5 days ago
- Business
- Free Malaysia Today
Phoong's aide dares Warisan rep to raise steel project delay in state assembly
Sabah industrial development minister Phoong Jin Zhe previously said the delay in the RM31 billion steel project was due to setbacks in obtaining the necessary approvals and securing a supply of natural gas. (Facebook pic)
PETALING JAYA : An aide to Sabah industrial development minister Phoong Jin Zhe has challenged Elopura assemblyman Calvin Chong to raise his concerns on the delayed RM31 billion Esteel Enterprise steel project in the state assembly.
Chan Loong Wei said the upcoming state assembly is the right platform for the Warisan rep to voice out any issues he has with the project as an elected representative.
'If he is genuinely curious or wishes to seek accountability, I challenge him to raise this matter in the upcoming state assembly sitting,' he said in a statement.
Chan, who is Phoong's political secretary, said Esteel Enterprise is a company that is owned by a credible Singaporean businessman, who also owned a Top 100 Private Company in China in 2023.
'They (Esteel) have real credentials and real capital. In fact, their acquisition of Southern Steel Bhd in Penang in October 2024 was widely reported in Sin Chew Daily and other business media,' he added.
He said that Phoong remains committed to driving inclusive economic growth, creating decent-paying jobs for Sabah youths and turning the state into a competitive, investor-friendly region.
Earlier today, Chong slammed Phoong's explanation of the delays in the Esteel Enterprise steel project, calling it 'misleading and irresponsible'.
He also asked how such a major project could be announced in November 2022 without confirmed approvals, especially given the federal moratorium on manufacturing licences for the steel industry at the time.
Chong called for the state government to disclose all agreements and terms involving Esteel Enterprise, saying the public deserved full transparency on a project of such scale.
He also questioned the delay in implementation, noting that the manufacturing licence was only approved in January 2025, more than two years after the project was announced.
On Monday, Phoong said the delay in the RM31 billion steel project was due to setbacks in obtaining the necessary approvals and securing a supply of natural gas.
He said the initial projection for Esteel Enterprise's factory to begin operations in the fourth quarter of this year was based on the assumption that approvals would be obtained without delay.
However, he said Putrajaya's two-year moratorium on manufacturing licences for steel-related industries created complications, with special approval only granted on Jan 24, 2025.
