Jelutong landfill project. The project involves reclaiming 70 acres (28ha) of the sea, with potential implications for the Middle Bank.
In his reply to Lee, H'ng said the state approved the 70-acre (28ha) sea reclamation to create a work platform for rehabilitation works at the landfill.
'The Jelutong landfill is unsafe because it has long been used as an open dumping ground,' he said.
Lee also asked if the state had an exit clause in case the rehabilitation project failed.
H'ng said the joint development agreement would be cancelled if the project failed to proceed.
'A new tender process would then be initiated through a Request for Proposal (RFP) or open tender procurement procedure,' he said.
However, he noted there was a risk of claims and legal action by the developer against the state government and Penang Development Corporation (PDC).
He added that a new developer would not be able to take over the project until legal procedures were completed, which could take between three and five years.
The Middle Bank Marine Sanctuary spans around 10 square kilometres in the waters of the South Channel between Penang island and the mainland.
It is home to the only seagrass bed in the Straits of Malacca. A study revealed a total of 429 species of seagrass, trees, vegetation, fish, birds, marine mammals, turtles, molluscs, arthropods and echinoderms inhabit the area.
The rehabilitation project has yet to begin as it is still awaiting EIA approval from the Department of Environment (DoE).
The PDC signed a deal with PLB Engineering Bhd in 2020 to rehabilitate and develop the Jelutong landfill at a cost of RM1 billion.
The DoE issued a public notice on its Facebook page on February 12 this year regarding the proposed rehabilitation and reclamation project.
